Gryphon Digital Surges 42% on Trump-Backed Bitcoin Merger
Deal with American Bitcoin, backed by Donald Trump's sons and Hut 8, will create a new publicly traded entity under the ticker 'ABTC'.
Shares of Gryphon Digital Mining (GRYP) soared over 42% on Thursday, reaching an intraday high of $1.75, as investors cheered the company's impending all-stock merger with American Bitcoin, a cryptocurrency mining venture backed by Donald Trump Jr. and Eric Trump.
The deal, which is expected to close in early September, will result in a new publicly traded entity on Nasdaq under the ticker symbol 'ABTC'. The combined company aims to become a major player in the Bitcoin mining sector, leveraging Gryphon's existing infrastructure and American Bitcoin's growing cryptocurrency reserves. The new entity will be majority-owned by the Trump brothers and Hut 8, a prominent crypto mining firm.
Investor enthusiasm for the merger has been building for months, with Gryphon's stock skyrocketing 231% since May. The deal is seen as a strategic move to address Gryphon's recent financial struggles, which include declining operating cash flow and negative profit margins. By merging with the well-capitalized American Bitcoin, the new company plans to optimize costs, enhance efficiency, and pursue an aggressive global expansion strategy, including potential acquisitions in Asia.
This merger comes amid a favorable environment for cryptocurrency firms in the United States, following the Trump administration's recent policy changes. In March 2025, President Trump signed an executive order establishing a national strategic Bitcoin reserve, and in July, the GENIUS Act was signed into law, providing a regulatory framework for stablecoins. These developments have helped fuel a surge in crypto-related IPOs and boosted institutional investor confidence in the sector.