Trump Media Hit Hard by Crypto Plunge... $240 Million Net Loss in Q2
Trump Media & Technology Group, the social media company owned by U.S. President Donald Trump, posted a net loss of over 200 million dollars in the second quarter, mainly due to a decline in the value of its virtual assets.
On August 10 (local time), Trump Media announced a net loss of 238 million dollars for the second quarter. In the same period last year, the company had posted a net loss of 20 million dollars. Revenue came in at 1.7 million dollars, an 89% increase compared to the same period last year.
According to Bloomberg, these results further highlight Trump Media's deepening financial struggles. The company has pursued various new ventures, such as stockpiling virtual assets and acquiring an experimental clean energy firm, but it has yet to turn a profit.
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Meanwhile, Trump Media launched its “Truth API” service last month. This service allows customers to access posts from President Trump's social networking service, Truth Social, faster than regular users. The monthly subscription fee ranges from 60,000 to 100,000 dollars. Kevin McCahn, Interim CEO of Trump Media, stated that the Truth API has already secured more than ten customers, with the main clients being high-frequency trading (HFT) firms.
Trump Media plans to expand its client base to include individual investors, media companies, and large language model (LLM) developers in the AI industry. In a conference call, Interim CEO McCahn said, "This business could become a meaningful and sustained contributor of revenue, but it is just one part of our broader media and technology strategy."
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