Trump Media Group Blames Crypto for Over $400 Million Q1 Loss

Key Insights

• Trump Media posted a $405.9 million Q1 loss, largely tied to declines in Bitcoin and crypto holdings.
• The company generated less than $1 million in quarterly revenue despite ongoing expansion plans.
• Bitcoin recovered above $80,000, though analysts still describe the market structure as weak.

Trump Media & Technology Group posted a $405.9 million net loss in the first quarter of 2026 after declines in its cryptocurrency and equity holdings erased hundreds of millions in portfolio value.

According to filings submitted to the U.S. Securities and Exchange Commission, the company recorded a $368.7 million mark-to-market decline tied primarily to Bitcoin and other digital assets.

Trump Media Crypto Holdings Drove Q1 Losses

Trump Media disclosed that its Bitcoin treasury accounted for most of the quarterly valuation hit. The company previously held 11,542 BTC earlier this year. Its holdings have since declined to 9,542 BTC at an average acquisition price of $118,529 per coin.

At current market prices, those Bitcoin holdings are valued at nearly $766 million. The company currently carries an estimated unrealized decline of roughly $364 million on the position.

Trump Media also disclosed ownership of more than 756 million Cronos tokens. The position is currently worth approximately $53.8 million after CRO declined more than 52% from prior levels.

The company estimated losses on its Cronos holdings at roughly $62 million.

Public companies holding digital assets now report quarterly mark-to-market adjustments under updated accounting standards. That means firms must reflect current asset values even if they do not sell the holdings.

Despite the losses, Trump Media still reported total assets of approximately $2.2 billion, with financial assets representing more than $2 billion.

Trump Media Struggles With Revenue Even As It Plans a Merger

Interestingly, a key detail in the company’s financial report was its minimal revenue. It generated only $0.9 million in revenue in Q1, showing that the Truth Social operator is still struggling.

The company generated only $3.7 million in revenue in 2025 and posted a net loss of $712.3 million. This was part of what led to the former CEO, David Nunes, leaving in April after four years, with former company advisor Kevin McGurn appointed to an interim position.

However, it still posted a positive operating cash flow of $17.9 million and plans to expand Truth Social. It stated that it is testing new features for the platform, including prediction contract discussions, sports, boosted posts, and others.

The interim CEO, Kevin McGurn, stated that it is currently focused on growing its infrastructure. Still, it plans to quickly conclude the proposed merger with TAE Technologies, a nuclear fusion company. The merger agreement was reached in December 2025 but has yet to be finalized.

Unsurprisingly, the company’s struggles have had a massive impact on its stock value. Trump Media, trading under the ticker DJT, closed this week at $8,93, down almost 5%. The stock is down 32.55% this year and more than 90% from its 2022 peak.

Bitcoin Returns to $80,000 as Bear Market Continues

Meanwhile, Trump Media’s paper losses on its Bitcoin holdings could be wiped out if Bitcoin continues its trend. The flagship asset, which fell below $80,000 on Friday, is now back above that level, solidifying its position.

It has now stayed in the $80,000 range for almost a week, with a year-to-date loss of only at 9.44%. Many believe Bitcoin may be on the path to a full recovery.

However, experts believe it is still a bear market, and recent gains could trigger massive profit-taking and a price decline. CryptoQuant head of research, Julio Moreno, described the recent performance as a bear-market rally and noted that holders have been taking profits.

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