Trump Jr. Invests in Thumzup Media Corp
Donald Trump Jr., the eldest son of the U.S. president, has revealed his investment in Thumzup Media Corp, a social media marketing firm that uses Bitcoin in its operations.
As reported by Bloomberg, Trump Jr. owns 350,000 shares in the company, estimated to be worth about $3.3 million. Currently, the stock is trading at approximately $9.50 per share.
The company’s board made the decision to adopt Bitcoin as a corporate asset back in November 2024, considering purchases of up to $1 million in the cryptocurrency. Robert Steele, the CEO, commented on the move:
“With the newly approved Bitcoin ETF and increasing backing from institutional investors, Bitcoin is a solid addition to our financial strategy. Its limited supply and attributes that guard against inflation make it a reliable asset for maintaining value.”
In May, Thumzup also submitted a Universal Shelf Registration to the U.S. Securities and Exchange Commission, securing $200 million through corporate debt and funding, while supporting its Bitcoin acquisition.
The company currently holds 19.11 BTC, valued at over $2.1 million, based on data from Bitcointreasuries, accumulating since January.
The rise in Bitcoin Treasury companies since 2024 has led some analysts to question the viability of this corporate finance model. They wonder if these businesses will endure or if this could lead to another long-term bear market.
Concerns have been raised by analysts and Bitcoin enthusiasts about potential imitation strategies in the market.
The concept of a Bitcoin Treasury was popularized by Michael Saylor, who shifted his business intelligence software firm to focus on Bitcoin in 2020.
Since that time, according to Bitcointreasuries, 258 organizations have incorporated Bitcoin into their reserves, including a mix of asset managers, public and private companies, as well as government entities.
Nevertheless, some experts are skeptical about the sustainability of this trend, arguing that inadequately supported strategies might fail due to an absence of conviction in digital assets that are subject to supply constraints.
Max Kaiser, a prominent figure in the Bitcoin community, noted that Saylor’s firm has survived previous market downturns and continues to accumulate Bitcoin through market cycles, unlike newer financing firms that haven’t yet faced such volatility.
A report from venture capital firm Bred, published in June, echoed Kaiser’s view, suggesting that many Bitcoin finance companies may struggle to survive, potentially leading them into a dangerous decline as Bitcoin prices dip.
