Trump-backed American Bitcoin Corp stock plunges almost 40% as private placement shares unlock
Heavy selling after lock-up expiration sparks dramatic volatility for Trump-linked mining company.
Key Takeaways
- American Bitcoin Corp shares fell nearly 40% as early investors started selling after lock-up expiry.
- The company is linked to the Trump family and focuses on Bitcoin mining and treasury operations.
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American Bitcoin Corp (ABTC), a Bitcoin mining and treasury company linked to the Trump family, saw its shares plunge approximately 40% at market close today as early investors might have begun offloading their positions.
The sharp decline follows the expiration of a lock-up period that had previously prevented early investors from selling their stakes.
Eric Trump said that today’s unlock of pre-merger private placement shares will allow early investors to sell for the first time, which may introduce volatility. He asserted that the company’s fundamentals remain strong, adding that he isn’t selling any of his ABTC shares.
American Bitcoin Corp specializes in crypto-related projects and operates as both a mining operation and a treasury company focused on Bitcoin holdings.
