American Bitcoin, a crypto mining company backed by Eric and Donald Trump Jr., completed a turbulent first day on the Nasdaq with a strong 16% gain. The listing not only added millions to the Trump family’s wealth but also highlighted the growing role of politics in the US cryptocurrency sector.
A Rocky Start with Heavy Volatility
American Bitcoin (ticker: ABTC) went public on Wednesday following its merger with Gryphon Digital Mining. The stock opened with a surge, leaping 91% from Gryphon’s Tuesday close of $6.90 to a high of $13.20. However, the excitement soon turned choppy as the price dropped by half, hitting an afternoon low of $6.72.
American Bitcoin, formerly Gryphon Digital Mining, saw significant price swings on its debut trading day. Source: Google Finance
The Nasdaq halted trading five separate times throughout the day to contain volatility, underscoring the unpredictable appetite around the new listing. Despite the rollercoaster, ABTC closed the session at just over $8, up 16.52% on the day, before edging higher to $8.45 in after-hours trading.
Trump Family Expands Its Crypto Footprint
The launch marks the Trump family’s latest venture into cryptocurrency, adding to a portfolio that has expanded notably in recent months. American Bitcoin is now one of the 25 largest corporate holders of Bitcoin, owning 2,443 BTC, valued at roughly $273 million at current prices of around $111,850.
Eric Trump, who co-founded the company and serves as chief strategy officer, described the debut as the result of years of preparation and global crypto adoption. Speaking to Bloomberg, he called the event “an unbelievable day” and said the timing was ideal as Bitcoin adoption widens worldwide.
“The floodgates are just starting to open, so it’s kind of a perfect time,” Trump said.
Mining and Buying: A Dual Strategy
Eric Trump emphasised that American Bitcoin would not solely focus on mining but would also purchase Bitcoin when advantageous. He explained that the company intends to switch between mining and buying based on market conditions to maximise shareholder value.
“There’s only a certain amount of Bitcoin that can be mined every day, and we’re going to harness that to the absolute fullest,” he said. “At the same time, we can be creative. We can go out and purchase Bitcoin, hold down the treasury, and allow the mining to dollar cost average down.”
This flexible approach mirrors strategies already employed by some of the industry’s largest players, aiming to stabilise earnings against the sector’s notorious volatility.
Political Links and Controversy
The company’s debut has inevitably attracted political scrutiny. Critics argue that the Trump family could benefit from former President Donald Trump’s crypto-friendly policies. However, Eric Trump dismissed these claims as “totally illegitimate,” stressing that he founded the company after being “illegitimately debanked” from traditional financial services and that his father has “nothing to do with this business.”
He acknowledged, however, that Donald Trump has been “a proponent of cryptocurrency” and suggested that support for digital assets may even have influenced his father’s political rise. This marks a notable shift given that Donald Trump previously dismissed Bitcoin as “thin air” and even labelled it a “scam.”
A Busy Week for Trump Crypto Ventures
American Bitcoin’s Nasdaq debut follows closely on the heels of another Trump-linked crypto project. Earlier this week, World Liberty Financial (WLFI), a token project tied to the family, launched on multiple exchanges.
WLFI unlocked around 25% of its 100 billion token supply, giving early investors an opportunity to sell. However, the token has struggled since launch, falling 30% from its debut price and slipping a further 7% in the last 24 hours to just over $0.21, according to CoinGecko.
A company tied to the Trump family holds nearly a quarter of all WLFI tokens, an amount valued at around $4.8 billion, though recent price declines have already dented that figure.
Meanwhile, Bloomberg estimated Eric Trump’s 7.5% stake in American Bitcoin is worth approximately $548 million, underscoring the financial scale of the family’s crypto ambitions.
Looking Ahead
American Bitcoin’s volatile yet positive Nasdaq debut highlights the complex intersection of crypto, finance, and politics in the United States. The Trump family’s growing involvement in digital assets positions them as influential players in shaping both market trends and regulatory discourse.
For investors, ABTC offers exposure to a firm with significant Bitcoin holdings and a flexible strategy of mining and purchasing. However, political scrutiny, market volatility, and shifting regulatory attitudes will remain crucial factors in shaping the company’s trajectory.
As crypto adoption accelerates globally, American Bitcoin’s listing demonstrates both the opportunities and risks at play when traditional finance meets the unpredictable world of digital assets.
