Trump Media’s Truth Social Withdraws Bitcoin ETF Filing

Trump Media-linked Truth Social Bitcoin ETF, B.T. has requested the US Securities and Exchange Commission to withdraw its spot Bitcoin ETF registration, ending, not less than for now, one of many extra politically seen makes an attempt to enter the already crowded US Bitcoin fund market.

The withdrawal request, dated May 19, 2026, was addressed to the SEC’s Division of Corporation Finance and its Office of Crypto Assets. In the submitting, the corporate requested “the fast withdrawal” of its Form S-1 registration assertion, which had initially been filed on June 5, 2025, below File No. 333-287789. The firm mentioned the registration assertion had not been declared efficient and confirmed that “no securities have been offered” below it.

“The Company has decided to withdraw the Registration Statement and to not pursue the general public providing at the moment,” the submitting acknowledged. “The Registration Statement has not been declared efficient by the Commission and the Company confirms that no securities have been offered pursuant to the Registration Statement. Therefore, withdrawal of the Registration Statement is in line with the general public curiosity and the safety of buyers as contemplated by Rule 477(a).”

The submitting closes a nearly year-long regulatory process that started shortly after NYSE Arca submitted a Form 19b-4 to checklist the Truth Social Bitcoin ETF on June 3, 2025. That change submitting described the proposed product as a automobile designed to replicate Bitcoin’s efficiency whereas decreasing the “complexities and operational burdens” of direct BTC possession. Reuters reported on the time that US President Donald Trump was the bulk proprietor of Trump Media & Technology Group, which operates Truth Social.

The ETF’s S-1 described Truth Social Bitcoin ETF, B.T. as a Nevada enterprise belief whose property would consist primarily of Bitcoin held by a custodian. Yorkville America Digital, LLC was named as sponsor, whereas Foris DAX Trust Company, LLC, a Crypto.com affiliate, was listed as Bitcoin custodian within the preliminary registration assertion. The belief was not registered below the Investment Company Act of 1940 and was structured as a Securities Act of 1933 product, the identical broad framework utilized by spot Bitcoin ETPs somewhat than conventional ’40 Act ETFs.

Trump Media later amended the submitting in August 2025, saying Crypto.com would act because the ETF’s unique Bitcoin custodian, prime execution agent and liquidity supplier. The firm mentioned on the time that the launch remained topic to each effectiveness of the S-1 and SEC approval of the associated 19b-4 submitting, with shares anticipated to checklist on NYSE Arca if accredited.

Why Was The Bitcoin ETF Withdrawn?

Yorkville America framed the withdrawal as a strategic pivot somewhat than a retreat from ETFs. In a May 19 press launch, the agency mentioned it had “proactively withdrawn its registration statements filed below the Securities Act of 1933” for sure deliberate ETF methods and would as an alternative focus product improvement below the ’40 Act framework.

“After cautious analysis, the ’40 Act construction permits us to deliver extra differentiated funding methods to our buyers that aren’t attainable below the ’33 Act framework,” Yorkville America President Steve Neamtz mentioned. “Our focus has at all times been on delivering the proper methods via the proper buildings. This is a forward-looking choice that displays our dedication to delivering the absolute best funding merchandise to our rising base of America First buyers. Yorkville America is just not stepping again – we’re stepping ahead with a stronger product platform.”

Bloomberg ETF analyst James Seyffart was unconvinced by that rationalization. Sharing a screenshot of the withdrawal on X, he wrote that the reasoning “doesn’t make a ton of sense,” noting that the distinction between a ’33 Act exchange-traded product and a ’40 Act ETF was already nicely understood available in the market. Seyffart mentioned he suspected the choice had extra to do with the “aggressive panorama for spot bitcoin ETFs,” particularly with Morgan Stanley’s MSBT getting into at 14 foundation factors.

He added: “They do appear to planning to launch extra versatile crypto associated ETF methods within the 40 act wrapper which is sensible. I imply do we actually want a 14th spot bitcoin ETF? But one thing that may be extra differentiated is sensible.”

Bloomberg ETF analyst Eric Balchunas agreed through X: “My guess: Yorkville man instructed Truth ppl after MSBT that they both gotta are available beneath 14bp price otherwise you would possibly as nicely overlook it, bc nobody will purchase it, and it could possibly be embarrassing. They aren’t used to Terrordome life so prob mentioned “no means are we charging so little”
Could be improper however that’s my principle for now.”

That price stress is materials. Morgan Stanley’s proposed spot Bitcoin fund was priced at 14 foundation factors, beneath merchandise charging nearer to fifteen to 25 foundation factors, together with BlackRock’s iShares Bitcoin Trust at 25 foundation factors.

At press time, BTC traded at $77,274.