Trump Media & Technology Group (Nasdaq: DJT) reported a second-quarter loss of $238 million, more than ten times the shortfall recorded in the same period a year earlier, even as the company's Bitcoin holdings grew sufficiently to surpass those of Elon Musk's Tesla.

The losses are primarily attributed to declining cryptocurrency prices, which also drove a $406 million first-quarter loss earlier in 2026 after Bitcoin fell below $70,000, having traded above $126,000 the previous October. Under accounting rules updated by the Financial Accounting Standards Board in late 2023, companies holding digital assets like Bitcoin must measure them at fair value each reporting period, meaning price swings flow directly through the income statement regardless of whether any coins are sold.

DJT Surpasses Tesla in Bitcoin Holdings

Bitcointreasuries.net currently lists DJT at approximately 12,062 BTC, valued at roughly $774.6 million as of August 11 — narrowly exceeding Tesla's holdings of 11,509 BTC, which have remained unchanged for years. Trump Media now ranks 12th among public companies by Bitcoin holdings, a list topped by Strategy (formerly MicroStrategy), which holds over 500,000 BTC.

In its Form 10-Q filing, Trump Media reported approximately 14,139 BTC as of July 31. That figure includes all Bitcoin the company has committed to other parties, not only the coins it fully controls. Bitcointreasuries.net subtracted 2,077 BTC from the total because they were posted as collateral for a covered-options strategy. The filing states that the counterparty "can rehypothecate at their sole discretion" those coins and any Bitcoin premiums received. Coins backing the company's $1 billion in convertible notes remain counted, as that collateral is still recognized as Trump Media's own.

Despite the steep quarterly loss, Trump Media posted $1.7 million in revenue, representing an 89% increase from the prior-year period. The company closed the quarter with total assets of approximately $2 billion, of which roughly $1.9 billion consisted of financial assets — including cash, short-term investments, and approximately $1.2 billion in Bitcoin and Bitcoin-related holdings. The company also carries $1 billion in convertible notes maturing in 2028.

Truth API Revenue and Ethical Scrutiny

Interim Chief Executive Kevin McGurn told the earnings call that Truth API charges between $60,000 and $100,000 per month to deliver posts from Truth Social's most prominent accounts to institutional traders ahead of public availability. More than 10 customers have subscribed since the service launched in early August, with the majority being high-frequency trading firms.

The product has drawn legal and ethical questions, as reported by Cryptopolitan, because the Trump family remains the majority shareholder in a company that stands to profit when traders act on the president's market-moving statements before they reach the broader public. Kathleen Clark, a government-ethics expert at Washington University School of Law, said the arrangement effectively amounts to selling privileged access to information about the president's actions.

McGurn rejected that characterization, arguing that licensing real-time public data through commercial APIs is a well-established practice across technology and financial information firms.

Strategic Refocus and Pending Merger

After a year of exploring online betting and cryptocurrency markets, McGurn said the company will refocus on social media, describing the decision as a "disciplined choice." Trump Media recently abandoned a planned partnership with Crypto.com to integrate prediction-market features into Truth Social.

The company continues to pursue its merger with nuclear-fusion company TAE Technologies, which McGurn said he expects to close by year-end. TAE Technologies is a privately held, research-stage fusion energy developer that has not yet produced commercial power; the deal would mark a significant diversification beyond Trump Media's social media roots. Reuters reported on the widening quarterly loss on August 11.