Trump's Media Tech Giant Dives into Fintech, Stock Surges 10%

Donald Trump’s Media Technology Group (DJT.O) Soars 10% Pre-Market After Entering Financial Services Sector

In a strategic move, Donald Trump’s Media Technology Group (DJT.O) has announced its entry into the financial services sector, sending its stock soaring 10% in pre-market trading. The company, which operates the Truth Social platform, has launched a new fintech arm called Truth.Fi, focusing on investment products that align with an "America-first" strategy.

The new venture, Truth.Fi, plans to develop a range of investment products, including customized exchange-traded funds (ETFs), separately managed accounts (SMAs), and exposure to Bitcoin and other cryptocurrencies. The company has allocated up to $250 million for these investments, with Charles Schwab acting as the custodian and Yorkville Advisors serving as the registered investment adviser (RIA).

Truth.Fi aims to provide American investors with alternatives to traditional institutions, which TMTG often portrays as politically biased. The company's CEO, Devin Nunes, framed the move as part of a broader goal to offer alternatives to mainstream social platforms and streaming services, emphasizing the new financial venture's intention to provide American investors with options outside of "Big Tech and woke corporations."

The company has been hinting at a move into fintech for some time, with reports surfacing in November 2024 that it had filed a trademark application for the name "TruthFi," describing it as a payment platform for digital assets. The company hasn't provided a detailed timeline for when Truth.Fi's products will hit the market, but it says multiple investment vehicles are planned for rollout in 2025, depending on finalizing partnerships, securing funding, and clearing regulatory hurdles.

Trump Media stock (DJT) surged following the announcement, with shares rising from $30.04 at market close on Jan. 28 to $35.30 in pre-market trading on Jan. 29, reflecting a 17.51% jump at press time.