Trump Transfers $4B Stake in Trump Media to Trust Amid Stock Volatility
Friday, Dec 20, 2024 12:08 pm ET
In a significant move, former President Donald Trump has transferred his $4 billion stake in Trump Media and Technology Group (TMTG) to a revocable trust, according to a recent regulatory filing. This transfer comes amidst the company's volatile stock performance, raising questions about Trump's involvement and the company's future direction.
Trump Media, the parent company of Truth Social, a social networking site, has been a rollercoaster ride since its inception. The company's shares have been extremely volatile, with fluctuations tied to Trump-related news. For instance, the stock tumbled after Trump's conviction in a hush money trial in May 2023, then surged after the first assassination attempt on Trump in July 2023. Similarly, the stock surged again after he won re-election in November 2023, despite the company reporting a $19.2 million third-quarter loss.
The transfer of Trump's stake to the Donald J. Trump Revocable Trust, with Donald Trump Jr. as the sole trustee, could signal a shift in Trump's involvement with the company. However, the revocable nature of the trust allows Trump to maintain control over the company, as he can revoke the trust at any time, regaining full ownership of the shares. This means that Trump can still influence the company's decision-making processes, despite transferring the shares to the trust.

The transfer of voting and investment power to Donald Trump Jr. could significantly impact Trump Media's strategic direction and performance. As the sole trustee, Trump Jr. now holds sole control over the company's securities, which amount to more than half of its stock. This concentration of power could lead to a more aggressive or risk-averse approach, depending on Trump Jr.'s investment strategy. However, it's crucial to note that the trust is revocable, meaning Trump Sr. could potentially regain control at any time. This uncertainty may introduce additional volatility to the company's stock price, which has already been extremely volatile since its inception.
The transfer of Trump's stake to a trust may impact the company's ability to raise capital and attract new investors. Trump's shares, amounting to over half of the company's stock, are now controlled by the Donald J. Trump Revocable Trust, with Donald Trump Jr. as the sole trustee. This transfer could potentially limit the company's flexibility in issuing new shares or offering equity-based incentives to attract and retain talent. Moreover, the transfer might raise concerns among potential investors about the company's governance and decision-making processes, as Trump Jr. now holds sole voting and investment power over the trust's securities. However, the revocable nature of the trust suggests that Trump maintains some level of control, which could either reassure or deter investors, depending on their perspective.
In conclusion, Trump's transfer of his $4 billion stake in Trump Media to a trust amidst the company's volatile stock performance raises several questions about the company's future direction and Trump's involvement. While the transfer allows Trump to maintain control over the company, it also introduces uncertainty and potential challenges in raising capital and attracting new investors. As the company continues to navigate a volatile market and political landscape, investors will be closely watching Trump's involvement and the company's strategic direction.
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We made contac! The Ancient Alien Theorists were right!
No recent comments, so I'll update things. As of writing this, BoxOfficeMojo is reporting Sinners has reached $236,728,722 worldwide in 17 days. Word of mouth helped it to hardly drop off much, even in third weekend against the opening of Thunderbolts. So it should end up probably over $300 mil before done, not counting home video profits.
A bonified smash!
*finger crossed* It gets some love at the Oscars.
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it went parabolic It's almost I feel doing
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game...some of the questions I see on
here people really listen to the media then
it's changed an forgotten in ghe news
literally 5 days later not even and
lol its forgotten
The banks make too much money in fees using Swift that's why they're reluctant to adopt xrp cuz they would rather keep ripping people off that want to send cross border payments the old archaic way with Swift but it's coming and you can't stop it you can hold on to your power with Glenn death but as your heart gets weaker and weaker and you get older and older you will no longer have power from the grave and then eventually xrp will be adopted for institutional use your powers stops when they throw the first shovel of dirt on top of your casket
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XRP has once again found support near the $2.1 range, signaling a strong rebound ahead. A powerful surge is imminent, with the next target set at $4
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xrp may bounce to $4 after tariff shits ends
Egrag Crypto’s bold $27 XRP prediction is certainly intriguing! A 7-year symmetrical triangle breakout and a 283% surge make for a compelling technical setup. However, sustained momentum will likely depend on broader market conditions and regulatory developments. Do you think XRP can realistically reach this target?