I'm sorry, but I need someone to explain it to me

[Pototan]

How in the fuck can a worthless company like Truth Social go public on the US stock exchange and give the value in stock of 3 to 4 billion dollars to Donald Trump?

It's not like they're fooling anyone. Everyone knows the platform is losing money and has few members. The last time I looked, the shares were anticipated to be worth over $32 a share. I would think two or three cents would be more like it.

It seems like a scam that is being performed right in front of everyone's eyes, in the light of day with a steeple bell ringing.

I don't fucking get it.

[Rhiannon12866]

1. That's what I wondered, too! Does anyone use it besides TFG or has even he moved on??

[elleng]

2. A tmp scam.

obviously 'value' unknown.

[imanamerican63]

3. Well, when you con people with a poor business plan and they fall for it?

It’s Trump’s way of doing business! Lie, steal, cheat just bankroll himself. The investors deserve what they get, nothing more nothing than a con job!

[ancianita]

13. To us it looks like a con, but he's reaching out to oligarch investors abroad who want to buy an American president.

This is one workaround for not getting bond money and hard-to-trace sourcing for NY's former judge Barbara Jones.

[orthoclad]

17. Domestic oligarchs can own him

I'm sure there are some riyals and rubles involved, but the biggest concentration of private wealth in the world is the US billionaire class, who benefited enormously from Trump 1.0, and would love to see Trump 2.0.

Tax breaks for Musk, Bezos, Zuck, etc. Gov contracts. The money will flow.

[SouthernDem4ever]

26. Yes because they need more.

I feel so bad for these poor billionaires.

[orthoclad]

31. We should all work an extra

hour per day to relieve these suffering oligarchs.

Oops, we do! Self-checkout lines! Self-serve everything! And use all the "free" sites owned by billionaires!

[ancianita]

38. Absolutely. But

why not allow other "investors" as a way to also keep connections with a global network. It's not as if they don't share an interest in spreading their power at the expense of democratic governance.

[orthoclad]

41. Oligarchs have no country,

other than using them as hiring halls for military.

Everyone says Russia or Arabia, but Occam's Razor says our nearby members should be examined first. KISS principle.
On the third hand, what does "local" mean to them? I guess "local" means which set of rules you're familiar with twisting.

[ancianita]

42. Note that

I said "also keep connections with a global network." You say they 'solely' own trump. But I'm thinking this might be his shift, or even theirs, toward other "investors" whether they own him or not.

[orthoclad]

44. I agree

there's probably not much reason to distinguish between oligarchs, geographically.

[ancianita]

46. If

we don't distinguish between oligarchs geographically, we can't see which ones want democracy, however, and which ones want Trump. We do, in fact, have oligarchs who are supporting Biden and the Democrats. I've a list from around 2020.

There is such a thing as liberal and progressive oligarchs. Some examples are Gates, Buffet, and Hollywood moguls and other tech oligarchs besides Zuck (who, I'd argue, is more pro-US than you say), Bezos' ex-wife being one.
We can't let the Koch network of autocratic ones be the standard for oligarchs.

[orthoclad]

53. "oligarch", by definition, is anti-democratic.

We might be tripping over words. There is the occasional plutocrat like FDR, who was called a "class traitor" when he did the New Deal.

Zuck elected Trump more than any other single individual. He illegally sold user data to Cambridge Analytica, who used the data to micro-target ads in key Electoral College districts. He paid a fine for that. Cost of doing biz. Worth it for the tax breaks.

[ancianita]

57. There are exceptions to your 'Zuckerberg rule': Nov 2012, Bloomberg penned an op-ed officially endorsing Barack Obama

citing Obama's policies on climate change.

Bloomberg is a self-made billionaire now worth $100 Billion, as Lawrence O'Donnell pointed out on Thursday.

July 2016, Bloomberg delivered a speech at the 2016 Democratic National Convention in which he called Hillary Clinton "the right choice".[137][138][139] Bloomberg warned of the dangers a Donald Trump presidency would pose.

Early October, 2018, Bloomberg had committed more than $100 million to returning the House and Senate to Democratic power, fueling speculation about a presidential run in 2020.[142]
October 10, 2018, Bloomberg announced that he had returned to the Democratic party.

Bloomberg donated $18 million to the Democratic National Committee and publicly planned a "massive spending blitz" to support Biden's campaign. Bloomberg supports gun-control measures, abortion rights, same-sex marriage, and a pathway to citizenship for illegal immigrants.

Speaking on the final night of the 2020 Democratic National Convention, Bloomberg took aim at Trump's handling of the COVID-19 pandemic and the American economy: "Would you rehire or work for someone who ran your business into the ground? Who always does what's best for him or her, even when it hurts the company, and whose reckless decisions put you in danger, and who spends more time tweeting than working? If the answer is no, why the hell would we ever rehire Donald Trump for another four years?

Bloomberg Philanthropies foundation focuses on public health, the arts, government innovation, the environment, and education.[192][193] Through the foundation, he donated or pledged $767 million in 2018,[194][193][195] and more than $1 billion in 2019.

Bloomberg through his foundation committed to a wide range of urgent causes including researching treatments and vaccines, leading contact tracing to root out the virus, supporting the World Health Organization, and funding global efforts to fight the spread of the disease and protect vulnerable populations.

Action included:
Cofounding a $75 million fund for nonprofits impacted by COVID-19 in New York City[202]
Donating $6 million to World Central Kitchen to serve meals to health care workers in New York City[203]
Partnering with Johns Hopkins University to train COVID-19 contact tracers through its school of public health and search for a treatment of the virus.[204][205]

Convening mayors through a partnership with Harvard College to learn and discuss their pandemic response, featuring a bipartisan roster of speakers and attendees.[206][207]
Leading New York's contact tracing effort[208]
Launching an information and action sharing network for cities through the National League of Cities[209]

Supporting international efforts to combat the spread of COVID-19 and prepare regional leaders through the International Rescue Committee, the World Health Organization, Vital Strategies and other partners[210][211][212]
https://en.wikipedia.org/wiki/Michael_Bloomberg

Even Jeff Bezos, #2 in wealth worldwide, in spite of his Amazon management flaws, is a positive contributor to humanity.

January 2018, Bezos made a $33 million donation to TheDream.US, a college scholarship fund for undocumented immigrants brought to the United States as minors.[303][304]
In June 2018, Bezos donated to Breakthrough Energy Ventures, a private philanthropic fund founded by Bill Gates aimed at promoting emissions-free energy.[305]
In September 2018, Bezos donated $10 million to With Honor, a nonpartisan organization that works to increase the number of veterans in political office.[306]

In February 2020, Bezos pledged $10 billion to combat climate change through the Bezos Earth Fund.[307][308][309] Later that year, in November, Bezos announced $791M of donations to established, well-known groups, with $100M each going to Environmental Defense Fund, Natural Resources Defense Council, The Nature Conservancy, World Resources Institute and World Wildlife Fund, and the remainder going to 11 other groups.[310][311][312]
In April 2020, early in the COVID-19 pandemic, Bezos donated $100 million to food banks through Feeding America.[237][313][314]
In November 2021, Bezos pledged to donate $2 billion towards restructuring food systems and nature conservation at the 2021 United Nations Climate Change Conference.[315]
In July 2021, Bezos announced Courage and Civility Award and granted a $100-million each to lawyer Van Jones and chef José Andrés.[316]
Next year, a $100-million to singer Dolly Parton in recognition of her charity work focused on improving children's literacy around the world.[317] I
Bezos Academy is a group of tuition-free preschools for students from low-income families, which was created by Bezos, and which operate in a manner similar to the Montessori method.[319]
On November 22, 2022, Jeff Bezos awarded $123 million to organizations that are engaged in relocating homeless families to permanent housing. Day 1 Families Fund grants, the amounts of which vary in monetary terms, will be sent to 40 organizations across the country.[320]
https://en.wikipedia.org/wiki/Jeff_Bezos

You can try for a sweeping stereotype if you want. But I'm sticking with oligarchs who support Biden, Democrats, and donate to improve lives of Dreamers and the homeless.

[orthoclad]

58. There is no such thing as a self-made billionaire.

Their wealth is taken from the labor of thousands or millions of people.

Stick with your "oligarchs". But look up the definition, please.

[ancianita]

59. There you go again...

No, you go first. Please proceed. I'm not doing your 'research' for you this time.

[orthoclad]

66. Ah. Quoting Reagan.

[ancianita]

67. lol nah, just me sayin'. I know to use quotation marks when I quote.

[Think. Again.]

4. You're absolutely correct...

...this is nothing more than a very blatant money laundering scheme to deliver wads of cash to trump from anybody, including any foreign moneybags who want to own a U.S. President next year.

Edit to add:

Follow the paper trail of the shell companies buying large volumes of this junk stock.

[lostnfound]

10. Paging the SEC or DOJ or whoever, hahaha. Oh I forgot, we are all helpless.

Maybe an investigator can be assigned in 27 years.

[Sky Jewels]

20. Oh, Heavens! Merrick wouldn't want

to appear to be POLITICAL now, would he?! Perish the thought!

[ananda]

11. That's what I was thinking,,, money laundering

That makes sense

[orthoclad]

33. The top 10%

held 120 TRILLION in private wealth (per Congressional Budget Office), as of 2019. I'm sure it's much worse now, between tax breaks and pandemic-era giveaways. Trump's money problems are couch change in comparison.

What do you think this class will do to get Trump 2.0?

[rampartc]

5. i explained this on one of rhia's threads

big investors, probably including kushners new hedge fund (formed the same day as this "spac?" ) flush with the saudi billions. have already subscribed at $40. no doubt a few russian oligarchs and "thieves in law" are involved as well. this price is negotiated in advance and amounts to a political contribution or bribe but we'll let them get away with that .

maybe they will pump the price up a little but trump is selling because he needs money. that means that very soon he will be selling his 60% shares. dropping the price precipitously.

the hedge funds also profit from the inside information, meaning no billionaires will be hurt by this maneuvering (in case you were worried about america's sacred job creators) but i can't say as much for the pension funds and municipal governments who always get stuck with these hot potatoes

[AnrothElf]

18. My understanding is that the VCs have already cashed out

Some analysis I read about the rapid price drop. With pump-n-dump, usually by the time the price stops dropping, the VCs have already made their profit. In fact, them selling probably started the correction... something like 15% drop in a single day. Only bag-holders like Trump are still invested... well, that and some investors already shorting the stock, betting the price will drop even more.

[Jrsygrl96]

6. The same reason

a Russian paid 90 million dollars for a Trump property in Florida that was worth about 1 tenth the amount he paid, then razed it to the ground.

[ashredux]

7. It's just a way to give him money, to buy him, in a pseudo legal way

[Skittles]

8. money laundering

if it's Trump, it is CORRUPTION

[TheRickles]

9. But if this stock is locked and unsellable for 6 months, then he won't be able to cash in before his deadlines.

Like this Monday, for example. He needs another source of money to cover the huge bond coming due in 2 days.

[lostnfound]

12. "Elon floated it" Seems plausible.

Trump said he has half a billion. A promissory note. Or payment for a right of first refusal on buying a competitor to X/twit.

[former9thward]

43. Its not locked.

The Board of Directors, which is Trump friendly, can give a waiver before 6 months. That may not happen with Monday's deadline but it legally can happen before 6 months.

[Danascot]

49. Or he can use it as collateral for a loan

[NJCher]

62. I don't think so

I believe it was Joyce from Sisters In Law that said that wouldn't/couldn't happen. Can't recall the show but it was on Sat.

[2naSalit]

14. It's money laundering...

Plain as day.

The fun part is that Judge Engoron has given the monitor extra powers to watch this situation. She will know where all the money comes from. Also, the court won't accept anything but cash unless they have to liquidate real estate and other holdings. The AG is most likely to go after his cash holdings first which means he won't have any operating funds.

[Baitball Blogger]

15. This is what is perplexing:

In the New York case he was accused of magnifying the value of his real estate assets when it suited him. And, then he goes and does it with Truth Social.

Why is it so hard to understand? He has never faced punishment for expanding his own profit margins by lying.

[Pototan]

23. I understand what Trump does

I just can't understand how he can get away with it for 50 years, right out in the open.

[Baitball Blogger]

30. I think Trump has exposed 247 years of White Male preferential treatment in a capitalist society.

Sometimes diagnosing the disease is 75% of the cure.

[orthoclad]

39. But it's been diagnosed for 150 years,

maybe much more. What's the next step?

[Baitball Blogger]

47. It's long overdue. You have to be brave enough to question all the false icons in our society.

i.e. Capitalism deserves a good critical thrashing. Not just the system itself, but all those who jump in to defend it, since they're the ones blocking an open and fair analysis.

I'm not saying that we should do away with a capitalist society. I'm saying that we need to make it better to work for everyone.

[orthoclad]

52. We've been trying that for hundreds of years

that is, having it work for everyone. It doesn't seem to work.

[Baitball Blogger]

54. We'll have to wait until it hits rock bottom.

We're almost there.

[orthoclad]

56. But we'll be seeing megadeaths then

from all the catastrophes coming to fruition.

I guess we could compare capitalism to alcoholism: the addictions, the "hitting bottom".

[orthoclad]

37. Because that's how capitalism works

Cutthroat biz deals. Issue orders to minions who obey or "you're fired".
Mainly, own the people who write the rules so you can use them.

[Baitball Blogger]

48. Capitalism as we see it today, is riddled with loopholes and exceptions.

And it's those loopholes and exceptions that create all the other imbalances. In a perfect society, if capitalism was a true working model in a democracy, we actually would see evidence of a trickle down effect with workers getting good salaries. But the reverse has happened. So, it's time to take down those profit lords, like Trump, and try to restore balance.

But I do have this one worry that has always bothered me. When you see something like the CIA being allowed to dump drugs in impoverished neighborhoods in America -- which wasn't even in their jurisdiction at the time, and that agency still exists today...then what's to say that people like Trump don't serve as a money vehicle for some of our established institutions? And that's why they're allowed to exist?

[orthoclad]

51. He's a convenient vehicle

for channeling wealth - and power - into a very few pockets.

I'm betting they'll be glad to pay his bills. Deviously. Like stock purchases.

[Emile]

16. I wonder if our justice department is looking

into this.

[Sky Jewels]

21. With Milquetoast Merrick at the head?

My guess is: NO.

[NoRethugFriends]

35. careful. you don't want to arouse the ire of a large shade producing elm

[bucolic_frolic]

19. Media companies depend upon growth

I would question how much growth is possible for the company. Trump himself is an almost fully depreciated asset who depends upon his business and political capital, one of which is in court with judgments against it and the other is in court and without a foundation of US values of freedom, democracy, and truth.

To succeed he must sell fascism to the masses, with the help of right-wing think tanks, a shrinking party and religious zealots. See any growth there?

[surfered]

22. Shareholders of Digital World Acquisition Corp approved the merger

…with Truth Social after the SEC gave regulatory approval. The closing price Friday was $41 per share with Trump owning 70 million shares; however, as part of the deal, he is prevented from selling any shares for six months.

[TheRickles]

24. That last point is the key - this deal won't help him meet the Monday deadline for covering the bond.

[former9thward]

45. Waivers are allowed as part of the agreement.

The Board of Directors, which is Trump friendly, can give a waiver before 6 months. That may not happen with Monday's deadline but it legally can happen before 6 months.

[malaise]

25. Corruption gone mad

That is all

[dutch777]

27. A stock is only worth whatever someone is willing to pay for it. Are folks bidding it up as backdoor gift to Trump?

Maybe. Would be interesting to see who major shareholders are. Doubt there is grounds to stop it but will be very telling and I hope they lose their shirts.

[lindysalsagal]

40. Exactly. Last night on msnbc there were tax and bond experts saying just that. The price of the st ock

is imaginary, and will change, especially when it's not his anymore. These are all imaginary numbers just like all tfg numbers. Time will tell what this social media group is worth. It could all collapse overnight and most investors know it.

It's not like a piece of real estate or even a rare gem or a safe full of gold: It's just a fluff in the wind.

[dembotoz]

28. some time ago the green bay packers offered to the public pretty fake stock

no voting rights, no real ownership, no profit....
just a pretty piece of paper to hang on the wall to show what a fan you are
straight fund raiser gimmick

They sold like crazy

sucker born every minute

[RSherman]

34. My friend is a huge GBP fan

He paid $300 for his pretty certificate

[samnsara]

29. no normal person will buy any of it..its gonna die when trump does..

...soon, I hope!

[MineralMan]

32. It's just a legal form of money laundering.

That is the explanation.

[FailureToCommunicate]

36. TSF is using the playbook of Bernie Madoff. Let's hope it ends up...

like this for him:

[LetMyPeopleVote]

50. DWAC soon to be TFG is a meme stock that relies on the greater fool/idiot theory

Meme stocks rely on the greater fool theory. I was amused to see that DWAC/Trump Media is classified as a meme stock where the value is due to personality and not due to the real value of issuer of the meme stock. This article is a good discussion of the meme nature of DWAC/TMT.
https://www.vanityfair.com/news/donald-trump-truth-social-media-merger

Trump’s financial future now hinges on some of the strangest fads in corporate finance—meme stocks, SPAC deals, and cult-of-personality investing. If Trump can find a way to act fast, it might just be the bailout he desperately needs.

Truth Social is a bad imitation of Twitter, where Trump was an unavoidable presence long before he ran for president. It’s chock full of stale red-pilled memes, MAGA conspiracy theories, and of course, Trump. That’s the main draw. Truth Social is the only place the former president now regularly posts his unfettered thoughts......

DWAC is best thought of as a meme stock. You may remember the meme stock fad from when retail investors on Reddit successfully coordinated a short squeeze with GameStop stock, before glomming onto a series of other millennial nostalgia brands like AMC Entertainment, BlackBerry, and Bed Bath & Beyond. Meme stocks are often publicly traded companies that attract an inordinate percentage of individual investors and their stock performance fluctuates in a way that’s significantly divorced from the reality of their underlying business. Combine those two trends and you’ll start to see why Trump’s media company could be valued at roughly $9 billion if it merges with DWAC.

Jay Ritter, a finance professor at the University of Florida, says meme stocks often depend on the “greater fool theory of investing,” meaning rational investors might buy in expecting the stock price to rise and betting that they can sell their shares to a greater fool willing to buy them at a higher price. In this case, however, Ritter speculates there is an inordinate number of individual retail investors compared to institutional investors, such as hedge funds, that normally own SPAC shares prior to a merger. “Here you’ve got ideology involved [too]—as far as I can tell, the vast majority of DWAC investors are Trump political investors, and they’re to some degree putting their money where their mouth is… My suspicion is most of them have bought the stock as a show of political support.” In this way, Trump is conducting yet another public fundraising from his supporters—this time through the public markets.

Idiots who purchase meme stocks are betting that they can get out before the other idiots figure out that the stock is worthless

[senseandsensibility]

55. I'm sure our crack investigative journalists on MSNBC and CNN

will be all over this since something doesn't smell right. But seriously, folks even if the investigative reporter (his name escapes me) on CNN is allowed a brief segment to delve into this, the rest of the talkingheads will spend the rest of the day ignoring it.

[ecstatic]

60. It's definitely a scam. I wouldn't be caught dead on that platform

A social media site with only tRump, bots and trumpers is a non-starter for most people.

If someone is dumb enough to invest in that, good luck, although professional traders might be able to get in and get out really quickly and keep the cash. I imagine that's tRump's plan as well.

My timing is never right so I'm not going to try. Lol

[NJCher]

63. I don't know why anyone would put there investment dollars there

when they could put them here:

https://www.democraticunderground.com/11215248

It's "bipartisan."

[ecstatic]

64. wow! Thanks for sharing! nt

[EndlessWire]

61. His business partners are suing him

because he's cheating them out of stock. I don't pretend to know much about stocks, but they are upset enough to have filed suit. It has to do with going public.

I found it interesting that John Rosatti did something similar. Maybe he learned it from him.

[Pototan]

65. Kick