Trump Media posted a massive loss of over $238 million in the second quarter, while revenue was only $1.7 million—where exactly did the money go?
The main reason is a “paper” loss on crypto assets. The company holds 9,477 bitcoins and about 756 million Cronos (CRO) tokens. A decline in the fair value of its digital assets, pledged digital assets, and equity securities in the second quarter contributed losses of more than $190 million. Even after excluding the book “paper” losses, operating losses still widened from $44 million in the same period last year to $164 million. In other words, Truth Social’s core business has a revenue scale that’s far too small to support its valuation.
📉 Bearish in the short term: DJT is down nearly 30% year-to-date. Truth Social’s mobile daily active users fell from 436,000 to 261,000. On top of that, a $1 billion convertible bond matures in 2028, and lenders can request repayment as early as November—pressure is clearly visible.
📈 Cautiously bullish long term: The company has more than $400 million in cash and $1.2 billion in bitcoin assets. The newly launched Truth API has already signed up 10 high-frequency trading clients, and annual fees are expected to reach $7 million–$12 million. If bitcoin rebounds and the API scales up, a repair window could open for “Trump + crypto” asset baskets such as DJT (Trump Media), MSTR (MicroStrategy), and COIN (Coinbase).
The two-fold uncertainty hangs over DJT: debates over the legality of its “nuclear fusion-style” high-stakes gamble and the compliance concerns surrounding “pay to get early access to the president’s posts.” #特朗普媒体二季度亏损超2.38亿美元
$DJT.US
$COIN
$MSTR
The main reason is a “paper” loss on crypto assets. The company holds 9,477 bitcoins and about 756 million Cronos (CRO) tokens. A decline in the fair value of its digital assets, pledged digital assets, and equity securities in the second quarter contributed losses of more than $190 million. Even after excluding the book “paper” losses, operating losses still widened from $44 million in the same period last year to $164 million. In other words, Truth Social’s core business has a revenue scale that’s far too small to support its valuation.
📉 Bearish in the short term: DJT is down nearly 30% year-to-date. Truth Social’s mobile daily active users fell from 436,000 to 261,000. On top of that, a $1 billion convertible bond matures in 2028, and lenders can request repayment as early as November—pressure is clearly visible.
📈 Cautiously bullish long term: The company has more than $400 million in cash and $1.2 billion in bitcoin assets. The newly launched Truth API has already signed up 10 high-frequency trading clients, and annual fees are expected to reach $7 million–$12 million. If bitcoin rebounds and the API scales up, a repair window could open for “Trump + crypto” asset baskets such as DJT (Trump Media), MSTR (MicroStrategy), and COIN (Coinbase).
The two-fold uncertainty hangs over DJT: debates over the legality of its “nuclear fusion-style” high-stakes gamble and the compliance concerns surrounding “pay to get early access to the president’s posts.” #特朗普媒体二季度亏损超2.38亿美元
$DJT.US
$COIN
$MSTR