Trump Media Stock Tanks 9.4% Amid Crypto Partnership Collapse
The stock of Trump Media & Technology Group (NASDAQ: DJT) plummeted 9.4% on Monday, August 10, as its market value appears disconnected from its fundamentals. The company's $2.8 billion market cap is a significant disconnect considering it has lost over $530 million in the past year with only $3.7 million in revenue.
Trump Media recently scrapped its crypto partnership with Crypto.com due to the collapse of Cronos (CRO) tokens from $0.20 to just $0.047. The company still holds significant crypto assets, including Bitcoin, which has led to substantial paper losses as digital asset values have plummeted.
The decision to cancel the plan to create a publicly traded digital-asset treasury company (DAT) was made on August 7 after the math behind the DAT no longer made sense due to the decline in Cronos token value. Trump Media now says its primary focus is Truth Social revenue, as well as closing a proposed merger with a nuclear fusion technology company.