On August 2, wallets associated with Trump Media transferred 2,628 Bitcoin, approximately valued at $165 million, to Crypto.com, according to on-chain analysts Lookonchain.
Summary
- 2,628 BTC was sent to Crypto.com, yet no company filing has confirmed a direct sale at this moment.
- In March, Trump Media disclosed holdings of 9,542.16 BTC, which included 4,260.73 BTC used as collateral for secured convertible notes.
- Lookonchain estimates that cumulative realized and unrealized losses on Bitcoin could reach $555 million following seven months of transactions.
This transaction is believed to have decreased the wallets’ balance to roughly 4,261 BTC. Lookonchain described this move as another sale, estimating that Trump Media has liquidated 7,281 BTC over the past seven months. However, as of August 2, neither Trump Media nor any SEC filing has confirmed if the latest transfer was a sale. Transfers to an exchange may preface a sale, custody change, collateral arrangement, or other internal processes.
No Confirmation of Trump Media Sale
Lookonchain reports that the company initially acquired 11,542 BTC at an approximate cost of $1.37 billion, averaging $118,522 per coin. The report suggested, “It seems that Trump Media has sold another 2,628 BTC,” highlighting uncertainty about the finality of this exchange.
EmberCN also tracked the 2,628 BTC to Crypto.com, estimating that the related wallets transferred about 7,281 BTC in total. The Arkham entity page noted two recent transfers totaling about 2,628 BTC, consisting of approximately 2,429 BTC and 198.9 BTC.
Source: Akham
Bitcoin Holdings Align with Pledged Collateral
According to Trump Media’s latest quarterly filing, the most accurate baseline indicates 9,542.16 BTC as of March 31, with a cost basis of $1.131 billion and a fair value of $647.1 million. The number of coins remained the same throughout the first quarter.
The SEC filing also revealed that 4,260.73 BTC was pledged as collateral for convertible notes and could not be withdrawn or distributed until specific contract requirements are fulfilled, with restrictions expected to be lifted no later than May 29, 2028.
The post-transfer balance of around 4,261 BTC closely mirrors the pledged collateral amount, indicating that the monitored wallets mainly hold restricted assets. However, on-chain labels do not unequivocally specify the accounting or legal status of each Bitcoin.
Estimated Losses of $555 Million
Lookonchain evaluated that the 7,281 BTC which left the linked wallets had an average price of $74,855, resulting in losses of around $545 million. Thus, the estimated total realized and unrealized loss for Trump Media’s Bitcoin holdings stands at about $555 million.
It’s vital to mention that these figures remain unverified by the company. The estimate assumes that exchange transfers corresponded to sales at observed market prices. It combines potential losses from transferred Bitcoins with unrealized losses from the remaining balance. Trump Media’s March filing reflected a lower fair value while stating that significant digital asset losses hadn’t been realized at that point.
Furthermore, on May 22, Trump Media moved 2,650 BTC, worth approximately $205 million, to Crypto.com, with the coins staying in an exchange-linked wallet, demonstrating that a transfer does not inherently signify a finalized sale.
Truth API Launch and Regulatory Oversight
This Bitcoin transfer occurred shortly after the August 1 launch of Truth API, a paid service designed to provide institutional clients with quick access to influential posts from Truth Social. The company noted that the service swiftly delivers posts, potentially establishing a recurring revenue model, although revenue expectations are speculative.
U.S. Senators Adam Schiff and Elizabeth Warren have urged the SEC to investigate if this service might violate federal securities laws. Their correspondence expressed concerns that companies paying for the service may receive market-moving presidential posts ahead of ordinary users. Nonetheless, this request does not imply an SEC finding, nor has any public enforcement action been announced by the agency.
Crypto.news reported that Trump Media recorded a net loss of $405.9 million in the first quarter, partly attributable to unrealized markdowns across Bitcoin, Cronos, and a range of securities.
The upcoming quarterly filing for the company should clarify whether the transfers in May and August constituted sales, custody operations, or transactions related to hedging and financing. At present, no verified movement in Bitcoin or DJT prices can be directly linked to the transfer on August 2.
