Truth Social's Crypto Gambit: A Risky Financial Move

Truth Social is diving headfirst into the world of cryptocurrency, hoping to turn their financial losses around. They've just launched a new ETF with five major cryptocurrencies: Bitcoin, Ethereum, Solana, Cronos, and Ripple. Bitcoin takes the lion's share at 70%, followed by Ethereum at 15%. The remaining three coins make up the last 15%. This isn't their first rodeo with crypto. They've already applied for two other ETFs, one for Bitcoin and another for both Bitcoin and Ethereum. These are still waiting for the green light from the SEC. They've also set aside $250 million for custom ETFs and SMAs under their Truth. Fi brand. But let's talk money. Truth Social isn't exactly swimming in cash. In the first quarter of 2025, they made a mere $821, 000 but lost $30 million. That's a tough spot to be in. Despite these financial woes, Truth Social is growing fast. Their daily active users have skyrocketed by 106% compared to last year, reaching 359, 000 in May. Much of this growth is thanks to a certain high-profile user, President Trump, who's quite active on the platform. But growth alone won't fix their money troubles. Truth Social has been busy on the financial front. They recently approved a $400 million share buyback program and raised $2. 3 billion. This money is going toward a dedicated Bitcoin Treasury. It's a risky move, but it shows they're serious about diversifying their income. But is this a smart move? Crypto is a volatile market, but it's also growing. Truth Social is betting big on crypto, but only time will tell if this gamble pays off.