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As a stock market deal closes, Trump is expected to receive billions.

It seems that Donald Trump is struggling to come up with the $464 million (£365 million) required to settle a fraud fine. Could he be saved by the stock market?

As a stock market deal closes, Trump is expected to receive billions.
As a stock market deal closes, Trump is expected to receive billions.

After a majority of Digital World Acquisition Corp. shareholders decided on Friday to acquire the company, Trump Media—which operates the social media platform Truth Social—is about to go public.

At least 58% of the combined business, or around $3 billion at the present price of Digital World’s shares, is expected to go to Mr. Trump.Mr. Trump stands to gain a staggering amount of money in return for a company whose own auditor said it was in danger of failing the previous year.

Ignore the numerous warning signs around the transaction, such as pending legal actions from previous business associates. In addition, Digital World agreed to pay a $18 million settlement last year to allay allegations of fraud regarding the creation of the merger deal.

Following the clearance, shares of Digital World fell more than 13%, closing the day at $36.94.

Supporters of the digital world, who are primarily individual investors rather than Wall Street businesses and many of whom seem to be Trump supporters, appeared unaffected.After the clearance was announced, deal advocate Chad Nedohin declared, “This is just the start,” on his show DWAC Live on the video platform Rumble. “There’s no reason to freak out.”

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Pronounced D-whack, Digital World, also known as DWAC, is a shell company established specifically to acquire another company and go public, also known as a SPAC.

The business will now be known as Trump Media & Technology Group, and as early as next week, it may begin trading on the Nasdaq stock exchange under the ticker DJT.

It’s unclear whether the agreement will instantly take care of Mr. Trump’s most serious financial problems, such as his fraud penalties in New York.

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