Trump-linked SPAC's shares surge as Truth Social app tops Apple downloads - Reuters

Feb 22 (Reuters) - Shares of Digital World Acquisition Corp (DWAC.O), the blank-check company behind former U.S. President Donald Trump's new social media venture, Truth Social, rose about 14% on Tuesday as the app topped downloads on Apple's App Store after its launch late on Sunday.

Truth Social was downloaded 170,000 times since its launch, according to research firm Apptopia. read more

The app's launch could mark Trump's return to social media after he was banned from Twitter Inc (TWTR.N), Facebook (FB.O) and Google (GOOGL.O) following an attack on the U.S. Capitol by his supporters last year. read more

Register now for FREE unlimited access to Reuters.com

Digital World's shares jumped 14% to $96.36, levels last seen in October, days after the blank check firm announced a deal to publicly list Trump Media & Technology Group (TMTG), the venture behind Truth Social.

The stock was also trending high on investor-focused social media site stocktwits.com, indicating interest from retail traders.

"It's driven by hype but I'm skeptical that the retail driven frenzy can be sustained," said Dennis Dick, head of markets structure, proprietary trader at Bright Trading LLC in Las Vegas.

The Truth social network logo is seen displayed behind a woman holding a smartphone in this picture illustration taken February 21, 2022. REUTERS/Dado Ruvic/Illustration

"From a fundamental perspective, it's too early to tell. Trump has a huge following and they could move from traditional social media to this platform... but it depends on how good the app is."

New users faced trouble signing up for the free app or were placed on a waitlist that cited "massive demand" soon after the launch. It was unclear if the issues were resolved by Tuesday.

Trump Media & Technology Group and Digital World did not immediately respond to Reuters' request for comment.

Wall Street's top financial regulators are investigating Trump's $1.25 billion deal to float TMTG on the stock market, a filing showed in December. read more

Other stocks linked to Trump also advanced. Phunware (PHUN.O), hired by Trump's 2020 Presidential re-election campaign to build a phone app, climbed 11%. SPAC CF Acquisition Corp VI (CFVI.O), which is taking video platform Rumble Inc public, added 3.3%.

Twitter Inc (TWTR.N) slipped 1.7%, while Facebook-parent Meta Platforms (FB.O) shed 1%.

Register now for FREE unlimited access to Reuters.com

Reporting by Medha Singh in Bengaluru; Editing by Saumyadeb Chakrabarty

Our Standards: The Thomson Reuters Trust Principles.

Adblock test (Why?)

U.S. - Latest - Google News
February 23, 2022 at 03:22AM
https://ift.tt/lzvIW8n

Trump-linked SPAC's shares surge as Truth Social app tops Apple downloads - Reuters
U.S. - Latest - Google News
https://ift.tt/08WHKg1
Shoes Man Tutorial
Pos News Update
Meme Update
Korean Entertainment News
Japan News Update

Bagikan Berita Ini