American Bitcoin Corp, the Trump-family backed mining firm, co-founded by Eric trump, saw its shares fall a whopping 40% to $1.80 on 2 December 2025. So, what triggered this plummet? The expiration of a lockup period on pre-merger private placement shares caused this fall. The stocks dropped intraday to $1.80 from a prior close of $3.58. What does this mean for investors? The fall has triggered multiple trading halts amid heavy volume, even as Bitcoin itself rallied over 7% to $91653.
While Hut 8 owns 80% of the company, the remaining 20% is held by Eric Trump, son of US President Donald Trump.
Eric Trump took to X to address the volatility. According to him, the fall was “expected.” To reaffirm his commitment, he said that he won’t sell his holdings.
Thanks @Coachjv_. Today our pre-merger private placement shares unlocked — these early investors are freely available to cash in on their profits for the first time which is why we will see volatility.
Our fundamentals are virtually unmatched and our differentiator: mining BTC… https://t.co/7h1Aqjt8iE
— Eric Trump (@EricTrump) December 2, 2025
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By July 2025, the firm had mined 215 Bitcoins, raising $220 million for BTC purchases
Eric Trump is the Co-Founder and Chief Strategy Officer of American Bitcoin Corp.
Launched in April this year, American Bitcoin is a Bitcoin mining and treasury accumulation venture. It merged with Gryphon Digital Mining to debut on Nasdaq. But the crash stemmed from the 2 December 2025 unlock of restricted shares from a June 2025 private placement. While most shareholders face a 180-day lockup until March 2026 – including Trump family insiders – this partial expiry exposed thin liquidity in the high-risk crypto-linked stock.
The company has positioned itself as a direct Bitcoin exposure play amid the Trump family’s broader crypto portfolio including memecoins and stablecoins. Eric Trump has been leveraging family connections to attract investors from Europe, Canada, and the Middle East. However, company executives stress that there has been no direct presidential access.
Notably, recent Q3 results of American Bitcoin showed $64.2 million in revenue and $3.5 million net income.
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Eric Trump Named Adviser To Metaplanet In March 2025
In March 2025, when welcoming Eric Trump as an adviser, Metaplanet CEO Simon Gerovich said, “His business expertise and passion for BTC will help drive our mission forward as we continue building one of the world’s leading Bitcoin Treasury Companies.”
As of today, Michael Saylor’s Strategy has slowed its Bitcoin accumulation spree amid a broader downturn for DAT (Digital Asset Treasury) firms. Meanwhile, Japan’s Metaplanet is still going strong, having just announced a fresh $130M borrow against its Bitcoin holdings for additional purchases.
By borrowing a further $130 million against its BTC holdings, the Tokyo-listed DAT firm expands its use of its $500 million credit facility as it continues to build its Bitcoin-based income strategies.
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