One of the Trump family’s largest crypto investments has handed the First Family profits while investors were left with devastating losses.
Last August, Donald Trump Jr and Eric Trump proudly waltzed through the Nasdaq stock exchange in New York to tout their partnership with an obscure company called ALT5 Sigma.
A small digital payments firm with less than two dozen staff and a history of legal headaches, ALT5 would now benefit from direct business ties to the First Family.
The deal would give investors better access to a cryptocurrency run by the Trump and Witkoff families, World Liberty Financial (WLF). ALT5 later purchased $1.5 billion in WLF crypto.
The President, his sons, his Special Envoy and business partner Steve Witkoff and his son Zach Witkoff, co-founder of WLF, all stood to benefit.
According to Trump’s financial disclosures released earlier this year, the President and some undisclosed family members were entitled to around $500 million in proceeds from the deal.
Less than a year later, ALT5’s share price has plummeted by over 90 percent, wiping out gains for investors that piled in. After its share price dipped well below $1, the firm was threatened with being delisted from the Nasdaq exchange.
It has since changed its name to AI Financial Corporation, and it continues to struggle.