Trump Media Group, the creator of Truth Social, is expanding its services into the financial sector by launching a new platform, Truth.Fi, focused on crypto investments, ETFs, and managed accounts.
Launch of Financial Platform Truth.Fi
The new fintech platform, Truth.Fi, will focus on crypto investments, exchange-traded funds (ETFs), and separately managed accounts (SMAs). The company's board has approved up to $250 million in investments, with Charles Schwab acting as custodian and investment advisor. TMTG CEO Devin Nunes noted the company's aim to create a new decentralized financial system.
TRUMP Token Dynamics After Announcement
Despite the launch of Truth.Fi, the TRUMP token has not seen gains. The current price is $27.59, a 2.98% decline from the previous day. The token's price fluctuated between $26.41 and $28.40. TRUMP has lost 63.54% of its value since its peak of $75.35 on January 19, 2025.
Regulation and Conflict of Interest Concerns
Ethics regulators are concerned TMTG's entry into financial services may lead to conflicts of interest. Critics believe the U.S. President could influence cryptocurrency market regulation, affecting his own company's investments. Former White House ethics lawyer Richard Painter noted that transferring interests to Trump's son does not eliminate potential conflicts.
The company plans to introduce Truth.Fi investment products by the end of 2025, pending necessary permits. Plans to balance traditional assets with crypto exposure may alter the industry. The development of Truth.Fi reflects the rising interest in the crypto industry and ongoing blockchain regulation.
