With only around $395 million in readily accessible funds against a potential $1 billion repayment obligation, Trump Media & Technology Group is confronting a serious liquidity problem.

The company, which operates the Truth Social platform and counts President Trump as its largest shareholder, built its financial strategy around accumulating bitcoin, a bet that has soured badly.

Bitcoin has declined by roughly a third over the past year, and TMTG shares have collapsed more than 60 percent in 2026 to just $4.64, gutting the rationale that underpinned the company’s convertible bond offering.

Those bonds, sold last May to finance what TMTG called a “bitcoin treasury,” must now be repaid or refinanced by November 30, with noteholders holding the leverage.

The conversion price embedded in the notes was $34.72 per share, meaning bondholders who had hoped to swap debt for equity are deeply underwater and have every reason to demand cash instead.

At least one investor is already pushing for full repayment at face value, and he expects the rest of the bondholder group to follow suit: “Everyone will. It makes no sense not to.”

That investor also warned that any noteholder who chose not to redeem would be left holding debt in a company stripped of assets after the redemption window closes, predicting the bonds could sink below 80 cents on the dollar.

The bonds currently trade at just under 98 cents, reflecting market confidence that a cash repayment is the likely outcome, not a negotiated rollover.

TMTG’s interim CEO Kevin McGurn has pointed to the company’s nearly $2.5 billion in total assets as a sign of financial strength, but much of that balance sheet is illiquid or tied up in cryptocurrency holdings valued at approximately $1.36 billion at the end of the third quarter.

McGurn told investors on a recent earnings call, “Our current thinking is using a mix of cash and credit to repay the notes. We want to preserve as much of our bitcoin as possible.”

The company has acknowledged in regulatory filings that any credit facility used to refinance the notes could carry unfavorable terms and a high interest rate, and it has made clear that issuing new equity is essentially off the table.

Selling a portion of its crypto holdings remains a live option, which would be a painful concession for a company whose former chair Devin Nunes once described cryptocurrency as a “crucial part of our assets.”

President Trump himself reversed his earlier skepticism of digital assets, having called bitcoin a “scam” in 2021, before championing the sector in his second term and vowing to make the United States the “crypto capital of the world.”

The debt crunch arrives as TMTG pursues a year-end merger with TAE Technologies, a lossmaking nuclear fusion start-up to which it has already extended $300 million in loans.

TMTG posted a net loss of $234 million for the nine months ending in September, underscoring the pressure on a company that must now balance an ambitious acquisition strategy against an imminent and costly debt obligation.

Tags: