Trump Media and Technology Group sets aside $300M for BTC options strategy

Source Cryptopolitan

Trump Media and Technology Group (TMTG) will extend its BTC operations, allocating $300M for options trading. The media group behind Truth Social will use the funds to acquire options linked to BTC-related securities in a complex derivative strategy. 

Trump Media and Technology Group (TMTG) will allocate $300M to acquire options linked to BTC-related securities. The new investment follows previous direct purchases of BTC and other crypto assets. 

The details of the deal are still unclear, but may be related to a more complex strategy of tracking BTC price fluctuations. Trump’s individual posting on social media has shown a clear effect on the price of BTC, with the added effect of World Liberty Fi. Options trading may tap the price fluctuations, though exposing the company to other types of risk. 

TMTG also benefitted from the past month’s crypto performance, as the share price rose by over 6% net. TMTG traded at $19.15 following the news.

Trump Media and Technology Group sets aside $300M for BTC options strategy.
Trump Media Technology Group (TMTG) traded at $19.15 following the news of $300M allocated to BTC-related asset options trading. | Source: Google Finance.

Options trading is seen as riskier, hinging on timing. However, Trump’s effect on the industry and general ties with other projects raise the issue of insider information and the potential for conflicts of interest. 

Trump Media and Technology Group breaks into active BTC trading

The announcement by Trump Media and Technology Group follows the more liberal crypto regulation by the Trump administration. TMTG already has its own treasury strategy, reporting $2B in BTC and related assets, but so far it has been rare for corporations to take up an active trading approach to crypto.

Digital assets have become key to the TMTG performance and by proxy for Trump’s net worth of $6.6B. Based on marker price estimates, Trump’s wealth has expanded by up to $620M in crypto over the past few months. World Liberty Fi alone holds over $216M in its known public wallets, with additional potential from the holdings of TMTG. 

The actual type of BTC-related securities remains uncertain. Currently, BTC exposure is possible through ETF, crypto company shares and preferred stock or convertible notes, as in the case of Strategy (MSTR). Options contracts may be risky if the market shifts its direction, letting the contracts expire without value. 

MSTR currently has one of the more active options markets, with a predominance of call options signaling a relatively bullish expectation. BTC options rely on direct bets on the price, with volumes growing to new records in 2025. 

Trump’s fund prepares for the impact of WLFI

WLFI tokens, the voting asset of World Liberty Fi, is preparing to start trading. Currently, the asset only has pre-market price discovery, while full trading is expected in about six weeks. 

Pre-market trading has reached volumes up to $7M, giving the token a valuation of up to $79.4B. The asset is most active on MEXC, trading at around $0.29 in its pre-market pair, with the occasional price anomaly due to low volumes. 

Official Trump (TRUMP) has also recovered to $10.92 following the general crypto enthusiasm. Additionally, World Liberty Fi can rely on $2.2B of USD1 tokens, most active on BNB Smart Chain.

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Disclaimer: For information purposes only. Past performance is not indicative of future results.
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