American Bitcoin, the mining and treasury firm co-founded by Eric Trump and Donald Trump Jr., has significantly expanded its Bitcoin holdings, adding more than 1,400 Bitcoin.
According to an announcement made on Monday, American Bitcoin acquired 1,414 Bitcoin (BTC) for approximately $163 million. This strategic acquisition elevates the firm’s total holdings to 3,865 BTC, with a current valuation just under $445 million.
Eric Trump, who holds the position of chief strategy officer, emphasized the company's dedication to increasing its Bitcoin-per-share ratio, a metric considered crucial for shareholder value. He stated, "We believe one of the most important measures of success for a Bitcoin accumulation platform is how much Bitcoin backs each share."
The company's inception was marked in March when mining firm Hut 8 acquired a majority stake in exchange for its Bitcoin mining hardware.
American Bitcoin's Rapid Market Entry and Growth
This recent acquisition follows American Bitcoin's public listing on the Nasdaq exchange in early September. The company concluded its initial trading day with a gain of over 16%. Despite the positive opening, the firm experienced five trading halts during its debut day due to heightened price volatility, which saw its share price surge by 85% intraday.
The Nasdaq listing was the result of a late August merger with Gryphon Digital Mining, a Las Vegas-based Bitcoin mining company. Shareholders approved the stock-for-stock merger, which allowed the company to commence trading under the ticker symbol "ABTC" while retaining the American Bitcoin name.
Prior to the merger's completion, Gryphon's stock experienced a significant rally, soaring by 230%.
Political Connections and Increasing Scrutiny
President Trump's growing involvement in the digital asset space, both as a policymaker and an investor, has attracted considerable attention from lawmakers. His recent pardon of Binance founder Changpeng “CZ” Zhao, who had pleaded guilty to violating U.S. Anti-Money Laundering laws, has renewed accusations of corruption and conflicts of interest.
United States Representative Maxine Waters characterized the decision as "an appalling but unsurprising reflection of his presidency." She further stated that he is "doing massive favors for crypto criminals," accusing him of corruption and leveraging the presidency for personal financial gain.
These statements come in the wake of analyses indicating a substantial increase in Trump’s personal wealth during his second term in office. The Trump family has been transparent about their expanding fortune, with Eric Trump recently informing supporters that the family’s profits from their digital asset ventures likely exceed the reported $1 billion.