Trump Media (Nasdaq, NYSE, Texas: DJT) has set the 2nd of February for a token airdrop for shareholders who hold at least one whole DJT stock, as part of its blockchain rewards strategy.
The firm, associated with U.S. President Donald Trump, owns the social media platform Truth Social and fintech firm Truth.Fi.
The plans were first announced last year and have now advanced to the final stages.
The associated rewards would be tied to discounts and benefits for the firm’s products, spanning Truth Social, its prediction market, Truth Predict, and its streaming platform, Truth+.
Interestingly, the move comes at a time when regulatory clarity in the tokenization space is in doubt, as momentum for the CLARITY Act stalled last week.
However, the firm said that the digital tokens will be for rewards only and won’t represent ownership in the company (not tokenized securities).
Trump Media’s CEO and Chairman, Devin Nunes, clarified,
He further added,
Impact on TRUMP memecoin?
The firm will use the Crypto.com chain, Chronos [CRO], to mint and custody the tokens and will share them periodically with DJT holders.
However, since the token won’t be tradeable and isn’t equity, this implies it will be a new token, different from the Official Trump [TRUMP] memecoin or the Trump family-backed World Liberty Financial [WLFI].
Following the update, TRUMP memecoin slipped 4%, effectively round-tripping its 2026 recovery gains.
Source: TRUMP/USDT, TradingView
The memecoin recovery hit 23% and tagged $5.8 before market sentiment reversed and dragged it back to $5, the level that kicked off this year’s rally.
At the time of writing, the memecoin was barely holding above $5, trading at $4.9.
Besides, apart from a slight interest in Binance, as tracked in Cumulative Volume Delta (CVD), overall demand for the memecoin remained negative in the past few days.
Source: Velo
Overall, the novel blockchain rewards being pushed by Trump Media could set a precedent for other use cases linking traditional shareholders as tokenization gains momentum. But the TRUMP token was bearish after the update.
Final Thoughts
- Trump Media plans to roll out token airdrops to shareholders from the 2nd of February for rewards and discount benefits linked to its products.
- TRUMP memecoin remained bearish after the update and shed 4% and was barely holding above $5 at press time.
Source: https://ambcrypto.com/trump-media-announces-shareholder-token-drop-trump-reacted-by/
