Trump Media reports $238m loss as crypto falls

President Donald Trump's social media company, Trump Media and Technology Group, reported a significant loss of $238 million (£176 million) for the April to June quarter. This loss marks a dramatic increase, being more than ten times the amount reported during the same period a year earlier. The company, which operates the Truth Social platform, attributed the loss to its foray into unrelated ventures, including cryptocurrencies.

The group's interim CEO, Kevin McGurn, stated that more than ten customers have signed up for a new service offering faster access to Trump's posts to paying customers. Despite this setback, the company reported $1.7 million in revenue, an 89% increase from the same period last year. The total assets of the group stand at $2 billion, with financial assets around $1.9 billion, which includes cash, short-term investments, and digital currencies.

Trump Media and Technology Group has yet to turn a profit, even as it continues to expand into areas such as cryptocurrency holdings and clean-energy investments. The company's decision to offer Wall Street traders faster access to Trump's posts on Truth Social has raised legal and ethical questions, particularly regarding the potential profit from the president's public statements.

The new service, according to Trump Media, is expected to provide the company with a new revenue stream. Kevin McGurn expressed optimism, stating that shareholders can anticipate more frequent updates on the company's progress each quarter as it enters a new chapter.