Trump Media posts a $238 million loss: cryptocurrencies and stocks disappoint the media giant again
Trump Media & Technology Group (ticker: DJT) reported a net loss of $238.1 million for the second quarter of 2026. The main blow to financial performance was dealt by the revaluation of crypto assets and shares held on the company's balance sheet. This is the second consecutive quarter in which volatility in digital assets has become a determining factor for reporting.
It is worth noting that the gap between revenue and expenses narrowed compared to the first quarter, where the loss reached $405.9 million. However, the operational picture remains concerning: revenue totaled just $1.7 million, and adjusted EBITDA went negative at $223.5 million. These figures underscore that the Truth Social business is still far from self-sufficiency.
Cryptocurrencies — the main source of losses
The largest contribution to the loss came from unrealized losses of $190.4 million related to digital assets, collateral tokens, and shares. Under accounting standards, the company is required to write down the book value of assets when their market price falls. In the previous quarter, similar losses reached $368.7 million, demonstrating Trump Media's high sensitivity to fluctuations in the crypto market.
The market reaction was swift: on August 10, trading closed at $9.39, which is 8.03% below the previous close ($10.21). In after-hours trading, quotes continued to decline, dropping to $9.34. Investors are clearly disappointed by the lack of progress in monetization.
Strategy shift: from crypto to energy
Interim CEO Kevin McGern is betting on a merger with TAE Technologies, a company in the fusion energy sector. The deal is expected to close in the fourth quarter. According to him, this is a key factor for long-term growth for shareholders and a logical continuation of the strategy to build sustainable infrastructure in energy security.
It is telling that Trump Media is gradually moving away from crypto projects. For example, the company has already shelved plans to place assets in CRO tokens via Crypto.com. Instead, Truth API was launched — the first data licensing product, released on August 1. Since its launch, more than 10 client agreements have been signed, although the pricing policy has sparked debate.
In my view, moving away from cryptocurrencies is a forced but correct measure. Media companies with low revenue should not hold highly volatile assets on their balance sheets, as they distort the real picture of the business. However, the success of the new strategy will directly depend on whether Truth Social can finally begin generating stable cash flow, rather than relying on one-off deals and revaluations.