Newsmax Plans Up To $5 Million Crypto Reserve In Bitcoin And Trump Coin
Newsmax Inc. (NYSE: $NMAX) said Thursday that its board of directors has authorised a strategic purchase plan of up to US$5 million to acquire both Bitcoin (CRYPTO: $BTC) and Trump Coin (CRYPTO: $TRUMP) over the next 12 months, marking the company’s entry into corporate digital-asset reserves.
In a filing, Newsmax said it expects to join “more than 100 public companies that hold Bitcoin or other cryptocurrencies on their balance sheets.”
The plan includes adding Trump Coin — a meme-token launched earlier this year and linked to former President Donald Trump — to its strategic reserve. The circulating value of Trump Coin is estimated at more than US$1.2 billion, with total market value around US$6 billion, according to figures from the company.
“The decision reflects our belief that Bitcoin is fast becoming the gold standard of cryptocurrency, and we believe it would be an important company marker to add this asset to our company reserves,” said CEO Christopher Ruddy. He added that the company is “also excited to add Trump Coin … as we believe the coin's value should track the success of the Trump presidency.”
Newsmax noted its first tranche of cryptocurrency purchases will be made in the near term, with additional acquisitions evaluated based on market conditions, operational requirements and strategic objectives. The company also said it has established comprehensive protocols for digital-asset custody and management, partnering with institutional crypto services providers to ensure secure storage.
Shares of Newsmax Inc. (NMAX) are trading at US$10.83, down 3.99 percent