Former US President Donald Trump’s media venture, Truth Social, comes into Wall Street spotlight as he navigates significant legal and financial challenges.
Former US President Donald Trump’s social media platform, Truth Social, is poised for a debut on Wall Street through a merger with Digital World Acquisition Corporation. This step, approved by shareholders, could significantly increase Trump’s net worth, with his stake in the company estimated at around $3 billion. The move comes at a critical time for Trump, who requires funds to cover substantial court-ordered penalties and legal expenses.
Founded in the aftermath of Trump’s ban from Twitter, Truth Social aimed to challenge major social media giants but encountered financial hurdles, including losses amounting to tens of millions since its 2022 inception. Despite these setbacks, the merger’s approval signals optimism for the future of Trump’s media venture, with the stock, listed as DJT, anticipated to draw investor and supporter attention.
Simultaneously, Trump’s financial stability is under scrutiny due to difficulties in securing $454 million to meet a bond deadline linked to a New York civil fraud judgment. Claims of having “almost $500m in cash” contrast these financial strains, alongside reports indicating it is “practically impossible” for Trump to achieve the bond requirements. Legal expenses have been steep for Trump, with at least $76 million spent over two years.
To address his financial needs, Trump has established a new fundraising strategy with the Republican National Committee (RNC), focusing on redirecting donations to support his campaign and legal expenses before benefiting the RNC. An event in Florida exemplifies this approach, seeking donations up to $814,600 for a seat at Trump’s table. Concerns have arisen within the Republican Party about the potential financial drain caused by Trump’s strategy, especially with an impending election and his determined stance against filing for bankruptcy.
These developments mark a critical period in Trump’s financial and political maneuvering, with his business ventures and fundraising strategies drawing close scrutiny.
