Donald Trump Jr. has made the latest major investment in Thumzup Media Corp by purchasing 350,000 company shares. The shares were bought at a $6 million private placement, worth over $4 million according to recent prices for his stake.
Thumzup Media is a small startup from Los Angeles running an app that pays individuals to make product reviews for Instagram. Despite the increased publicity, the company only earned revenues of $151 in the final quarter in comparison to the loss of $2.2 million.
Trump Jr. bought the unit following the advice of his financial advisor and has no active role in running the company. Dominari Securities facilitated the private placement, listing Donald Jr. and Eric Trump as advisors.
Thumzup’s stock increased by 75% over four days but decreased 17% mid-Wednesday, indicating high volatility in the market. In spite of weak financials, the company continues to be in the news due to its ambitious crypto-centric plans.
Earlier in the year, Thumzup revealed it would keep the majority of its money in the form of Bitcoins in its long-term business model. It now holds more than $2 million in Bitcoin and will launch six more cryptocurrencies in the near future.
Crypto controversies surround Trump’s financial moves
Trump Jr.’s recent share placement will fund the crypto drive. The company shows a firm commitment to its crypto treasury setup despite weak earnings and high market risk.
The investment is also part of a growing crypto trend tied to the broader Trump family financial interests. Recent examples include those from Trump-related companies, including the Trump Media Group’s 2.3 billion bitcoin stake.
These other business activities include meme coins such as $TRUMP and $MELANIA, as well as advisory roles in crypto firms like Metaplanet. Donald Trump has also evolved from being the one attacking crypto to now promoting a policy favoring the adoption of digital currency.
The activities of the Trump family in crypto have sparked concerns regarding conflicts of interest and financial openness. Despite that, they continue to play an increasingly significant role in defining crypto trends and investments in different sectors.
