A few days ago I wrote about Donald Trump's plan to take his Truth Social network public. But one crucial point was a little buried, so I want to repeat it on its own. To start, you have to understand that even after three years of operation Truth Social is still essentially worthless:
It's not just that these numbers are negative. They're also tiny. Truth Social has total revenues of a few million dollars, about the size of a smallish dental practice.
Everybody involved in taking Truth Social public knows this. It's right in their S-4 filing. So why is anyone sinking money into this loser? Because of this:
Trump and his investors are counting on his mom-and-pop fans to buy stock in the company acquiring Truth Social. As long as they keep the stock price high, Trump will be able to slowly cash out his holdings and make a few billion dollars. With luck, by the time the bubble bursts Trump and his investors will be fully divested at a huge profit. The only losers will be the moms and pops who bought the stock.
In other words, the whole thing is a shabby scheme designed to extract billions of dollars from Trump's MAGA fans, who will be left holding the bag when Truth Social collapses. The whole thing is pretty sickening.
Sickening, but a pretty standard scheme for the Orange Droolius.
Wanna bet he's going to try to cheat on his capital gains taxes?
Pump and dump. Donald the Grifter revisits one of his favorite schemes. He will screw his stockholders while they pay him an exorbitant salary to do it.
Indeed classic pump and dump - in plain sight.
Sickening is not really the word I would choose, a guilty pleasure perhaps if it is not otherwise blocked in lawsuits to collapse.
Pump and dump is a form of securities fraud. While there may be some entertainment value in watching Trump fleece his MAGA flock, there are laws against it and someone in the government ought to shut it down. I won't hold my breath. But I will say that watching Trump commit crimes in real time and get away with it is a problem not just for MAGA folk but for all of us.
We're now at the point that a Trump crime is not a Trump crime unless both houses of Congress pass a law saying Donald Trump is guilty of a crime. Trump goes through lawyers like whores in a brothel, but his law firm of Roberts, Thomas, Alito, Gorsuch & Kavanaugh has never let him down. They work pro bono and have a client list of one.
Someday, Congress will pass a law saying Donald Trump is guilty of a crime and the Supreme Court will issue their ruling: Sorry, did we say act of Congress? We meant Constitutional amendment. Please try again.
Very astute summary of where things are...
That is about it.
The tempo and the volume at which this type of chicanery is happening in the crypto world would bury this insignificant scam so deep, regulators will just ignore it. Unless some big names become involved and are damaged by the grift.
Pump and dump exists to separate idiots from their money. No one is forcing it upon them.
obviously you've never been brow beaten within an inch of your personhood by a boiler room pro. sure no one's forced to buy into these things, but the people who make their living at these things know which buttons to push to get their marks to cough up the dough even when common sense tells them not to.
This is no longer the 80's. It's all digital and 90% of this will be algorithm driven anyway. Nobody here will be taken to the cleaners without knowing full well what's going on. These people WANT to give money to Trump. Part of me wants to warn them, but you know, they'd just stare and me like I was an idiot. Of course they know. It's an opportunity to send salvation to their deity in the form of cash, which he desperately needs.
Con men gonna con.
Pump and dumpers tend to be less than truthful in their statements. This is why they often end up being prosecuted.
I guess he personally is locked out of selling for 6 months, but I dunno about other investors, and of course he can always have alter-egos.
As to the Cult shoveling all their money at him, I guess I'm indifferent, since otherwise it would probably go to other Republican candidates or to other grifters, and other Republican candidates would be more likely to use it to get elected vs, say, pay fines to the State of New York.
Guessing that these are mostly old people, and probably not choosing between a can of beans (or a new gun) and an investment, I think the money would otherwise ultimately go to their heirs.
When will they ever learn? Never. The gov should go after him. Wait, won't happen.
But they will have helped Donald own the libs. That has big value to these “great people”.
I don't get it. He has trouble raising money for his campaign, so why should people invest in his worthless company? Are there really billions of dollars available to squeeze out this way? Have any of his other scams raised anywhere near that much money?
How sure are we that the putative investors are just ordinary MAGA fans? Seems to me that owning a piece of Trump, assuming he's elected, really is worth that much money to some foreign countries that don't exactly have our best interests at heart. If Russia, Saudi Arabia, and a couple of others were behind this, it would make more sense.
Those are all good points. Of course if you own a piece of Trump and he's elected, there's pretty much no chance the Trump DoJ will investigate it.
People buying stock in the company will be making a bet. If Trump is anointed “President” it will be worth a lot. If he isn’t it will be worthless. Kind of like supporting Trump in the first place.
How exactly will it be monetized if he is President?
Another problem is that the Defendant keeps committing crimes, in plain view, even while undergoing trial and several other indictments. It's impossible to keep up, particularly since he throws the old sabot into the wheels of justice constantly with his frivolous lawsuits and other delaying tactics.
In a sane world, he'd be locked up (LOCK HIM UP! LOCK HIM UP!!) and brought out for each specific trial or hearing. But oh,no! We can't do that!! Former (Republican) President! Unprecedented! Never done before in all US history!
So he gets to run free, maligning and siccing his rabid minions on the judge, court personnel, jury, and witnesses, making threats, and committing more crimes. How can this be "justice"? What kind of justice system do we have now?
Can political action committees invest their donations?
Yes, they can. So folk can give to Trumps PACs and the PACs can invest in this new company and legally transfer all that money to Trump and then he can pay of attorney bills and legal fines and continue to grift with his media empire.
Well, someone is already doing "Trump Bucks"
https://www.nbcnews.com/news/us-news/trump-bucks-promise-wealth-maga-loyalty-lose-thousands-rcna84965
Well if https://www.web3isgoinggreat.com/?id=grifter-in-chief-donald-trump-hawks-mugshot-nfts didn't work, why not try...
Given the eagerness with which so many Americans send donations to Trump, and buy his worthless merchandise, I feel zero pity for any "moms and pops" who lose money in this scam. Nor do I believe they would want any. They'll wear their losses proudly as sacrifices for their Lord and Master.
Two words: short sale.
I thought a little bit about that when DWAC was first issued. I haven't sold short previously, so I don't know many of the technical matters of it, but I think it's worth learning a little more about.
I don't see there being enough money in his MAGA idiots pockets for this
There are what 70 million idiots who voted for the Orange Cockwomble
What percentage are real MAGA idiots who would buy shares - 10%???
So 7 million possible "investors" - for a valuation of 3.5 Billion that is $500 each
I think the possible "pool" is much much smaller - as soon as TFG starts selling the price will crater
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