Eric Trump’s Crypto Mining Venture Takes a Hit
Shares of Eric Trump’s cryptocurrency mining operation experienced a dramatic drop of nearly 40% within a mere half-hour on Tuesday. The decline of American Bitcoin Corp, which resulted in multiple trading halts, coincided with a significant downturn in the values of numerous cryptocurrencies and related businesses, leading some analysts to suggest the emergence of a “crypto winter.” Bitcoin has seen a substantial decrease since early October, erasing much of the previous year’s gains.
Stock Performance and Market Impact
The stock of American Bitcoin, traded under the ticker ABTC, plummeted to $1.90 after closing at $2.39 the previous day. This decline marks a significant fall from its earlier peak of $9.31 on September 9, reflecting a staggering 78% drop in value. The company’s stock closed 38.8% down, resulting in a loss of approximately $1 billion in market capitalization. Trading activity surged to nearly 40 times the average daily volume, as reported by Bloomberg.
Eric Trump’s Statements on Market Volatility
Eric Trump, the second son of the former president, previously claimed on X that his Texas-based operation accounts for 2% of the global bitcoin supply. He expressed confidence in the company’s potential, asserting, “I truly believe we are building one of the greatest crypto companies anywhere on earth.” Following the drop in share prices, Trump remarked on X that the sell-off was a result of investors opting to “cash in on their profits for the first time,” indicating that this could lead to ongoing volatility. He reaffirmed his commitment to the industry by stating, “I’m holding all my @ABTC shares – I’m 100% committed to leading the industry.”
Broader Market Trends Affecting Cryptocurrency
The sharp decline in ABTC’s value reflects a wider trend in the digital asset market. Bitcoin has fallen over 30% from its peak of $126,272 on October 6 to $92,133. Analysts from Deutsche Bank reported last week that the global cryptocurrency market has seen a staggering $1 trillion in value evaporate since early October.
American Bitcoin’s Financial Performance
American Bitcoin, which was spun off from Hut 8 Corp earlier this year, announced a net income of $3.5 million on revenues of $64.2 million for the third quarter, as per Bloomberg’s findings.
The Trump Family’s Broader Crypto Involvement
Eric Trump’s mining enterprise is part of a larger portfolio of cryptocurrency-related ventures by the Trump family, which began in 2022 with the launch of a non-fungible token (NFT). The Trump family established the crypto firm World Liberty Financial in 2024 and introduced a cryptocurrency named $Trump in 2025. Similar to American Bitcoin, other crypto projects linked to Donald Trump have also struggled, such as WLFI, a token associated with World Liberty Financial, which has decreased in value from 26 cents in early September to around 16 cents.
Impact of Crypto Market Decline on Family Wealth
The Trump family’s wealth has been significantly influenced by their cryptocurrency endeavors. Bloomberg estimated their fortune at $7.7 billion in September, but the recent downturn in crypto values has reduced their net worth to approximately $6.7 billion. During his presidency, Trump took steps to bolster the digital asset sector, signing an executive order aimed at fostering growth and establishing a regulatory framework, and appointing officials supportive of cryptocurrency. Despite previous skepticism about cryptocurrencies, he shifted his stance during his second presidential campaign, becoming the first major U.S. presidential candidate to accept donations in digital currency.
Stock Performance of Trump’s Media Company
Shares in Trump Media & Technology Group (TMTG), which began acquiring bitcoin this year, are now trading around $11, a decline from $42 in early February.
Optimism Amidst a Market Downturn
Despite the recent downturn in cryptocurrency values, 41-year-old Eric Trump remains optimistic. He referred to the situation as “a great buying opportunity” and noted, “People who buy dips and embrace volatility will be the ultimate winners. I have never been more bullish on the future of cryptocurrency and the modernization of the financial system.”
