Eric Trump-Linked American Bitcoin Stock Crashes 40% as Lockup Ends
Shares of American Bitcoin, the mining and accumulation agency co-founded by Eric Trump and Donald Trump Jr., tumbled sharply on Tuesday after a portion of the corporate’s inventory was launched from its lockup interval.
Key Takeaways:
- American Bitcoin shares plunged practically 50% after newly unlocked inventory hit the market following the lockup expiry.
- Eric Trump dismissed the selloff as anticipated and mentioned he has no plans to promote his private stake.
- Investor nerves stay high as ABTC continues to be down about 76% from its September peak regardless of robust earnings development.
Data from Google Finance showed ABTC plunged practically 50% inside the first hour of buying and selling, falling to as low as $1.80 from a previous shut of $3.58.
The inventory recovered modestly via the session however nonetheless ended the day down 38.83% at $2.19, highlighting the impression of newly unlocked shares hitting the market.
Eric Trump Shrugs Off ABTC Selloff After Lockup Ends
In a put up on X, Eric Trump mentioned the selloff was anticipated, noting that pre-merger non-public placement shares had simply unlocked.
He added that the corporate’s enterprise stays robust and that he has no plans to promote his personal holdings. American Bitcoin listed on Nasdaq in September after finishing its merger with Gryphon Digital Mining.
The sharp drop got here regardless of stable monetary outcomes final quarter. In October, the corporate reported third-quarter income of $64.2 million, up from $11.6 million a 12 months earlier, whereas web earnings swung to a $3.5 million revenue from a $0.6 million loss.
Chief government Michael Ho mentioned on the time the agency had greater than doubled its mining capability and improved margins, citing a seven-point enhance quarter over quarter.
American Bitcoin has additionally been constructing its treasury. As of Nov. 13, the corporate mentioned it held about 4,090 BTC, together with cash saved in custody or pledged towards new mining tools.
Management has framed the technique as a push to extend direct publicity to Bitcoin whereas additionally rising manufacturing quantity.
Even so, the restoration try didn’t reverse a broader decline within the inventory since its September peak of $9.31.
Shares at the moment are down roughly 76.5% from that high, reflecting investor warning round provide unlocks and volatility tied to early backers exiting positions.
The selloff mirrors a wider stoop in crypto-linked equities. Shares of Coinbase have fallen about 20% over the previous month, whereas USDC issuer Circle is down 39%. Exchange operator Gemini has dropped 47% in the identical interval.
Democrats Accuse Trump of Using Presidency to Enrich Family
As reported, Democrats on the House Judiciary Committee released a report accusing the Trump administration of utilizing presidential authority to learn the Trump household’s crypto companies, claiming roughly $800 million was generated from token gross sales in early 2025.
The report alleges the president blurred the road between public workplace and personal revenue, and estimates that Trump household crypto holdings might attain $11.6 billion, although actual values are troublesome to confirm.
The findings elevate issues about overseas affect, specializing in investments in World Liberty Financial’s $WLFI token.
Lawmakers spotlight a reported $75 million investment by crypto determine Justin Sun whereas he confronted regulatory scrutiny, and a separate $100 million buy by an entity known as Aqua 1 Foundation, which investigators say lacks clear company data.
The fund’s management can be alleged to incorporate figures tied to authorized and geopolitical controversies.
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