Latest news with #Trump-linked
Yahoo
6 hours ago
- Business
- Yahoo
Trump Media's $2B Bitcoin Buy Challenges Halving Cycle Wisdom of BTC Peaking in 2025
"Don't fight the Fed," a market adage says, warning investors from betting against the U.S. Federal Reserve. For crypto traders, it may be time for a new dictum: "Don't fight the President." On Monday, Trump Media and Technology Group, the social media company owned by President Donald Trump, disclosed a $2 billion investment in bitcoin (BTC), with the intention of acquiring more. The announcement calls for traders to reconsider the possibility of BTC remaining bid through the year-end, potentially invalidating the conventional wisdom that the bull market peaks a year after the halving. Halving cycle The Bitcoin blockchain implements reward halving every four years, reducing the amount of BTC paid to miners per block by 50%. The fourth halving, implemented in April last year, decreased rewards to 3.125 BTC. Since then, BTC's price has surged from roughly $65,000 to nearly $120,000. The bull market is in full swing, but here is the catch. Since its inception, bitcoin's price has tended to follow a predictable rhythm – a four-year cycle centered around halving. Notably, prices tend to surge after halving, peaking 12-18 months after the event and then slipping into a year-long bear market. Past bull runs peaked in December 2013, December 2017 and November 2021. In other words, if history is a guide, BTC's ongoing bull run could lose momentum before the year's end, paving the way for a prolonged bear market. This time may be different The notion that history must repeat itself in Bitcoin's cycles requires reassessment this time due to a key differentiator – the presence of a pro-crypto president. On one hand, the Trump-linked DJT is actively purchasing coins and adding bullish pressure in the market. On the other hand, the Trump administration is adding to the bullish market sentiment through favorable regulatory reforms, such as the recent GENIUS Stablecoin Act. Beyond traditional market cycles, Trump Media's multi-billion-dollar Bitcoin bet signals potentially significant bullish macro tailwinds. As pseudonymous observer EndGame Macro highlighted on X, "No one spends $2 billion on an ultra volatile asset unless they're betting on a shift in the entire liquidity regime." Given President Donald Trump's repeated public criticisms of Fed Chairman Jerome Powell and high interest rates, this high-profile bitcoin acquisition by the President-linked group likely suggests a clear strategic play: a bet on forthcoming rate cuts and a potential debasement of the U.S. dollar. Trump has repeatedly criticized the Fed and its Chairman Jerome Powell for keeping interest rates elevated at 4.25%, saying it's costing Americans billions of dollars. "If they didn't believe the Fed was going to pivot, either by force or design, then this would be reckless. Because if the Fed holds rates higher for longer and bitcoin corrects 40–60% in a deflationary flush, Trump Media would risk massive mark-to-market losses or even liquidation depending on how this position is structured," EndGame Macro noted. Fed rate cuts and potential debasement of the dollar could only add to the liquidity in the system, easing financial conditions for continued risk-taking in both traditional and crypto markets. Goldman expects three rate cuts this year Strategists at the investment banking giant Goldman Sachs expect the Fed to deliver three-quarter basis-point rate cuts, starting from the September meeting, according to InvestingLive. The expected easing cycle is contingent on inflation not flaring up again, Goldman noted, adding that the current trends point to a gradual but steady policy pivot to rate in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Business Insider
5 days ago
- Business
- Business Insider
Stock of an online gun seller backed by Donald Trump Jr. drops 30% in its 2nd day of trading
Investors haven't cheered the latest Trump-linked company to go public. GrabAGun Digital Holdings started trading on the New York Stock Exchange on Wednesday after merging with Colombier Acquisition Corp II. Omeed Malik, CEO of the blank-check company, is a Trump campaign and Republican Party megadonor, and Donald Trump Jr., the oldest son of President Donald Trump, is a member of the company's board of directors and an advisor. After plunging on its first day of trading, the stock dropped again on Thursday. Shares were down as much as 30% to $9.24. Trading under the ticker PEW and describing itself as the " Amazon of guns," GrabAGun operates in a unique market niche: selling firearms and ammunition over the internet. Trump Jr. touted the GrabAGun IPO in multiple X posts, stating"What we're doing with @grabagun would have been unthinkable 4 years ago." The two-day plunge might not be surprising given how other firearm stocks have performed in 2025. Smith & Wesson Brands is down 17% year-to-date, and Sturm Ruger & Company stock has been highly volatile. Other Trump-linked stocks have had a tough year as well. Trump Media and Technology Corp. is down 44% year-to-date after being among the " Trump trades" expected to benefit from the president's second term. Marcus Sturdivant Sr., managing member of financial advisory The ABC Squared, nodded to the potentially polarizing nature of a public company whose business is selling guns, especially one directly linked to Trump. "It is challenging to grow a business when you isolate a large segment before your first stock is issued," Sturdivant said. "There is power in niche marketing, [but that] usually works better in operational sales than in stock market selling," he said.

Business Insider
5 days ago
- Business
- Business Insider
Stock of an online gun seller backed by Donald Trump Jr. drops 30% in its 2nd day of trading
GrabAGun Digital Holdings stock is down sharply in the two days since its market debut. The digital firearms seller counts Donald Trump Jr. as a member of its board of directors. Shares fell as much as 30% on Thursday, extending deep losses from its Wednesday trading debut. GrabAGun Digital Holdings started trading on the New York Stock Exchange on Wednesday after merging with Colombier Acquisition Corp II. Omeed Malik, CEO of the blank-check company, is a Trump campaign and Republican Party megadonor, and Donald Trump Jr., the oldest son of President Donald Trump, is a member of the company's board of directors and an advisor. After plunging on its first day of trading, the stock dropped again on Thursday. Shares were down as much as 30% to $9.24. Trading under the ticker PEW and describing itself as the " Amazon of guns," GrabAGun operates in a unique market niche: selling firearms and ammunition over the internet. Trump Jr. touted the GrabAGun IPO in multiple X posts, stating"What we're doing with @grabagun would have been unthinkable 4 years ago." The two-day plunge might not be surprising given how other firearm stocks have performed in 2025. Smith & Wesson Brands is down 17% year-to-date, and Sturm Ruger & Company stock has been highly volatile. Other Trump-linked stocks have had a tough year as well. Trump Media and Technology Corp. is down 44% year-to-date after being among the " Trump trades" expected to benefit from the president's second term. Marcus Sturdivant Sr., managing member of financial advisory The ABC Squared, nodded to the potentially polarizing nature of a public company whose business is selling guns, especially one directly linked to Trump. "It is challenging to grow a business when you isolate a large segment before your first stock is issued," Sturdivant said. "There is power in niche marketing, [but that] usually works better in operational sales than in stock market selling," he said.


New York Post
6 days ago
- Business
- New York Post
Trump fortune could get nearly $100M boost as restriction to sell his meme coins are lifted: report
President Trump's push into crypto is proving to be very lucrative. A so-called 'unlock' of Trump meme coins is expected to add nearly $100 million to the president's fortune, according to a report. Starting Thursday, entities tied to the president will be able to sell 90 million of the $Trump tokens – worth nearly $930 million at Wednesday's price of $10.30, according to crypto research site Messari. Advertisement 3 A so-called 'unlock' of Trump meme coins this week is expected to add nearly $100 million to the president's fortune. NurPhoto via Getty Images Trump's share of the coins will add $93 million to his $6.4 billion fortune, according to Bloomberg. His net worth has not previously included the locked coins' value. He also has made about $150 million from trading of the meme coin through mid-June, according to an analysis by crypto-risk modeling firm Gauntlet. The unlock will increase the coin's circulating supply by 45%, after its initial launch in January made 200 million coins available, Bloomberg reported. Advertisement The total amount outstanding will reach 1 billion in less than three years. Of those, 800 million were originally locked and held by Trump-linked entities. A larger supply, however, could sink the meme coin's price. Like all meme coins, the $TRUMP token has no intrinsic value. It's based on an image of Trump and tied largely to his popularity – making it vulnerable to sharp swings. Advertisement Its price soared more than 10% last week after Justin Sun, founder of the Tron blockchain and cryptocurrency, vowed to buy $100 million worth of the coin in a post on X. Sun is already the meme coin's top holder. 3 President Trump speaks during a White House luncheon on Monday. AP His Tron network added the meme coin to its supported tokens this month, following a rush of major crypto exchanges that scrambled to take Trump's coin to market earlier this year. Advertisement Sun attended a VIP reception with Trump – where he was gifted a Trump-branded Tourbillon watch – in May when the president hosted an event for the coin's 200 largest holders. The crypto entrepreneur – who was sued by the Securities and Exchange Commission in 2023 – also serves as an adviser to World Liberty Financial, the Trump family's crypto firm. The suit charging Sun with fraud and market manipulation was dropped in February. 3 Donald Trump Jr. speaks during The Bitcoin Conference in Las Vegas in May. AFP via Getty Images The 800 million locked Trump meme coins are owned by CIC Digital LLC and Fight Fight Fight LLC. The $TRUMP token's website does not state how the coins are split between the LLCs. Following this week's unlock, 510 million tokens will be made available over the next two years. An additional 200 million coins will start to become available in January. Cryptocurrency has emerged as a huge moneymaker for the Trump family, adding $620 million to their wealth since Trump won the election in November. Advertisement A White House spokesperson said that Trump's assets are being held in a trust managed by his children while he serves his second term, and maintains that none of his business ventures present a conflict of interest. Trump's sons, Donald Jr. and Eric Trump, who run the family's Trump Organization, are shareholders in crypto miner American Bitcoin, which will be acquired by Gryphon Digital Mining. The new company could be worth more than $4.5 billion, according to Bloomberg.


Time of India
13-07-2025
- Business
- Time of India
Crypto cold war heats up: As Pakistan, Bhutan, and US go all in, where does India stand? Report reveals how the world is weaponising blockchain
In the evolving battle for digital dominance, cryptocurrency has emerged as more than just a financial experiment, it is now a tool of diplomacy, economic survival, and geopolitical manoeuvring. According to an ET report, countries from Pakistan to Bhutan, the US to the UAE, are embedding crypto into their national strategies. But amid this global pivot, India remains cautious, caught in a regulatory limbo that experts say is increasingly risky. Pakistan's crypto push: Strategic ties and suspicious timing Weeks before the Pahalgam terror attack, Changpeng Zhao, founder of Binance, agreed to advise the newly-formed Pakistan Crypto Council (PCC). In July, President Asif Ali Zardari signed an ordinance setting up the Pakistan Virtual Asset Regulatory Authority (PVARA), allowing the country to license and regulate crypto entities. The move coincides with Pakistan's deepening ties to World Liberty Financial (WLF), a Trump-linked crypto firm. As ET notes, Pakistan is using crypto not just to attract investment but to gain currency with Washington. This could explain the US's relatively muted stance on Pakistan during Operation Sindoor. 'Crypto is becoming a channel for strategic financial flows for Pakistan,' Anirudh Suri of India Internet Fund told ET. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like นี่อาจเป็นโอกาสทองที่ดีที่สุดในรอบ 5 ปีสำหรับการเทรดทองคำ IC Markets อ่านเพิ่มเติม Undo He warns that this strategy poses a threat to India's attempts to cut off terror financing through global agencies like FATF and IMF. India's position: Still undecided, still unclear Despite multiple reminders from the Supreme Court, India is yet to clarify its stance on cryptocurrency. In a hearing in May, the apex court asked why the Centre had not produced a clear policy. The Reserve Bank of India remains sceptical, citing concerns over monetary stability, while SEBI has reportedly suggested multi-agency oversight. As ET highlights, India currently levies a 30% tax on crypto gains and 1% TDS on larger transactions, while exchanges are required to register with FIU-IND. Yet, a promised discussion paper outlining a national crypto framework, expected in June, is still awaited. Meanwhile, the use of crypto in terror financing is reportedly on the rise. Following the Pahalgam attack, FIU instructed exchanges to monitor transactions from Jammu and Kashmir, specifically scrutinizing private wallets and privacy coins, ET reported. Bhutan's bitcoin reserves: Small state, bold bet While Pakistan's crypto strategy raises alarms, Bhutan presents a very different model. As per ET, the Himalayan kingdom has mined over $1.3 billion worth of bitcoin, nearly 40% of its GDP, using surplus hydropower. Bitcoin now supports Bhutan's public spending, tourism projects, and even salary hikes for civil servants. Although India supports Bhutan's economic diversification, ET notes concerns about reduced hydropower exports and the country's increasing reliance on Chinese bitcoin mining gear. Companies like Adani are exploring data center opportunities there, which could shape bilateral ties going forward. Trump, stablecoins and the blurred lines of power In the US, the GENIUS (Guiding and Establishing National Innovation for US Stablecoins) Act is set for a vote. It aims to regulate stablecoins like USD1, launched by Trump's firm, World Liberty Financial. According to ET, Trump earned $57.4 million in 2024 from this venture, sparking allegations that the act could enable political favours for investors. An Abu Dhabi-based fund has already pledged $2 billion in USD1 for Binance. Experts quoted by ET worry that countries like Pakistan may exploit these loopholes to regain favour with the US. Subimal Bhattacharjee, a cybersecurity expert, warns this could undermine global financial norms under the cover of policy. What India must do - before it falls behind Experts say India must act quickly. 'Crypto doesn't really listen to borders,' Ananya Kumar of the Atlantic Council told ET. 'It's not a domestic issue, it's a global one.' Jaideep Reddy of Trilegal added that crypto lacks legal clarity under India's securities, foreign exchange, and tax laws, creating confusion for both businesses and consumers. ET also highlights concerns over capital flight via dollar-backed stablecoins. Regulating such flows while enabling legitimate innovation is critical, say experts. As the Supreme Court presses for answers and neighbours surge ahead with defined policies, India faces a stark choice: lead with a robust, transparent crypto strategy, or risk being outpaced and outflanked in the new digital order. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now