Trump Media & Technology Group, the parent company of Truth Social, reported a net loss of $20 million for the second quarter, causing its stock to fall nearly 4% on Friday. The company attributed roughly $15 million of the loss to legal fees from its 2024 merger.
The company, majority-owned by U.S. President Donald Trump, is currently suing its SPAC sponsor and two co-founders over the merger process. Despite the stock drop, Trump Media holds a market capitalization of about $4.7 billion.
In a recent SEC filing, Trump Media announced plans to issue a “utility token” for subscribers of its new Patriot Package. The company stated the token could be used for subscriptions to Truth Social and its streaming service, Truth+, with potential for expansion to other services.
The company’s filing did not confirm if the token would use blockchain technology. Trump Media also holds a significant Bitcoin treasury, with $3.1 billion in assets at the end of the quarter. It is currently pursuing plans to offer digital asset ETFs.
