Trump Media Considers Truth Social Spin-Off Amid Crypto-Related Losses

Trump Media & Technology Group is actively exploring a spin-off of Truth Social into a standalone publicly traded company, according to sources familiar with the matter. The MOVE comes as the parent company grapples with over $700 million in net losses last year, partially attributed to underperforming digital asset holdings.

The proposed structure WOULD distribute shares of a new Truth Social entity to existing investors, potentially followed by a merger with a special purpose acquisition company (SPAC). This would create a separate stock listing for the social media platform that has served as former President Donald Trump's primary digital megaphone.

Discussions remain ongoing with no final agreements signed, requiring regulatory filings before execution. The spin-off would allow markets to evaluate Truth Social's performance independently from the parent company's other ventures, which have recently shifted strategic direction.