Shares of Trump Media & Technology Group Corp. (NASDAQ:DJT) rose more than 6% on Tuesday after the company unveiled plans to expand into the prediction markets business through an exclusive partnership with Crypto.com | Derivatives North America (CDNA).
The operator of Truth Social said it will become “the first social media platform to offer its users technology to access embedded prediction markets capabilities” via a new service called Truth Predict. The platform will allow users to trade prediction contracts on various real-world events, including political elections and sports results.
“With more than $3 billion in financial assets as of the end of the second quarter, and having posted our first quarter of positive operating cash flow after going public just last year, Trump Media is well-positioned to leverage our strong balance sheet and existing social media capabilities,” said Devin Nunes, Chairman and CEO of Trump Media.
The announcement comes as activity in leading prediction platforms such as Polymarket and Kalshi hits record levels. Large financial exchanges, including CME Group Inc. and Intercontinental Exchange Inc., have also expressed interest in entering the fast-growing sector.
“Prediction markets are poised to be a multi-deca-billion dollar industry,” said Kris Marszalek, CEO of Crypto.com.
Trump Media said the service will begin beta testing on Truth Social before a full U.S. launch, with plans to expand globally afterward.