Freight Technologies (Fr8Tech), a company listed on Nasdaq offering logistics solutions, is establishing a $20 million corporate treasury to acquire Official Trump (TRUMP) memecoins.
A statement released on Wednesday revealed that the company secured an agreement with an undisclosed institutional investor to issue up to $20 million in convertible notes through a facility. The company has exclusively earmarked the capital from this financing to purchase TRUMP tokens, according to the statement.
Fr8Tech CEO Javier Selgas stated that adding the Official Trump tokens offers an excellent way to diversify the crypto treasury and effectively promote fair, balanced, and free trade between Mexico and the U.S.
Earlier this month, the company announced that it had acquired FET, the native cryptocurrency for Fetch.ai. The $5.2 million deal involved the exchange of over 2.3 million preferred shares of the company for the cryptocurrency.
“At the heart of Fr8Tech’s mission is the promotion of productive and active commerce between the United States and Mexico,” Selgas added. He cited U.S. Treasury Secretary Scott Bessent’s comment, which emphasized that deeper collaboration with trade partners is the goal, despite the “America First” slogan.
Fr8Tech announced plans to issue $1 million worth of notes in the first tranche and to make up to an additional $19 million available in future drawdowns.
The company’s stock price briefly surged on Wednesday following the announcement but has since returned to pre-announcement levels. According to Google Finance data, its stock fell by 20.6% to close at $0.98 on Thursday, while the Nasdaq Composite rose by 1.52%.
Rising Adoption of Crypto in Corporate Treasuries
Following President Donald Trump’s election and his administration’s push for national bitcoin and crypto reserves, many companies accelerated the accumulation of cryptocurrencies in their corporate treasuries.
Despite macro-driven pressure on the crypto market, major bitcoin holders Strategy and Metaplanet continue to accumulate bitcoin. Meanwhile, DeFi Development Corporation and SOL Strategies recently rebranded to refocus their investment efforts on Solana.
Traditional finance giants Cantor Fitzgerald and SoftBank, in collaboration with Tether, launched a new crypto venture earlier this month called Twenty One Capital. The venture plans to begin with $3.6 billion worth of bitcoin in its treasury, following a Strategy-like approach that focuses on accumulating bitcoin holdings.
