Today in Crypto: Trump Media’s Q1 loss widens to $406 million on bitcoin, CRO markdowns
In the current cycle, trump Media & Technology Group (DJT) reported a $405.9 million first-quarter net loss on $871,200 in revenue, widening from $31.7 million a year earlier as unrealized losses on its crypto holdings weighed on results.
The parent company of Truth Social booked $244 million in unrealized losses on its crypto token holdings.
It also recorded a $108.2 million investment loss tied mostly to equity securities.
Trump Media held 9,542.16 bitcoin BTC$80,399.78 at the end of March, with a cost basis of $1.13 billion and a fair value of $647.1 million, the firm wrote in a filing with the SEC.
The company also held 756.1 million CRO$0.07138 with a cost basis of $113.9 million and a fair value of $53 million.
Trump Media closed the purchase of $105 million in CRO last year as part of a Crypto.com deal that tied the token to Truth Social and Truth+ rewards.
Trump Media reported $17.9 million in operating cash flow for the quarter, helped by the sale of previously purchased put options on pledged bitcoin and bitcoin-related securities.
A portion of the firm’s bitcoin is locked up.