Eric Trump’s Crypto Firm Sees Value Halved in Minutes

Shares of Eric Trump’s cryptocurrency mining enterprise experienced a dramatic downturn on Tuesday, shedding more than half their market value in under 30 minutes. American Bitcoin Corp (ABTC), the Texas-based operation, witnessed its stock plummet, triggering multiple trading halts as investors reacted to a broader market decline. This sharp drop for ABTC comes amidst a challenging period for digital assets, which many market observers are now terming the onset of a “crypto winter.”

Sudden Market Reversal for American Bitcoin Corp

The swift decline in ABTC’s share price was a stark development for the company. After closing the previous day at $2.39, the stock plunged to $1.90 within moments of trading. This rapid depreciation reflects the volatile nature of the cryptocurrency sector and its associated businesses. The last time ABTC shares traded at such a low point was in May, preceding a peak of $9.31 on September 9. From that high, the stock has now fallen by a significant 78% to its current trading value, underscoring a period of considerable instability.

ABTC’s Volatile Trajectory

American Bitcoin Corp, which was formed from Hut 8 Corp earlier this year, has been a subject of interest due to its high-profile affiliation. Last month, Eric Trump, the second son of former President Donald Trump, asserted on social media platform X that his company was responsible for processing 2% of the world’s total Bitcoin supply. He expressed grand ambitions for the venture, stating, “I truly believe we are building one the greatest crypto companies anywhere on earth.” Despite these aspirations, the company’s recent financial disclosures, reported by Bloomberg in November, showed third-quarter net income of $3.5 million on revenues of $64.2 million.

A Broader “Crypto Winter” Grips the Market

The abrupt slump in ABTC’s valuation is not an isolated incident but rather a symptom of a widespread sell-off across the digital asset market. Bitcoin, the world’s leading cryptocurrency, has seen its value erode significantly since early October, effectively erasing a year of substantial gains. Specifically, Bitcoin has plunged over 30% from its October 6 peak of $126,272 per coin, settling at $92,133. Analysts at Deutsche Bank recently highlighted the scale of this market contraction, estimating that a staggering $1 trillion in value has been wiped off the global cryptocurrency market since that October peak.

The Expanding Trump Crypto Portfolio

Eric Trump’s mining operation represents just one facet of the Trump family’s growing involvement in the cryptocurrency space. The family’s foray into digital assets began in 2022 with the introduction of a non-fungible token (NFT) collection. This expanded in 2024 with the launch of the crypto firm World Liberty Financial, followed by the introduction of a family-branded cryptocurrency, $TRUMP, in 2025. However, like American Bitcoin Corp, other crypto ventures associated with Donald Trump have also faced challenges. The WLFI token, linked to World Liberty Financial, has seen its value decline from 26 cents in early September to approximately 16 cents, reflecting the prevailing bearish sentiment across the sector.

As the “crypto winter” continues to challenge the resilience of digital assets, companies like American Bitcoin Corp and other Trump-affiliated crypto ventures find themselves navigating a highly volatile and uncertain landscape, where even established players are grappling with significant value depreciation.

Source: The Guardian