Trump-Linked Bitcoin Mining Firm Raises $220 Million
Another twist in the ongoing saga of Donald Trump and cryptocurrency. This time, it’s not just the former president making waves—his sons are stepping into the spotlight too. American Bitcoin, a mining company with ties to Trump’s family, has reportedly pulled in $220 million in funding. The money’s earmarked for buying up Bitcoin and mining hardware, according to Bloomberg.
The financing came together after the company sold over 11 million new shares to private investors late last week. What’s interesting, though, is how some of those shares were sold. About $10 million worth traded hands not for cash, but for Bitcoin itself—priced at roughly $104,000 per coin. That’s a hefty premium over the current market rate, which raises a few questions. But then again, this whole space operates on its own logic sometimes.
What’s the Plan for the Funds?
The company’s statement was broad, leaving room for interpretation. The cash will go toward “strategic and Bitcoin accumulation objectives,” which could mean just about anything. Mining equipment? Sure. Direct purchases of Bitcoin? Probably. The wording’s vague enough that they’ve got flexibility, but it’s clear they’re doubling down on crypto.
American Bitcoin isn’t exactly a standalone operation. It was co-founded by Eric Trump and Hut 8, a well-known player in the mining scene. And there’s another layer to this—the company’s trying to go public. They’re working on an all-stock merger with Gryphon Digital Mining, which is already listed on Nasdaq. If the deal goes through, existing stakeholders—including Eric Trump, Donald Trump Jr., and Hut 8—will hold onto 98% of the new entity’s shares.
Why This Matters
It’s hard to ignore the political undertones here. Trump himself has been flirting with crypto lately, even accepting Bitcoin donations for his campaign. Now, with his sons involved in a major mining venture, it feels like the family’s making a calculated bet on the industry’s future. Whether that’s a smart move or just hype, well, time will tell.
But let’s be real—mining isn’t what it used to be. With energy costs soaring and competition tightening, turning a profit isn’t guaranteed. Still, $220 million gives American Bitcoin a fighting chance, assuming they spend it wisely.
One thing’s for sure: this isn’t just another corporate funding round. Between the Trump connection and the unconventional share sale, it’s a story that’ll keep people talking. Whether that attention translates into success, though, is a whole other question.
*Not financial advice, obviously. Just laying out the facts.
