Trump Media Stock Plummets, Erasing $5 Billion in Family Wealth

BREAKING: Trump Media & Technology Group’s stock has crashed to unprecedented lows, erasing over $5 billion in wealth for the Trump family as the cryptocurrency market continues its sharp decline. Shares of the company, trading under the ticker DJT, have plummeted nearly 70% this year, with a staggering 34.6% drop in just the past month.

Early morning trading on Wednesday showed the stock down about 1% at $10.76. This follows an intraday low of $10.32, marking the lowest point since fall 2021, according to data from Barron’s.

President Donald Trump indirectly owns approximately 115 million shares of Trump Media, held in a trust managed by his son, Don Trump Jr., who also serves on the board. The family’s holdings peaked at nearly $6.5 billion in mid-May 2024 but have now lost more than $5.3 billion in value.

The company’s drastic fall aligns with a broader meltdown in the cryptocurrency market. Following Trump Media’s announcement in August of a $2 billion Bitcoin purchase, prices for Bitcoin recently dipped below $90,000 for the first time in months, erasing the asset’s gains for the year.

Market analysts cite traders’ retreat from risky assets amid fading hopes for a potential interest-rate cut next month. Trump Media has yet to respond to requests for comment on this crisis.

Founded after Trump was banned from Twitter and Facebook following the January 6, 2021, Capitol riot, Trump Media launched Truth Social and is backed by a merger with a blank-check firm, Digital World Acquisition Corp. The stock once soared as high as $100 in 2022 but has since seen an unprecedented decline.

Despite the stock crash, the Trump family has reportedly profited from personal crypto ventures, raking in hundreds of millions of dollars. According to a recent report from Reuters, the Trump Organization has amassed over $800 million from digital asset sales in the first half of this year alone.

Since assuming office, Trump has pursued policies aimed at making the U.S. the “crypto capital of the world.” This includes signing the GENIUS Act, establishing consumer protections to boost confidence in digital currencies, and instructing the Treasury Department not to liquidate seized tokens, exploring ways for the U.S. to acquire more.

White House press secretary Karoline Leavitt has dismissed any allegations of conflict of interest regarding the Trump family’s crypto holdings, stating, “Neither the President nor his family have ever engaged, or will ever engage, in conflicts of interest.”

This situation is developing rapidly, and all eyes are on Trump Media as it navigates this turbulent financial landscape. Investors and crypto enthusiasts alike are urged to stay tuned for further updates on this unfolding crisis.