An investment company with ties to US President Donald Trump’s sons, Eric and Donald Trump Jr., put some of his excess cash in a spot of Bitcoin Exchange-Traded Fund (ETF) -A Unusual VRI on the increasingly popular strategy to keep Bitcoin as a business reserve.
Dominari Holdings (Domh), located in the Trump Tower in New York City, came headlines last month after the Trump brothers joined his 58-year-old advisers and became investors.
In a revenue report on Friday, it announced that it would adopt a Bitcoin Reserve strategy and invest some of its cash reserves in Blackrocks Ishares Bitcoin Trust (Ibit), the biggest spot of Bitcoin ETF on the market.
According to the report, Dominari has committed to $ 2 million to buy shares of Ibit right now. The share has a market capital of about $ 70 million and has fallen more than 9% on Friday’s trade.
Most companies that adopt a Bitcoin reserve strategy buy cryptocurrency directly and self-defense it or use a custodian. Dominari instead wins exposure through a regulated stock exchange fund, a step that can appeal to companies looking for easier compliance and cleaner accounts.
The move is not surprising considering Donald Trump Jr.’s interest in crypto. The president’s son is involved in many crypto projects and has become an unofficial spokesman for his father’s enthusiasm.
Just earlier this week, World Liberty Financial (WLFI), the economic protocol supported by President Donald Trump and his family, set his own stableecoin at a crypto event in Washington.