Trump Media and Technology Group (TMTG) announced a significant expansion into the financial services sector, introducing a new investment vehicle, "Fi," with substantial backing. Fi will be funded with up to $250 million, with custody and advisory services provided by Charles Schwab. TMTG's latest venture represents an extension of its Truth Social movement, aiming to offer a broad array of financial products and services to protect American interests.
The announcement comes amidst ongoing complaints from Republican circles about alleged unfair treatment by major banks towards conservatives. TMTG CEO and Chairman Devin Nunes stated that the company started with a free-speech social media platform, expanded to include a high-speed TV streaming service, and is now venturing into decentralized finance. He noted:
"Truth.Fi is a natural expansion of the Truth Social movement. We began by creating a free-speech social media platform, added an ultra-fast TV streaming service, and now we're moving into investment products and decentralized finance." – Devin Nunes
This strategic move aligns with Donald Trump's broader vision of developing American First investment vehicles. Trump aims to create a robust ecosystem that shields Americans from perceived threats like cancellation, censorship, debanking, and privacy invasions. The recent expansion is also seen as a counteraction to a simmering conflict between Republicans and the nation's largest banks.
"I hope you start opening your bank to conservatives because many conservatives complain that the banks are not allowing them to do business within the bank, and that included a place called Bank of America." – Donald Trump
Trump has previously criticized Big Tech and prominent financial institutions for alleged discriminatory practices against conservatives. He specifically addressed JPMorgan Chase CEO Jamie Dimon and Bank of America CEO Brian Moynihan, urging them to reconsider their banking policies:
"You and Jamie and everybody, I hope you're going to open your banks to conservatives because what you're doing is wrong." – Donald Trump
TMTG expects to roll out its financial products and services, including its proprietary investment vehicles, later this year. The launch of Fi follows the introduction of a memecoin by Trump shortly before his inauguration, which had substantial on-paper gains for the Trump Organization and its affiliates. This memecoin served as a precursor to Fi's development.
In anticipation of these new ventures, shares of TMTG's parent company, trading under the ticker DJT, soared over 15% in premarket trading. The expansion into financial services is perceived as part of an ongoing feud between Republicans and major banks. This tension reached a peak last year when several state attorneys general filed complaints alleging discrimination by banks based on religious and political affiliations.