Fr8Tech Bets Big on Trump Memecoin in Unusual Crypto Move
A publicly-traded logistics company has made headlines by diving into the world of memecoins—specifically the Trump-branded one. Freight Technologies, or Fr8Tech as it's known, just struck a $20 million deal with an institutional investor to purchase Official Trump tokens, becoming one of the first companies to tie its digital asset strategy to something as controversial as a politician’s personal crypto project.
The company’s CEO, Javier Selgas, says the move is part of an effort to support trade between the U.S. and Mexico. However, it’s not really clear how buying a memecoin—especially one based on a political figure—has anything to do with improving cross-border logistics.
Who is Fr8Tech?
Based in Houston and founded in 2015, Fr8Tech focuses on using technologies like AI to optimize supply chain operations. It trades on the Nasdaq under the ticker FRGT. The company’s stock struggled back in 2018 during Trump’s first term, but now it seems to be trying something bold and unconventional—shifting into crypto.
While most companies that invest in crypto go for Bitcoin, Fr8Tech is going all-in on a memecoin. Crypto commentator Mario Nawfal even called it the “first-ever Trump treasury.”
Smart Strategy or Risky Gimmick?
On April 30, Fr8Tech officially announced it was creating a crypto treasury. They’re issuing up to $20 million in convertible notes, with the funds dedicated solely to buying Official Trump tokens. The first $1 million has already been committed.
In a statement, Selgas tied this move to Trump’s “America First” philosophy, saying it aligns with their goal of promoting fair and balanced trade between the U.S. and Mexico. But again, there’s no real explanation of how exactly this coin helps accomplish that.
Why Trump Memecoin Raises Eyebrows
Like most memecoins, the Trump token is highly volatile and risky. Even though it’s up a bit recently, its price has mostly been falling since its launch in January. Compared to Bitcoin—which many corporations see as a long-term store of value—this move seems questionable.
Some see it as more of a publicity stunt than a serious business decision. After all, the Trump token’s main “utility” right now is that holding a certain amount can get you an invite to a private dinner with Trump on May 22. That promotion alone caused the price to surge more than 50%.
But critics have deeper concerns. Some say this whole thing smells like “pay to play,” and could potentially open the door for foreign actors to try and buy influence with political figures through crypto. Venture capitalist Nic Carter warned about this months ago, saying if people were upset about Hunter Biden’s art sales, they should be just as concerned about Trump’s memecoin.
Ethics Investigation in Progress
In fact, a few weeks ago, Senators Adam Schiff and Elizabeth Warren called for a federal ethics investigation into the coin. They’re questioning whether Trump violated any rules by offering access to himself in exchange for crypto investments.
For its part, Fr8Tech hasn’t said anything about wanting political access—it just seems focused on the coin as an asset. Still, the timing is interesting. Right after announcing the investment, the company’s stock jumped over 111% on May 2, closing at $2.08 per share by the end of the week.
Ironically, the Trump token itself hasn’t seen any major reaction to the news.