Trump Media sets Feb. 2 record date for shareholder token airdrop with Crypto.com

Eligibility extends to beneficial owners and registered holders with at least one share as of the record date, according to the company. The token will be created after the snapshot and kept by Crypto.com until distribution.

The digital token is not a tokenized stock and does not grant voting rights, other shareholder rights or a claim on future earnings. It cannot be redeemed for cash or other financial benefits.

Trump Media indicated that token holders could receive periodic perks tied to company products, including discounts related to Truth Social. Details for allocation and distribution are still being finalized. An earlier concept of issuing one token per share was discussed but has not been confirmed.

The company framed the airdrop as part of its effort to integrate blockchain features and improve transparency around ownership. In a statement, CEO and chairman Devin Nunes wrote,

We look forward to leveraging Crypto.com’s blockchain technology consistent with Securities and Exchange Commission guidance to benefit our shareholders and promote transparency, including by obtaining a clear picture of bona fide beneficial ownership as of the record date.

Shares of Trump Media (DJT) opened at $13.85 on Tuesday, reached an intraday high of $14.94 and closed at $13.91. The company first outlined plans for a shareholder token on Dec. 31 and has reiterated that the token will not function as a tradable security.