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Trump Media and Technology Group has secured approximately $2.5 billion in new capital through a private placement transaction with about 50 institutional investors.
The company announced the funds on Monday, stating that they will be used to establish a large Bit Treasury.
Trump Media Enters Bit
The funding includes approximately $1.5 billion in common stock and $1 billion in convertible senior secured notes with 0% interest. The deal is expected to close by May 29th, subject to standard closing conditions.
This is one of the largest Bit Treasury plans announced by a publicly traded company. Trump Media previously hinted at promoting an "America First" economic agenda through special purpose vehicles and acquisitions. This transaction completes one of these strategies.
Yesterday, BeInCrypto reported a potential $3 billion deal related to the company. Trump Media initially denied these reports, but the latest announcement closely aligns with previous claims.
The timing of this deal also coincides with major political movements. Donald Trump proposed withdrawing $3 billion in federal research grants from Harvard University.
His administration froze approximately $2.2 billion in funds, primarily from the National Institutes of Health, after accusing the university of anti-Semitism and policy violations.
Harvard subsequently filed a lawsuit, claiming the freeze is unconstitutional.
Bit responded positively to Trump Media's announcement. The price rose by 1% and remains just below last week's record high. Traders see this move as a signal of renewed institutional interest in the asset.
This development could boost confidence in Bit and reignite a broader market rally.
