Eric Trump’s crypto mining company American Bitcoin plunges
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The news: Shares of American Bitcoin Corp, the crypto mining company co-founded by Eric Trump, dropped more than 50% on Tuesday (Wednesday AEDT), amid a pullback in Bitcoin and the broader crypto market.
The stock fell as much as 51.4% to USD1.74 each, with trading halted multiple times, before partially recovering to a 39% loss in the afternoon.
The decline followed almost USD1 billion in liquidated leveraged crypto positions the previous day and came as Bitcoin extended its drop to more than 30% below its early October high. However, Bitcoin prices were 7% higher on the day.
The numbers: American Bitcoin, which debuted on the Nasdaq in September after merging with another mining firm, has now fallen over 78% from its peak.
The company reported USD64.2 million in revenue and USD3.5 million in net income for the third quarter, and says it holds more than 3,000 Bitcoin through mining and market purchases.
Donald Trump Jr is listed as an investor on the company’s website. The other Trump-affiliated crypto ventures have also slumped, with World Liberty Financial’s WLFI token down over 30% since September and ALT5 Sigma Corp, which holds WLFI tokens, falling more than 80% from its high.
