Freight Technologies (FRGT), a logistics technology firm valued at $4.8 million, has made a strategic move to enhance its technology and geopolitical positioning by entering into an agreement to purchase up to $20 million in Official Trump Tokens (TRUMP). This decision is part of Freight’s broader strategy to build its crypto treasury and influence cross-border trade between the U.S. and Mexico.
The company secured the funding through a convertible note agreement with an institutional investor, with the first $1 million tranche already committed. The entire capital raised will be allocated exclusively to the purchase of TRUMP tokens, positioning Freight as one of the first publicly traded companies to make such an investment.
In addition to this move, Freight has previously invested in FET tokens, which currently hold an $8 million valuation. These AI-linked tokens are integral to the AI-driven tools utilized across Freight’s logistics platforms, supporting its core business of optimizing cross-border trade.
While investing in digital assets is not a novel approach for publicly listed companies, Freight’s choice of assets signals a distinct strategy. Michael Saylor popularized Bitcoin acquisitions as a treasury strategy, and other companies, including Semler Scientific (SMLR) and Cantor (CEP), have followed suit. Firms like Sol Strategies (HODL) and Janover (JNVR) are also increasing their exposure by purchasing SOL tokens, tapping into the crypto trend. In Japan, companies like Metaplanet and WEMADE are accumulating Bitcoin, while others like Value Creation and NEXON have increased their crypto holdings.
However, Freight’s investment aims to do more than just diversify its portfolio. Javier Selgas, the CEO of Freight Technologies, noted in a press release that the company intends to influence the ongoing trade negotiations between the U.S. and Mexico. “By adding Official Trump tokens to our treasury, we are not only diversifying our crypto holdings but also positioning ourselves to advocate for balanced, free trade between Mexico and the U.S.,” said Selgas.
This move has sparked some controversy. Critics, including Senator Jon Ossoff (D-Ga.), have raised concerns about potential conflicts of interest, especially given President Trump’s involvement with the token. Trump recently announced plans to host a private dinner with major TRUMP token holders, which some Democratic lawmakers have labeled as “selling access to the presidency.”
For Freight Technologies, whose stock price has plummeted by nearly 90% over the past year due to challenges in cross-border trade, this bold move could be an attempt to revive its fortunes. The company is heavily reliant on U.S.-Mexico trade, and its commitment to promoting active commerce between the two nations could help stabilize its stock.
“Mexico is the United States’ top trading partner, both as a destination for U.S. exports and a key source of imports. Our mission at Fr8Tech is to foster active, productive commerce between these two nations,” added Selgas.
Following the announcement of its investment, Freight Technologies’ stock surged by over 111% on the day of the announcement, though it experienced a significant drop of 21.6% in after-hours trading.
Freight Technologies offers a range of applications aimed at improving North American trade logistics, including cross-border freight booking and transportation management systems. These tools are designed to streamline the movement of goods across the U.S.-Mexico border.
In related news, other companies have also made investments linked to President Trump. Recently, DWF Labs made a $25 million investment in World Liberty Financial (WLFI), a decentralized finance platform supported by Trump and his family. This investment, which gives DWF Labs a governance stake in WLFI, will help the platform launch a stablecoin backed by U.S. Treasury bills and other cash equivalents, named USD1.
As of today, TRUMP tokens are trading at $12.7, reflecting a modest 0.1% increase for the day and a 42% rise over the past 30 days.
