Trump-backed American Bitcoin jumps by 12% after $170M bet – Details
An investment firm has placed a $170M bet on Trump brothers' BTC mining plan.
Key Takeaways
American Bitcoin’s stock extended its Nasdaq debut gains to over 50%. The latest catalyst is a $170M stake in the Trump brothers-backed firm from Dominari Holdings.
On 09 September, the share price of American Bitcoin Corporation (Nasdaq: ABTC) rallied by 11.63% and closed at $9.31 following a $170 million investment.
Ahead of the market open on 10 September, it pumped by another 7.3% to nearly $10, pushing its rally since its Nasdaq debut to 52%.
A $170M bet on BTC
The latest rally was triggered by Dominari Holdings’ over $170 million stake in the firm. Dominari’s CEO, Anthony Hayes, referred to American Bitcoin’s debut as a “significant milestone,” adding that they will support the firm’s growth strategy.
In May, the Trump brothers-backed mining and BTC accumulation firm announced a merger with a small miner, Nasdaq-listed Gryphon Digital Mining. This was its pathway to the public markets, which happened on 03 September.
As part of the merger, Gryphon holders accepted a 5-for-1 reverse stock split. The final firm would retain the name American Bitcoin and under the ticker symbol ABTC.
HUT 8 Mining is the majority shareholder in American Bitcoin, but Eric Trump and Donald Trump Jr. also have a stake in it.
Worth noting, however, that the Trump family’s crypto ventures do not stop at Bitcoin mining. Through World Liberty Financial, the family has expanded to stablecoins (USD1), memecoins like Official Trump [TRUMP], and a token launchpad, among others.
In fact, even the family’s media firm has applied for Crypto ETFs, underscoring massive interest in the sector. Unfortunately, his ventures have also raised conflict-of-interest concerns as his administration pushes for pro-crypto policies.
According to some policy watchers, Trump’s ventures, especially World Liberty Financial, could derail the crypto market structure bill.
