Former President Trump’s Truth Social platform is in a serious financial quandary as its user numbers remain dismal and the company that plans to acquire worrying that Trump’s legal troubles could affect his – and his platform’s – popularity.
Six months after its long-heralded launch, Truth still has no consistent way of making money and its path to growth is questionable at best, Securities and Exchange Commission filings from Digital World Acquisition, the company that plans to take Truth Social public.
The company said that its business faces potential damage if Trump “becomes less popular or there are further controversies that damage his credibility.”
The company said that the Truth social network – a clone of Twitter, from which Trump is permanently banned – needs millions of people to “regularly use” it for it to become successful. However, even Trump – the site’s most popular user by a long way – has just 4 million followers and the site’s most popular trending topics, like #DefundTheFBI, have had just a few thousand people posting to them in recent days.
For comparison, Twitter claims to have about 37 million people in the U.S. actively using its site each day.
Digital World Acquisition has already seen its stock price plunge 75% since it peaked back in March and reports that it lost $6.5 million in the first half of the year.
(YWN World Headquarters – NYC)