Trump Media To Issue Digital Tokens to Shareholders

Trump Media and Technology Group (TMTG), the operator of Truth Social, announced plans to launch a blockchain token, the DJT token, in collaboration with Crypto.com. Existing shareholders will receive one token for every share owned (a 1:1 ratio). These tokens may entitle holders to perks and rewards, such as discounts on TMTG's platforms like Truth Social, Truth+, and Truth Predict. However, TMTG explicitly confirmed that the DJT token is not a tokenized stock and does not grant holders any shareholder rights or claims on future earnings, nor will the token track the company's stock price. This initiative highlights how blockchain technology can offer benefits alongside traditional assets while also underscoring the distinction between price-tracking tokens and actual equity ownership, similar to a recent situation involving Robinhood tokenizing private equity for SpaceX and OpenAI without granting actual shareholder rights.

(Source：Cointelegraph)