Photo: Alamy
Trump Media and Technology Group, the umbrella under which President Trump’s free speech platform Truth Social operates, has announced its intention to partner with one of the nation’s largest crypto trading platforms, combining their new foray into the world of financial services with digital tech.
According to a press release from the company, TMTG has inked a non-binding agreement with Crypto.com, with the intention of launching “a series of exchange-traded funds and exchange-traded products” using their newly launched financial brand, Truth.Fi.
These “ETFs” will be available through a broker dealer, the company explained, and will additionally include “a unique ETF basket of cryptocurrencies incorporating Bitcoin, Cronos, and other crypto assets.”
TMTG CEO and Chairman Devin Nunes praised this partnership as an “inventive” move poised to join “firms that concentrate on rapid growth, technological innovation, and strengthening the U.S. economy, unencumbered by woke nonsense and political posturing.”
But what is an ETF? According to American financial services company Charles Schwab, ETFs are funds that trade on exchanges. Specifically, ETFs represent bundled assets that can be exchanged during market hours, like regular stocks on the traditional stock exchange.
Some benefits of ETFs, according to Charles Schwab, are that they offer a diversification of assets, a lower cost than mutual funds, flexibility to meet personal investment needs, and “are widely considered to be more tax efficient than actively managed mutual funds for a number of reasons.”
“These ETFs will give consumers more options from a brand with a loyal following. Once launched, these ETFs will be available on the Crypto.com App for our more than 140 million users around the world,” said Kris Marszalek, co-founder and CEO of Crypto.com in an official statement.
Per TMTG’s press release, the ETFs will be launched in tandem with “a slate of Truth.Fi Separately Managed Accounts.” TMTG will utilize up to $250 million as part of an investment strategy in both the ETFs and SMAs.
In February, TMTG announced the launch of financial services-based Truth.Fi, which joined Truth Social and its live-streaming platform, Truth+.
