How Eric Trump Got Rich From Bitcoin While Losing Investors A Fortune

Eric Trump's company, American Bitcoin, has been promoted as a leader in the Bitcoin world, with Eric claiming it can mine Bitcoin profitably at a significantly lower cost than its market value. However, an examination of the company's financials raises doubts about its ability to mine Bitcoin profitably, let alone with the claimed margins. American Bitcoin, with only a few employees, went public with a valuation of $13.2 billion, despite holding an estimated $270 million in Bitcoin. The company has since sold shares, diluting its stock by 92% from its peak, while insiders, including Eric Trump, have reportedly increased their personal fortunes. This strategy has led to significant losses for everyday investors, estimated at $500 million. The company's origin involved a pivot from a data center venture to Bitcoin mining, brokered by entrepreneurs Asher Genoot and Mike Ho, who offered the Trumps a stake in Bitcoin mining equipment.