Trump Media & Technology Group (TMTG), the company behind the Truth social platform, filed a launching file of a new fund negotiated on the stock market (ETF) which would follow Bitcoin and Ethereum.
The file, subject to Securities and Exchange Commission of the United States (SEC) on June 16, marks a bold decision in the transition of the company to digital finance.
According to the file:
“The trust is a passive investment vehicle which does not seek to generate yields beyond the monitoring of the prices of bitcoin and ether and, insofar as confidence is involved in the staggered (as defined here), the awards won by its marked ether.”
The proposed FNB will allocate 75% of its Bitcoin portfolio and 25% in Ethereum.
TMTG has teamed up with Crypto Exchange Crypto.com to manage the custody, the execution of the negotiation, the development and the liquidity medium.
Yorkville America Digital should sponsor ETF. If the SEC approves form 19B-4 corresponding, the fund will be registered on NYSE ARCA.
Despite the announcement, TMTG’s actions have shown little movement. According to Google Finance Data, the action has dropped by around 2% to less than $ 20, its lowest price since April.
Trump Media’s strategic change to crypto
This decision represents an important step in TMTG’s efforts to go from a social media-centered platform to a wider fintech player.
The company recently continued this transition by associating with Crypto.com and Yorkville America to develop a range of TMTG brand ETF mixing digital and traditional assets.
One of the flagship offers will be this social and ETF Bitcoin truth, a product that is based on a previous deposit of Nyse Arca to list the social fet Bitcoin Truth.
In addition to its ETF ambitions, TMTG recently obtained a regulatory authorization for a Bitcoin cash agreement of $ 2.3 billion, reporting plans to strengthen its crypto reserves.
These developments point out TMTG’s growing commitment to digital assets. By associating with the main players in the industry and entering the ETF market, the company aims to capitalize on the increase in the adoption of cryptography and to offer regulated exposure to the main digital assets.
