The social media app is developed by the Trump Media and Technology Group (TMTG).
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SPAC stands for Special Purpose Acquisition Company and raises funds in the public market with the goal of merging with a private sector and making it public within two years. Investors usually have no clue as to what the target company will be when SPAC debuts and trades on the stock exchange.
There have been signs that small retail investors may be behind a huge SPAC rally. On Thursday, DWAC is the single most actively traded stock on Fidelity’s securities platform. Ticker, on the other hand, was one of Reddit’s Wall Street Bets’ most popular references. SPAC is also a trending topic on Twitter, showing that DWACs may have meme stock moments like GameStop and AMC.
On Friday morning, one of the top posts on the WallStreetBets message board posted what looked like a user’s equity portfolio, promoting more than $ 10,000 a day in betting on SPACs. The post, which called the former president “Daddy Trump,” quickly received more than 800 comments.
“The mission is to create rivals for the Liberal Media Consortium and fight Silicon Valley’Big Tech’company,” said the new company, the unlaunched Trump Media & Technology Group. One-sided power to silence American dissent. “
The move came after Mr. Trump was banned by social media giants Twitter and Facebook earlier this year after being accused of inciting a parliamentary riot on January 6 by supporter mobs. rice field. The violence prevented confirmation of the defeat of Trump’s electoral college against President Joe Biden.
SPAC warrants traded under the ticker DWACW also experienced a large number of trades on Thursday. Warrants are transactional sweeteners that provide early investors with more compensation for their cash. These are contracts that give holders the right to purchase additional shares at a specific price in the future.
— CNBC’s Dan Mangan contributed to the report.
Trump Social Media SPAC Digital World Acquisition Corporation jumps 100% further