Trump Media & Technology Group (DJT) stock opened as much as 12% higher on Wednesday after the company announced it would expand into financial services, including cryptocurrency funds and other investment vehicles like customized exchange-traded funds.

According to a press release, the company will invest as much as $250 million into the rollout, which will launch under the brand name Truth.Fi. That investment, which is less than a third of the company's total cash pile of $700 million, will be kept under the custody of Charles Schwab. Schwab will also "broadly advise" on investments and strategies.

Trump Media, which operates the president's social media platform Truth Social and the recently launched video streaming platform Truth+, boasts a market cap of around $7.2 billion.

President Trump maintains a roughly 53% interest in DJT, according to the latest SEC filing from Dec. 17., making his stake worth approximately $3.8 billion.

Trump founded Truth Social after he was kicked off major social media apps like Facebook (META) and Twitter, now X, following the Jan. 6, 2021, Capitol riots. Trump has since been reinstated on those platforms. He officially returned to posting on X in mid-August after about a year's hiatus.

As Truth Social attempts to take on social media incumbents, the fundamentals of the company have long been in question.

On Nov. 5, just a few hours before the polls closed on Election Day, DJT dropped third quarter results that revealed a net loss of $19.25 million for the quarter ending Sept. 30. DJT also reported revenue of $1.01 million. It held about $370 million in cash at the end of the quarter.

The stock, which was especially volatile in the months leading up to the election, is up a modest 5% over the past 6 months. Shares, which are currently trading around $33, closed just under $36 on Nov. 6.

Alexandra Canal is a Senior Reporter at Yahoo Finance. Follow her on X @allie_canal, LinkedIn, and email her at alexandra.canal@yahoofinance.com.

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