Trump’s son loses 600 million in Bitcoin investment

Earlier this week, it was revealed that Donald Trump’s family had earned some $2 billion ever since his return to the White House, largely thanks to his numerous crypto ventures, such as the Trump memecoin and World Liberty Financial.

His son Eric Trump fared far worse in his crypto dealings however, losing some $600 million via American Bitcoin, a crypto mining company. The value of American Bitcoin shares has plummeted by 95% ever since the company’s launch on the US stock markets.

Cleanspark

Competitors such as Riot Platforms and MARA saw the crypto market cooling as from October last year and increasingly leased their high-performance computing systems to AI companies—a move mining firm Cleanspark had already made the previous year. Driven by massive the AI-boom, this strategy proved highly successful, with shares of Riot and MARA rising by an average of around 60 percent.

Eric Trump, however, was convinced that the price of Bitcoin would quickly bounce and refused to adopt the same strategy for his company, American Bitcoin, a venture he frequently promoted on Fox News.

That ultimately proved to be a serious mistake, as the share price of the company, listed on the Nasdaq technology exchange, has plummeted by around 95% since its launch, given the rising cost of mining Bitcoin.

American Bitcoin continues to pursue its original strategy: buying as much Bitcoin as possible. Last Monday, the company bought another 500 coins. Just as MicroStrategy, the share price of American Bitcoin has become totally dependent on the price swings of Bitcoin itself.