The stock price of an acquisition company that announced it would be merging with a newly announced Trump media company continued its precipitous decline early Tuesday. On Friday, October 22, the company’s share price reached $94.20, and it went higher than that in the middle of trading days — but as of a little after noon on Tuesday, November 2, the price stood at $58.09 after sinking to a bit above $55 earlier in the day. Those who invested in the company at certain points stood poised to lose significant sums of money. Rep. Marjorie Taylor Greene (R-Ga.) invested on a day when the lowest recorded share price was $67.96 — so she’s probably among those losing money when the prices drop lower.
As of 11am ET, Trump's DWAC stock is down another -9.41% after yesterday's precipitous -11% drop. Womp and womp. pic.twitter.com/HP5DZldX1t
— Bob Cesca (@bobcesca_go) November 2, 2021
The stock price continued a slight rebound after that initial dip earlier on Tuesday, rising past $60 for a share, but the general volatility remained clear. At least in part, Trump has fashioned his new media company, which he’s calling the Trump Media & Technology Group, as a sort of response to getting booted from mainstream social media platforms after inciting the violence at the Capitol in January. The announced plans include a Trump-backed social media platform called Truth Social — which is a remarkably clunky name for something under the purview of someone with the resources of a former president of the United States. It’s laughable that such is the best they could come up with, apparently.
Trump is also pursuing litigation against major social media companies in connection to his removal from their platforms. Trump has recently sustained losses in these cases — which are on shaky legal ground to begin with — via orders that the proceedings involving both Google/YouTube and Twitter be moved to the Northern District of California. The terms of service for the sites, to which users must agree, stipulate that such must be the area for legal challenges such as these to play out. Trump is not exempt. The foundation of his legal arguments includes a claim that (to use one example) Twitter essentially constitutes an extension of the government because of its ostensible government ties — and thus must abide by the First Amendment’s block on the government restricting free speech — but such is nonsense. Neither Twitter nor any other site magically became part of the federal government.