Shares of Trump Media & Technology Group (DJT) closed up more than 16% on Monday following a Financial Times report that the company, which operates social network Truth Social, is in advanced talks to acquire the crypto exchange Bakkt (BKKT).
Bakkt shares gained more than 162% on Monday following the report. The company is majority owned by the parent company of the New York Stock Exchange, Intercontinental Exchange (ICE).
President-elect Donald Trump maintains a roughly 60% stake in DJT, which has a market capitalization of about $7.1 billion. Trump reiterated earlier this month that he has no intention of selling his shares in the company.
Trump’s election victory has sent bitcoin prices to all-time highs, and the administration is generally seen as friendlier to the alternative asset class.
In July, Trump attended a bitcoin conference in Nashville and has since pledged to push for more favorable regulation. His promises also include the appointment of a Crypto Presidential Advisory Council and the firing of current SEC Chairman Gary Gensler.
On Monday, bitcoin (BTC-USD) rose more than 2% to trade just below $92,000 per token.
Other crypto-adjacent names also rose.
Shares of MicroStrategy (MSTR), which owns nearly 280,000 bitcoins, closed nearly 13% higher after announcing the purchase of an additional 51,780 bitcoins for $4.6 billion. The company now owns $16.5 billion in bitcoins.
Shares of Coinbase (COIN) also rose more than 6% on Monday, and the Wall Street Journal reported that its CEO, Brian Armstrong, would meet with Trump.
Bakkt, which has a market capitalization of around $190 million, has seen its shares fall sharply since going public in 2021. Intercontinental Exchange, its majority owner, is led by CEO Jeff Sprecher, married to former senator by Georgia Kelly Loeffler, co-chair of Trump’s inaugural committee.
Trump founded Truth Social after he was banned from major social media apps like Facebook (META) and Twitter, now . He officially returned to posting on X in mid-August after a hiatus of about a year.
As Truth Social attempts to take on social media headlines, the company’s fundamentals have long been in question.
On November 5, just hours before polls closed, DJT released third-quarter results that revealed a net loss of $19.25 million for the quarter ending September 30. DJT also reported revenue of $1.01 million. It had about $370 million in cash at the end of the quarter.
The stock is up 10% over the last month.
Alejandra Canal He is a senior reporter at Yahoo Finance. Follow her on X @allie_canal, LinkedIn, and email her at alexandra.canal@yahoofinance.com.