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Bitcoin Updates: Trump-Associated Bitcoin Move: Expansion Opportunity or High-Risk Gamble?

Bitcoin Updates: Trump-Associated Bitcoin Move: Expansion Opportunity or High-Risk Gamble?

Bitget-RWA2025/10/31 09:32
By:Bitget-RWA

- Trump-backed American Bitcoin Corp. acquires 1,414 BTC, boosting holdings to 3,865 BTC ($446M) via mining and purchases. - The firm's "Satoshis Per Share" metric rose 52% to 418, reflecting strategic cost-reduction through integrated mining operations. - ABTC shares surged 11.5% post-announcement but later retreated, mirroring crypto market volatility and valuation debates. - Analysts question sustainability of Bitcoin accumulation strategies if prices fall below acquisition costs, despite $5.29B market

Bitcoin Bulls Change Tactics as Trump-Associated Treasury Company Acquires 1,414 BTC

Headquartered in Miami,

Corp. (Nasdaq: ABTC), a accumulation platform supported by Eric and Donald Trump Jr., has added 1,414 Bitcoin to its reserves, bringing its total holdings to 3,865 BTC. As of October 24, 2025, these assets are valued at roughly $446 million, according to a . This latest acquisition, which combines both direct purchases and mining rewards, has strengthened the company’s position as a significant institutional player in Bitcoin, even as the market remains turbulent.

Bitcoin Updates: Trump-Associated Bitcoin Move: Expansion Opportunity or High-Risk Gamble? image 0

After merging with Canadian mining company Gryphon Digital Mining earlier this year, the firm has implemented a two-pronged approach: mining Bitcoin and making direct purchases, aiming to lower its average acquisition cost. "By generating Bitcoin ourselves, we gain a cost advantage over those who only buy on exchanges," stated Asher Genoot, executive chairman of American Bitcoin, highlighting the benefits of their integrated mining strategy, according to the PR Newswire release. The company now reports a "Satoshis Per Share" (SPS) figure—calculated by multiplying total Bitcoin holdings by 100 million (the number of Satoshis in one BTC) and dividing by the number of shares—to enhance transparency for shareholders, the release noted.

Following the recent purchase, SPS climbed to 418, marking a 52% rise since September 1, 2025, according to the PR Newswire release. Eric Trump, who serves as co-founder and chief strategy officer, described SPS as a vital metric for Bitcoin accumulation platforms, saying, "The Bitcoin amount supporting each share is a key indicator of our advancement." The company’s stock (ABTC) jumped 11.5% to $6.26 after the news, before pulling back to $5.57 as the broader crypto market shifted, as reported by a

.

American Bitcoin’s assertive accumulation approach is similar to that of industry leader MicroStrategy, which has invested over $73 billion to collect 640,808 BTC, according to a

. Still, some analysts question whether such strategies are sustainable if Bitcoin’s price falls below the purchase cost. Despite these doubts, the company’s market capitalization of $5.29 billion—almost 12 times the value of its Bitcoin holdings—indicates significant growth potential, a observed.

The company’s association with the Trump family has attracted both interest and skepticism. While the political link has generated short-term excitement, some investors are cautious about its prospects over the long run. "The valuation offers potential, but future results will be decisive," one analyst commented, as cited by Crypto.news. Meanwhile, the company’s shares have experienced considerable volatility, mirroring the broader crypto market and economic uncertainties, according to a Yahoo Finance article.

As Bitcoin bulls adjust their strategies in a competitive treasury environment, American Bitcoin’s blend of mining and targeted acquisitions makes it a notable example of institutional Bitcoin accumulation. With more than 200 public and private Bitcoin treasury companies now active, the competition to secure digital assets is continuing to transform the cryptocurrency landscape, the Yahoo Finance report concluded.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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