Trump-backed miner American Bitcoin stock plummets 95% from peak

Shares of American Bitcoin (ABTC), a cryptocurrency mining company supported by the Trump family, have plummeted 95% from their peak, Bloomberg reported. The company was founded on the simple idea that it could profit sufficiently just by holding and mining BTC. However, it has fallen into a severe downturn as BTC entered a bear market and a surge in demand for artificial intelligence (AI) led investors to favor mining companies that could convert their existing infrastructure into AI-focused data centers. Bloomberg noted that over the past 10 months, the market value of the stake held by Eric Trump has evaporated by more than $600 million. The company also conducted a 15-for-1 reverse stock split to maintain its Nasdaq listing, with its shares hitting an all-time low. This trend illustrates how quickly investors have turned away from pure-play cryptocurrency businesses, the report added. Success now depends not on who mines the most BTC, but on how flexibly a company can monetize its power, land, and computing infrastructure. For the Trump family, American Bitcoin's struggles exemplify the high volatility of crypto investments. While President Trump reported at least $1.4 billion in cryptocurrency profits last year in a financial disclosure, many retail investors have suffered losses as Trump-related tokens and American Bitcoin's stock have plunged.