TL;DR
- Trump Media reported a net loss of $54.8 million in the third quarter, marking its third consecutive negative result.
- The company had invested $2 billion in Bitcoin and related assets, but the returns failed to offset BTC’s depreciation.
- TMTG generated $28.7 million in financial income and is preparing to launch Truth Predict with Crypto.com, a prediction platform integrated into Truth Social.
Trump Media & Technology Group (TMTG), owned by President Donald Trump, closed the third quarter with a net loss of $54.8 million, according to its report released on Friday. It marks the company’s third consecutive quarterly loss, with DJT shares hitting their lowest level in over a year, trading near $12.70 on Nasdaq.
The result comes only months after the company announced the purchase of $2 billion in Bitcoin and related assets, in an effort to adopt the crypto treasury strategy that has gained traction on Wall Street. However, the returns generated from those positions were not enough to offset the depreciation of digital assets and the legal costs associated with the 2024 SPAC merger.
The Bitcoin Downturn Hits TMTG
During the quarter, Trump Media recorded $28.7 million in financial income: $15.3 million from Bitcoin-related option premiums and $13.4 million from interest on other investments. Still, its overall balance sheet was impacted by Bitcoin’s price drop, which fell from $118,000 in July—when the purchase was made—to around $102,000 in November. The accounting adjustment on those holdings significantly reduced the group’s total digital asset value.
The market reacted negatively. DJT shares fell more than 4% after the report’s release, deepening the monthly decline to about 25%. Although TMTG holds roughly $3.1 billion in assets, the profitability of its core business remains limited.
Trump Prepares the Launch of Truth Predict
Meanwhile, the company is moving forward with its expansion into prediction markets. In October, it announced a partnership with Crypto.com to launch Truth Predict, a platform integrated into Truth Social that will allow users to participate in event-based prediction markets. The project aligns with the regulatory opening promoted by the CFTC under the Trump administration and aims to create a new revenue stream for the company.
Trump Media believes its involvement in the crypto sector and prediction markets will strengthen its financial model in the medium term. However, this quarter’s results show that even a multibillion-dollar position in Bitcoin has yet to reverse its operating deficit
