Donald Trump Jr. Invests in Social Media Company That Adopted Bitcoin Treasury Strategy

Key Takeaways

• Donald Trump Jr. holds 350,000 shares of Thumzup Media Corp valued at nearly $3.3 million
• The company approved using Bitcoin as a treasury asset with a $1 million budget
• Thumzup currently holds 19.11 BTC worth over $2.1 million
• Experts debate the sustainability of the Bitcoin treasury model

Thumzup Media Corporation provides a platform for influencers to market various products on social media to generate revenue.

Donald Trump Jr., the eldest son of the US President, disclosed an investment in Thumzup Media Corp, a social media marketing company that has adopted the Bitcoin treasury strategy.

Trump Jr. currently holds 350,000 shares of the company, valued at nearly $3.3 million according to Bloomberg, with the stock currently trading at approximately $9.50 per share.

The company’s board of directors approved the use of Bitcoin as a corporate treasury asset in November 2024 by authorizing the purchase of up to $1 million in Bitcoin. CEO Robert Steele said following this decision:

“With the newly sanctioned Bitcoin ETFs and growing backing from institutional investors, Bitcoin presents a strong addition to our treasury approach. Its finite supply and inflation-resistant qualities enhance its role as a reliable asset for preserving value.”

In May, the company also filed a universal shelf registration with the United States Securities and Exchange Commission (SEC) to raise $200 million through corporate debt and equity to finance further Bitcoin acquisitions.

Thumzup currently holds 19.11 BTC, valued at over $2.1 million according to data from BitcoinTreasuries, which it began accumulating in January.

The proliferation of Bitcoin treasury companies since 2024 has led some analysts to speculate on the sustainability of the corporate treasury model and whether these institutions will persist long-term or fade away, potentially triggering the next prolonged bear market.

Analysts and Bitcoin Maximalists Question Strategy Copycats

MicroStrategy co-founder Michael Saylor popularized the Bitcoin treasury concept after reorienting the business intelligence software company into a Bitcoin treasury company in 2020.

Since then, 258 institutions have adopted Bitcoin as part of their corporate reserves, including asset managers, public companies, private firms, crypto custodians, and government organizations, according to BitcoinTreasuries.

However, some analysts argue that this trend is unsustainable and that many MicroStrategy copycats will fail due to lack of conviction in the supply-capped digital asset.

Bitcoin maximalist Max Keiser stated that Saylor and his company have been battle-tested, weathering previous bear markets and continuing accumulation through market cycles, unlike newer treasury companies that have not faced market downturns.

A report from venture capital firm Breed, published in June, echoed Keiser’s position that most Bitcoin treasury companies will not survive and will be forced into a death spiral once BTC prices begin to decline.