Alt5 Sigma Corp, a Las Vegas company that once made treatments for chronic pain is now raising up to $1.5 billion to buy a Trump-linked crypto token.
In a press release on Monday, the firm said it will sell shares to gather the fund and use it to collect World Liberty Financial tokens, a virtual coin tied to President Donald Trump’s family. Alt5 Sigma Corp recently stopped working on biotech last year and had since turned into a finance company.
The main buyer in this fundraising will be World Liberty Financial itself. Other investors include companies that focus on cryptocurrency projects. The deal is expected to be finished on Tuesday, Aug 12.
Once done, it will give Alt5 Sigma a large collection of the Trump-linked tokens and place them inside a public company, meaning people can buy shares in Alt5 Sigma to indirectly own part of the token.
Moreover, Eric Trump, who co-founded World Liberty Financial, will join Alt5 Sigma’s board, while Zach Witkoff, another co-founder, will become chairman when the deal closes Tuesday.
Zach Witkoff is the son of Steve Witkoff, a presidential envoy, and the project’s co-founders also include Donald Trump Jr. and Barron Trump, according to the project’s website. President
According to a Bloomberg report, a company tied to Trump’s family owns 40% of World Liberty Financial’s parent firm and holds billions of its tokens. Trump and Steve Witkoff are both listed as “co-founder emeritus,” on the project’s website.
World Liberty Background and Political Ties
World Liberty Financial is not yet traded on major cryptocurrency exchanges. This deal could make it easier for investors to get involved through the stock market.
Bloomberg says that Trump-related crypto projects, including a “memecoin” launched on inauguration weekend, have already added at least $620 million to Donald Trump’s personal wealth in recent months.
Meanwhile, the project has faced political criticism. Some Democrats in Congress say it “blurs the line between presidential power and private profit.” Some Republicans in the Senate have also raised concerns.
This trend of corporate companies adding crypto tokens to their treasury started with MicroStrategy, a company managed by Michael saylor and known for buying and holding lare amount of Bitcoin. Currently, Strategy has over 620,000 BTC in its holding. Other companies have started adopting this trend.
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