The cryptocurrency market’s recent downturn has significantly impacted the wealth of the Trump family, resulting in a loss of approximately $1.6 billion in net worth. The family’s fortunes have dropped from $7.7 billion in early September to about $6.7 billion, primarily due to the volatility of their crypto investments.
Since August, the value of a Trump-branded memecoin has declined by nearly 25 percent. Additionally, Eric Trump’s stake in a Bitcoin mining venture has lost about half its peak value. Shares of Trump Media & Technology Group, the parent company of the social media platform Truth Social, have also fallen, reaching near all-time lows. This selloff is part of a broader market decline that has erased over $1 trillion from the cryptocurrency sector.
The Trump family has diversified its investments in digital assets, but this diversification has not shielded them from the ongoing market volatility. Investors who participated in Trump-linked projects face significant losses, particularly those who purchased the memecoin at its peak during its announcement.
Despite the downturn, Eric Trump remains optimistic. He has encouraged investors to take advantage of the low prices, stating, “What a great buying opportunity. People who buy dips and embrace volatility will be the ultimate winners. I have never been more bullish on the future of cryptocurrency and the modernization of the financial system.”
Trump Media’s Investment in Cryptocurrency
The decline in the Trump family’s wealth is closely tied to their investments in various cryptocurrency ventures. Trump Media, which has invested around $2 billion in Bitcoin and related securities, has seen a significant drop in value. The company’s stockpile, acquired when Bitcoin was valued at approximately $115,000, has incurred a loss of around 25 percent.
Donald Trump is the largest stakeholder in Trump Media, with his holdings managed by his eldest son, Donald Trump Jr. As shares of Trump Media fell to record lows, the president’s stake has decreased in value by about $800 million since September.
The company has also ventured into other cryptocurrency projects, notably with the Singapore-based exchange Crypto.com. Together, they are launching a prediction market called Truth Predict, allowing users to bet on various events.
World Liberty Financial and Other Ventures
The Trump family’s flagship crypto initiative, World Liberty Financial, has seen its affiliated token, WLFI, drop from 26 cents to about 15 cents. At its peak, the family’s WLFI holdings were nearly $6 billion, but the current value stands at approximately $3.15 billion. Notably, these holdings are not included in the Bloomberg Billionaires Index valuation due to trading restrictions.
The company had previously sold some tokens to Alt5 Sigma Corp, generating $750 million in cash and equity. While investors in Alt5 have suffered losses of about 75 percent, the Trump family benefitted from the deal, receiving around $500 million from token sales prior to the Alt5 agreement.
Another project, American Bitcoin Corp, co-founded by Eric and Donald Trump Jr., has also seen volatility. Eric Trump holds approximately 7.5 percent of the company, which peaked at $9.31 per share. Since then, the stock has plummeted by more than 50 percent, resulting in a loss exceeding $300 million for the family.
The Trump family’s investments in cryptocurrency illustrate the dual nature of risk and opportunity in the digital asset market. As they navigate these turbulent waters, their strategies and responses to market fluctuations will be closely watched by both supporters and investors.
