Amidst a sharp downturn in the cryptocurrency market this week, Eric Trump, son of former U.S. President Donald Trump, has expressed unwavering confidence in Bitcoin and the broader crypto ecosystem. While Bitcoin briefly dipped below $100,000, down more than 20% from its all-time high in early October, Trump stated he has "zero concern" regarding the situation.
Trump's optimism stems from his belief that volatility is inherent to the crypto market and presents opportunities for strategic investors. "Volatility is your friend," he asserted, advising those who cannot stomach the fluctuations to steer clear of the sector. He views the current dip as a "huge buying opportunity".
Trump's comments came after American Bitcoin, a company he co-founded and where he serves as Chief Strategy Officer, released its first financial statement as a publicly traded firm. The company reported strong third-quarter results, with revenue reaching $64.2 million and a net profit of $3.5 million, a stark contrast to the previous year's figures. American Bitcoin has been actively increasing its Bitcoin reserves, acquiring over 3,000 Bitcoin through mining and market purchases during the quarter, bringing its total holdings to 3,418 BTC by the end of September and roughly 4,000 BTC as of early November.
"Since our Nasdaq debut, we've added over 3,000 bitcoin to our reserves, steadily advancing among the world's leading public bitcoin treasuries," Trump stated in an earnings conference call. CEO of American Bitcoin, Mike Ho, stated that the company mines Bitcoin "at less than half the cost".
Beyond Bitcoin, Eric Trump revealed his interest in tokenizing real estate projects, with plans to tokenize the Trump International Hotel & Tower in Dubai and another project yet to be announced.
In a Bloomberg interview, Trump emphasized Bitcoin's long-term performance, stating it is up 180% in two years and has been the best-performing asset of the past decade. He argued that short-term comparisons miss the bigger picture, highlighting Bitcoin's historically high annual returns compared to traditional assets like stocks, gold, and real estate. He also pointed out Bitcoin's efficiency in facilitating global fund transfers, even on weekends, at minimal cost.
American Bitcoin Corp. (NASDAQ:ABTC) shares initially rose but then fell 1.3% in morning trading as Bitcoin slipped. Despite recent price struggles, the company's strategic acquisitions and mining output have increased its Bitcoin holdings. The company's executive chairman, Asher Genoot, believes that producing Bitcoin directly gives them an advantage over competitors.
