GD Culture Group (NASDAQ: GDC) has unveiled a bold $300 million equity financing plan to establish a cryptocurrency treasury containing Bitcoin and the Trump-themed TRUMP memecoin. The Nevada-based technology firm will sell common stock through a structured agreement with a British Virgin Islands investor, marking one of the largest corporate crypto acquisition strategies since MicroStrategy’s Bitcoin accumulation program.
Financing Structure and Timeline
The company secured funding through a Common Stock Purchase Agreement that allows gradual share sales over 25 months, with proceeds allocated as follows:
- 60% ($180M) for Bitcoin purchases
- 25% ($75M) for TRUMP coin acquisitions
- 15% ($45M) operational integration costs
This capital raise comes as GDC faces a Nasdaq compliance deadline on May 4, 2025, requiring submission of a plan to maintain its $1.00 minimum bid price requirement. Successful execution could extend the compliance period by 180 days.
Strategic Crypto Treasury Composition
GDC’s reserve strategy combines established and speculative assets:
| Asset | Allocation | Rationale |
|---|---|---|
| Bitcoin (BTC) | $180M | Store of value/Inflation hedge |
| TRUMP Coin | $75M | Political memecoin speculation |
The TRUMP coin allocation represents one of the first major corporate bets on political memecoins, currently trading at $14.57 with $114M market cap according to CoinMarketCap data.
Operational Integration and Leadership Vision
CEO Xiaojian Wang outlined a three-phase implementation:
1. Cold storage acquisition through regulated custodians
2. Blockchain infrastructure development
3. Livestream e-commerce payment integration
This aligns with GDC’s existing artificial intelligence and digital human technology verticals. The company’s subsidiary AI Catalysis Corp. will lead technical implementation, suggesting potential NFT or metaverse integrations.
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Market Impact Analysis
The announcement caused 23% pre-market volatility in GDC shares, while TRUMP coin surged 47% on the news. This move intensifies competition in corporate crypto treasuries, challenging MicroStrategy’s dominant B Bitcoin position. Analysts warn the TRUMP allocation introduces unprecedented political risk exposure for a NASDAQ-listed entity.
