- Eric Trump defended American Bitcoin (ABTC), citing its rapid growth, Nasdaq listing, and position among publicly traded Bitcoin companies with more than 7,000 BTC holdings.
- Forbes says the company relied heavily on brand-driven moves and stock sales, saying insiders benefited while investors faced heavy losses as shares fell sharply.
- The debate at the center of ABTC’s financial sustainability, is the concern over high mining and reliance on Bitcoin price rebound or foreign currency being possible.
Eric Trump has rejected criticism from Forbes about his crypto project, American Bitcoin (ABTC). The dispute centered on a wide gap between the company’s growth and concerns about its business model and investor outcomes.
Eric Trump Responds to ABTC Criticism
Eric Trump has recently disputed the book’s claims and questioned its credibility. He added that Forbes “became an embarrassment to journalism” by defending the rapid rise of American Bitcoin. According to him, the company did not exist a year ago. Since then it has grown into one of the largest Bitcoin trading companies.
American Bitcoin, also known as ABTC, appeared on the Nasdaq less than eight months ago. Since then, the company has developed a large crypto space. It now has more than 7,000 Bitcoins on its website. This puts it among the top companies that own Bitcoin in the world, Eric Trump says it is in 16th place.
The company has also expanded its mining operations. It operates close to 90,000 mining machines and reports a hashrate of 28 exahashes per minute. Eric Trump said the company uses electricity in the United States to support its operations. He cited internal trends to back up his growth claims.
In the fourth quarter, the company reported a 58 percent increase in Bitcoin transactions. Mining fees were also shown to be significantly lower than Bitcoin’s market value. Revenue for the quarter reached $78.3 million, representing a 22% increase over the previous quarter. Eric Trump described the company as one of the fastest growing in the industry.
But, the story presented by Forbes is different. Forbes said American Bitcoin is a high-risk business that relies on growth and branding. It says it benefited from Trump’s name and investor interest in crypto rather than the obvious.
According to Forbes, the company grew rapidly after its founding in 2025 and reached a value of more than $13 billion. The report said that this growth was supported by aggressive stock sales and marketing messages. It also questioned the size of the company’s core team and said its operations were limited compared to the size of the group.
The report raised concerns about their financial performance. It said ABTC’s shares have fallen sharply over the past few months. From the peak, the stock is down nearly 92 percent. This has led to huge losses for investors, including those associated with the political base that supported the brand.
Forbes reviewed the financials of the company’s mining business. While management points to lower mining costs, the publication revealed that overall operating costs tell a different story. When combined with the cost price, the estimated cost of producing one Bitcoin it goes up to about $90,000. With market prices below that level, the report said the company could be operating at a loss.
This difference between cost and market value has added stress to the company’s outlook. Shares are already down nearly 29% since the start of the year. Analysts quoted in the report wonder if the company can survive without it Bitcoin cost recovery. Going forward, the company seems to be experimenting with several strategies. One possibility is to wait for Bitcoin prices to rise. Forbes estimates that a 35 percent increase would turn business losses into profits. This strategy depends on the current market conditions.
The company’s management has links to the United Arab Emirates. Discussions have included using more energy in mining. Potential partnerships with financial groups such as ADQ and TAQA have also been mentioned. These organizations have been linked to Tahnoon bin Zayed Al Nahyan. Such a partnership can provide financial and infrastructure support. At the same time, they bring some risks associated with foreign investment and long-term returns. The consequences of this could affect the company’s ability to continue its operations.
The rapid growth of crypto may attract attention, but it also brings scrutiny. In this case, the difference between public opinion and external analysis has been a matter of discussion.
