Trump Media to raise about US$2.5bil for ‘bitcoin treasury'

President Donald Trump has vowed to make the US the 'crypto capital of the world'. (EPA Images pic)
WASHINGTON : US President Donald Trump's social media company announced today its plans to raise about US$2.5 billion, with proceeds going towards creating a 'bitcoin treasury', adding that cryptocurrency will be a key part of its assets.
Trump Media & Technology Group, which operates the Truth Social site, said in a statement that it has entered into subscription deals with around 50 institutional investors.
Under these agreements, the company agreed to issue and sell about US$1.5 billion in common stock and US$1.0 billion in convertible senior secured notes, in a private placement offering.
The offering is anticipated to close on or about May 29, the company said.
'We view bitcoin as an apex instrument of financial freedom, and now Trump Media will hold cryptocurrency as a crucial part of our assets,' said Trump Media CEO Devin Nunes.
He added that the investment will 'help defend our company against harassment and discrimination by financial institutions'.
The firm also said it aims to grow its reach 'throughout the America First economy', adding that Crypto.com and Anchorage Digital will provide custody for its bitcoin treasury.
Trump has vowed to make the US the 'crypto capital of the world'.
Trump's newfound enthusiasm for digital currencies has expanded into multiple ventures led primarily by his eldest sons.

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New Straits Times

35 minutes ago

New Straits Times

MARKET PULSE PM MAY 29, 2025 [WATCH]

KUALA LUMPUR: News on stock, crypto and ringgit moves. Bursa Malaysia's 30-stock index ended lower, dragged by profit-taking in heavyweight banking counters amid subdued market sentiment, despite strong gains across North Asian markets and Australia. The ringgit also weakened against the US dollar, slipping to 4.2370. In the cryptocurrency market, Bitcoin maintained its upward momentum, reaching RM460,576. Ethereum and Solana also followed the positive trend, rising to RM11,570 and RM734, respectively. That wraps up today's Market Pulse.

Smugglers jailed for leaving Indian family to die in blizzard

Free Malaysia Today

42 minutes ago

Free Malaysia Today

Smugglers jailed for leaving Indian family to die in blizzard

The family of four was not found until the Royal Canadian Mounted Police discovered their frozen bodies. (Getty Images/AFP pic) WASHINGTON : Two human traffickers were sentenced today for their roles in a smuggling operation that resulted in the 2022 deaths of four Indian nationals, including a three-year-old and an 11-year-old, the US department of justice said. Harshkumar Ramanlal Patel, 29, was sentenced to over 10 years in prison for organising logistics and co-conspirator Steve Anthony Shand, 50, was sentenced to over six years for picking up migrants in the US. A jury convicted the duo for their work in a 'large-scale human smuggling operation that brought Indian nationals to Canada on fraudulent student visas and then smuggled them into the US', justice officials said. In January 2022, amid severe weather, Patel and Shand attempted to smuggle 11 Indian nationals from Canada into the US on foot, the DOJ said, adding the recorded wind chill temperature was -37.8°C. A US border patrol agent found Shand's van stuck in the Minnesota snow, where Shand claimed there were no other people stranded out in the cold. But five more people emerged from the fields, including one who was airlifted to a hospital for lifesaving care. Shand was arrested along with two migrants. But the family of four was not found until the Royal Canadian Mounted Police found their frozen bodies in an isolated area in Canada. 'The boy was wrapped in a blanket with his father's frozen glove covering his face,' the DOJ said. 'Every time I think about this case I think about this family – including two beautiful little children – who the defendants left to freeze to death in a blizzard,' said acting US attorney Lisa D Kirkpatrick.

Opec must squeeze US shale much more to win oil price war

Free Malaysia Today

44 minutes ago

Free Malaysia Today

Opec must squeeze US shale much more to win oil price war

Benchmark US oil prices have dropped by nearly a quarter since January to US$61 a barrel, in response to Opec+'s strategy and concerns over trade wars. (File pic) LONDON : Oil drillers in the US shale heartland are slowing down operations, a sign that the Organization of the Petroleum Exporting Countries' (Opec) high-stakes price war is starting to pay off, but Saudi Arabia will need to exert a lot more pain to make a lasting impact on market share. US oil producers upended the global market in the early 2010s, as the innovative 'fracking' drilling technique allowed them to tap vast onshore shale formations. Consequently, the US, long the world's top oil consumer, became its leading producer as of 2018. It currently pumps around 13.5 million barrels per day (bpd), around 13% of world supplies. The rising tide of US oil has long irked the Opec, which has seen its market share steadily erode over the past two decades. Saudi Arabia, Opec's de-facto leader, in 2014 sought to curb surging US output by flooding the market with cheap oil. This effort bankrupted a number of shale producers, but it only temporarily paused the country's ascent as companies adapted to lower prices and the industry consolidated. Price war redux Riyadh and its allies, a group known as Opec+, are now giving it another go. They surprised the market earlier this year by announcing that they would rapidly unwind 2.2 million bpd of production cuts introduced in 2024. The group is expected to announce further increases in production later this week. Benchmark US oil prices have dropped by nearly a quarter since January to around US$61 a barrel in response to Opec+'s strategy as well as concerns over US President Donald Trump's trade wars. At these prices, many shale wells are not profitable, as frackers require an oil price of between US$61 and US$70 a barrel to expand production, according to a survey conducted by the Dallas Federal Reserve Bank. Sure enough, nimble frackers have already responded by paring back drilling activities to conserve cash. The number of US onshore oil drilling rigs dropped by eight to 465 last week, the lowest since November 2021, according to energy services firm Baker Hughes. Crucially, drillers in the Permian Basin in West Texas and eastern New Mexico, which accounts for nearly half of US production, cut three rigs, bringing the total down to 279, also the lowest since November 2021. Crude production from new Permian wells, a measure of productivity, slightly improved in April, but that was largely offset by declines in other basins. Multiple indicators suggest activity is set to decelerate further. Importantly, Frac Spread Count, which measures the number of crews actively performing hydraulic fracturing, has seen a 28% annual drop to 186, according to energy consultancy Primary Vision, an indication that production could fall sharply in the coming months. Another measure to watch is drilled but uncompleted wells (DUCs), or partially completed wells that can start production quickly, offering operators flexibility to withhold production until market conditions improve. DUCs have risen by 11% since December 2024 to 975 in the Permian Basin. Down but not out While the latest data on shale drilling activity suggests US production will continue to slow, it is far from falling off a cliff. The US energy information administration reduced in May its forecasts for US production in 2025 and 2026 by around 100,000 bpd to 13.4 million bpd and 13.5 million bpd, respectively, compared with 13.2 million bpd last year. Production in the Permian Basin is forecast to average 6.51 million bpd in 2025, down from its previous estimate of 6.58 million bpd. However, that would still mark a significant increase from 6.3 million bpd in 2024. Opec+ may find it even harder to have a sustainable impact now than it did in 2014 as the US shale landscape is significantly different from a decade ago. True, 15 years of intensive oil and gas drilling have depleted a large chunk of the most profitable shale acreage. However, shale drillers have in recent years adopted much stricter spending discipline, focusing on returning value to shareholders in contrast with last decade's focus on growing production. Independent US oil and gas producers have so far reduced their planned 2025 spending commitments by an aggregate 4% to US$60 billion, while output is expected to remain largely flat, according to consultancy RBN Energy. Also, production today is concentrated in the hands of far fewer companies, such as Exxon Mobil and Chevron. These energy majors have developed highly efficient drilling techniques and boast strong balance sheets that leave them better equipped to withstand the Opec assault. Current oil prices are therefore likely to temporarily curb US production but not lead to the type of sharp deceleration seen in 2014. Opec+ will therefore need to deepen and extend its price war for many months if it seeks to fundamentally change the oil production balance of power.