AI Financial Corp., the publicly traded company formerly known as Alt5 Sigma, is facing removal from the Nasdaq stock exchange after its stock price plummeted 93% following a massive cryptocurrency partnership with the Trump family. The company’s stock, which traded at $8.97 when the deal was announced in August 2025, has crashed to $0.66 as of June 8, 2026, triggering a compliance notice from Nasdaq. With only 15 trading days to regain the minimum bid price requirement, the company has also issued a going concern warning, signaling doubt about its ability to continue operating.
The partnership centered on a $1.5 billion agreement to acquire tokens from World Liberty Financial, the Trump family’s crypto project. Through this arrangement, President Donald Trump and his family members secured rights to approximately $500 million in profits. However, the deal’s collapse has exposed a stark asymmetry: while the Trump-linked entities reportedly amassed an estimated $2.3 billion in gains across multiple ventures—including World Liberty Financial, the TRUMP meme coin, and related public vehicles—retail investors absorbed devastating losses.
World Liberty Financial, a DeFi project, raised about $1.4 billion through token sales, with nearly $987 million flowing to the family after expenses. The TRUMP meme coin saw total sales around $1.2 billion, with family-related proceeds potentially reaching $616 million. Yet, investors who bought near the $75 peak watched the token crash to $2.38 by April 2026, contributing to estimated losses above $700 million. Public vehicles deepened the imbalance: AI Financial Corp. itself purchased over $700 million in World Liberty Financial tokens, funneling profits to Trump-linked entities, while its stock sank from over $9 to $0.75, and American Bitcoin—another Trump-tied entity—fell from $11 to $1.15. Combined investor losses across these vehicles exceeded $875 million.
The unfolding crisis raises questions about due diligence, disclosure, and the volatility of politically connected crypto projects. While supporters may frame it as entrepreneurial risk-taking, the outcome highlights a brutal capital extraction where insiders benefited from brand-driven hype while latecomers were left holding nearly worthless assets.
