Truth Social is the social media platform launched by Donald Trump. The company was born out of his departure from Twitter following his permanent ban in January 2021. Frustrated by what he perceived as censorship on mainstream platforms, Trump created Truth Social under the Trump Media & Technology Group (TMTG). Its mission is to provide a space for free speech, particularly for conservatives, and more recently, offer fintech services through its Truth.fi platform.
Focusing on countering perceived bias in social media, Truth Social quickly gained attention in the political sphere. Beyond Trump, key figures in the venture include former Republican Congressman Devin Nunes, who serves as the CEO of TMTG. In addition, one of the founders is Andy Litinsky, former The Apprentice contestant and radio host.
But how much of Truth Social does Trump own, and how did the company transition into a publicly traded entity in less than 2 years?
Donald Trump has a majority stake in Truth Social through his holding in the Trump Media & Technology Group (ticker: DJT). Up until recently, Trump had 114.75 million shares – equal to 53% ownership of publicly traded TMTG.
This arrangement, while common for high-profile figures, has sparked questions about the extent of Trump’s involvement and potential conflicts of interest. He recently transferred these shares to his Donald J. Trump Revocable Trust, in an attempt to separate his personal finances from the direct operations of the company.
Trump Media & Technology Group Corps trades on the NASDAQ under the ticket DJT – a nod to its driving entity Donald Trump.
The price action of DJT stock has been volatile since its public debut in October 2021, driven largely by political events and public interest in Trump. DJT stock enjoyed a significant rally following the merger between Trump Media and Technology Group and Digital World Acquisitions Corp in March 2024, which brought Truth Social under the DJT umbrella. The stock has been steadily ascending in value once again since Trump’s election victory was sealed in November 2024.
Donald Trump’s portfolio extends beyond Truth Social, though the specifics are often opaque. Trump’s financial interests include various Magnificent 7 stocks and industries aligned with his business endeavors:
The journey to Truth Social becoming part of a publicly traded company is unconventional, involving a process known as a Special Purpose Acquisition Company (SPAC). Here’s the timeline of key events:
As a result of these events, many investors have questioned the legitimacy and stability of Truth Social. With a market capitalization in the billions, financial losses from previous years ramping up, and users flowing away, users remained cautious about the DJT stock.
A Special Purpose Acquisition Company (SPAC) is a publicly traded shell company created to raise funds and acquire or merge with an existing private company. Sometimes called “blank-check companies” SPACs do not have any operations or products of their own. Instead, they exist solely to help private companies go public quickly.
SPACs have gained popularity in recent years because they allow companies to bypass the lengthy and expensive traditional initial public offering (IPO) process. However, the lack of initial scrutiny can raise concerns about the transparency and financial stability of the companies involved. Truth Social’s SPAC merger with DWAC sparked criticism about the legitimacy of the process and the risks for investors.
On January 29, 2025, Trump Media & Technology Group announced its expansion into the financial services sector with the launch of Truth.Fi. This new platform aims to offer financial solutions tailored for “American patriots” who have faced challenges with traditional banking institutions. Truth.Fi’s offerings will include cryptocurrencies, customized separately managed accounts (SMAs), and tailored exchange-traded funds (ETFs), with a particular focus on Bitcoin and related securities.
The company plans to invest up to $250 million of its $700 million cash reserves into these financial products, managed through a custody account with Charles Schwab. This move aligns with Trump’s pro-crypto stance, including the launch of the meme coin $TRUMP on January 17, 2025.
Truth Social’s stock has faced several criticisms since its public debut. While some investors see it as an opportunity, others view it as a highly speculative and risky investment.
These criticisms highlight the risks associated with investing in Truth Social. At the same time, they emphasize the importance of due diligence for potential investors.
Truth Social’s emergence as a social media platform and public company represents a unique intersection of politics, technology, and finance. Furthermore, with Donald Trump set to become president of the United States, the platform’s success is tied to his brand.
While Truth Social has garnered significant attention and sparked debate, its long-term existence will depend on its ability to balance political aspirations with sustainable business practices.