David Morey 
Donald Trump’s social media is in talks to purchase the crypto exchange Bakkt, according to numerous publications and sources close to those involved. It’s an interesting move, as it will be the first time Truth Social will expand beyond social media.
The company came to be as Trump’s response to being banned on Twitter, and it soon grew to prominence in the right-wing circles. Some claim that it lost relevance when Elon Musk purchased Twitter and changed its editorial guidelines, but it still holds relevance as the president-elect owns it.
Trump Media and Technology Group
Trump Media and Technology Group (TMTG) is the parent company of the social media company Truth Social, which Donald Trump has used exclusively since being banned on Twitter. Trump owns 53 percent of the company, and he has pledged never to reduce his share of it.
The rest of the shares became the most actively traded US stock since Trump won the election. TMTG has a $6bn equity valuation, and it made just $2.6mn in revenues this year. Donald Trump has other ventures in the world of crypto, but TMTG, in particular, doesn’t.
Bakkt Crypto Exchange
Bakkt Holdings Inc. is one of the crypto exchanges working in New York and Georgia. With a changed attitude towards crypto, the list of exchanges found here keeps growing and takes on new investors. Bakkt’s market capitalization stood at just over $150mn a few days ago.
Bakkt shares soared 162 percent after the Financial Times reported the talks with TMTG. Bakkt’s first chief executive was Kelly Loeffler, a former head of marketing at ICE and a Republican ex-senator for Georgia during Trump’s first presidency. She’s also involved in organizing the inauguration ceremony in January.
For a while, Truth Social was the only platform former President Trump used, and therefore, it was the only source for Trump-related news. However, it never managed to become more than that and to gain traction as a social media company.
For instance, it averages 646,000 daily visits to its website this month, according to Similarweb, compared with 155mn a day for Elon Musk’s X platform. The decision to expand to crypto, combined with Trump’s other efforts in this area, may provide it with the boost it needs.
Word Liberty Financial
This isn’t Trump’s first venture into crypto trading, however. The president-elect has also promoted World Liberty Financial. The company promoted by Trump, his son Donald Junior, and New York-based property developer and big Trump donor Steve Witkoff has claimed that its goal is mass adoption of stable and crypto coins.
Trump initially had doubts about crypto, but he said in numerous interviews that his son changed his mind on the subject and that the future administration will be more crypto-friendly in the years to come. Steve Witkoff also stated that “decentralized finance is the way of the future.”
Bakkt’s Crypto Custody Business
One of the services offered by Bakkt is crypto custody. The company has previously stated that this portion of the business will wind down in the months to come. The service is made to hold digital assets such as bitcoin and ether on behalf of customers. It didn’t gain traction with the users, and it made operational losses up to $27,000 from revenues of $328,000 in the three months.
According to the reports made by the Financial Times and other sources in the know – this part of the business will continue to wind down until it shuts off, and it isn’t part of the deal between Bakkt and Trump’s company.
Broader Crypto Implications
The actions of Trump’s companies aren’t formally related to the policies set up by the Trump administration. In fact, the president will have to place his business venture in a trust, as was the case with the previous term.
However, this decision is symbolic and goes beyond formal connections. The fact that the president’s company is investing in crypto shows that the administration is open to crypto and its potential. This also reflects the overall change in the business circles and the wider public, which has accepted crypto as a part of their investment portfolio.
To Sum Up
Donald Trump’s media company’s talks to acquire Bakkt mark a bold move into the crypto space, signaling a shift in both business strategy and public perception. While Truth Social has struggled to rival major platforms, expanding into cryptocurrency could revitalize its relevance.
Bakkt’s fluctuating performance and crypto custody challenges highlight the risks, but the potential for growth aligns with Trump’s increasingly pro-crypto stance. This acquisition, though separate from his administration, reflects a broader acceptance of digital assets in business and politics. As crypto continues to integrate into mainstream investments, Trump Media’s move could reshape its future and influence wider adoption.
