The launch of TRUTH Social marks the return of Donald Trump on social media after he was banned from several platforms in 2021. The social media platform is pitched as a champion of free speech, which does not encourage censorship. As TRUTH social is available on the iOS App Store now, it appears that interested investors are looking up the social media platform’s stock.
How can you invest in TRUTH Social media platform?
If you’re considering buying shares in TRUTH Social, you need to wait until Trump Media & Technology Group (TMTG) is available in the equities market. Trump Media & Technology Group is behind social media platform Truth Social, which is being developed by former President Donald Trump. However, if you are interested in the Donald Trump-backed platform, you can get hold of Digital World Acquisition Corp. (NASDAQ:DWAC) stock.
On Friday, February 18, the DWAC stock was priced at US$ 84.32 per share. The DWAC stock surged 64 per cent year-to-date (YTD) and 113.5 per cent in the last three months. Many investors is buying shares of special-purpose acquisition company Digital World Acquisition (NASDAQ:DWAC) at its current prices. But is it a buy now?
Should I buy DWAC stock now?
Given the former president’s large fan base and the platform’s “free speech” marketing angle, I believe it has an excellent chance of becoming very popular. As a result, I believe that DWAC stock can continue to rally, however, I’m far from certain of exactly how successful Truth Social will be
TMTG forecasts that Truth Social will attract 15 million monetizable users through an ad-based strategy. In addition, it expects to have 81 million users over the next four years (figures based on a poll of registered voters). Believe it or not, the presence of former President Trump could be a driver of early-stage adoption by a large number of new users. If Truth Social is a massive success, then Meta could lose hundreds of millions of users globally as conservative and right-wing voters choose Truth Social over Facebook.
At this point, perhaps the best way to look at DWAC stock is as a short-term investment. Right now, buying DWAC stock is more akin to gambling than investing. The firm has no earnings history to speak of and they have yet to actually launch a product. Investors should wait to buy DWAC stock until more financial details of Trump Media are released.