Donald Trumps Truth Social network in serious trouble: $400 million in losses for parent company

He delivers all his bombshell announcements in capital letters. The media house of the Truth Social network, founded by US President Donald Trump, published a net loss of over $400 million in the first quarter on Friday.

The Trump Media & Technology Group (TMTG) announced a year ago the raising of $2.5 billion to invest in cryptocurrencies, the recent obsession of the Head of State.

But TMTG’s accounts suffered from the plummet of digital currencies, which notably saw the price of bitcoin fall from over $126,000 in early October to around $80,000 currently.

Weighed down by cryptocurrencies

The company, obligated to update the value of its investments (even if it has not sold), recorded a loss of $406 million for the first three months of the year. “The vast majority” of this loss is attributed to digital assets, it was specified.

According to its results, TMTG generated revenues of $900,000 during the first three months of the year, an amount negligible for a company valued at $2.47 billion in the stock market.

The company says it continues to “focus on developing its infrastructure and audience in preparation for future monetized features.”

Trump Media & Technology Group (TMTG) owns Truth Social and the Truth+ streaming platform. Donald Trump controls approximately 41% of TMTG’s shares, which are held in the trust responsible for managing his economic interests during his presidential term.

Listed on the stock market in 2024, TMTG is also active in financial services. TMTG is also in the process of merging with the American company TAE, which is developing nuclear fusion technology.