The Trumps' Bitcoin Bet Is Sour
Donald Trump and his family have added billions to their net worth since Inauguration Day, largely from crypto projects. But recent losses highlight the risks. Eric Trump’s American Bitcoin Corp reported an $82 million loss in Q1 2026, following a similar loss at Trump Media and Technology Group (Truth Social), which has lost $1.1 billion since founding—mostly from bitcoin.
The Bitcoin Treasury Strategy
Both companies use a bitcoin treasury strategy: buy and hold bitcoin. It works only if bitcoin's price rises. After peaking at $126,198 late last year, bitcoin fell to $64,856 in February and has since rebounded to ~$80,000. The strategy was pioneered by Michael Saylor (Strategy), whose company's stock soared from $50 to $405 but has now crashed to $181, with a $12.5 billion loss in Q1. Saylor now plans to "actively manage" his bitcoin hoard.
Potential Catalysts for Bitcoin
Two government actions could boost bitcoin:
- CLARITY Act: Aims to provide regulatory clarity for crypto. Passed the House and is headed to the Senate; Trump wants to sign by July 4. News of the House passage already pushed bitcoin above $80,000.
- US Strategic Bitcoin Reserve: Trump ordered the government to accumulate bitcoin, similar to his companies. A "big announcement" is expected soon.
Bottom Line
If these efforts lift bitcoin's price, the First Family's wealth stands to benefit significantly.
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