Digital World SPAC tied to Trump’s Truth Social extends two-day decline to 13% after app downloads plummet

• Digital World Acquisition extended its two-day decline to 13% as downloads of Truth Social plummet.
• The Digital World SPAC has plans to merge with a new social media app launched by former President Donald Trump.
• Downloads of the Truth Social app have dropped by 95% in recent weeks, according to Bloomberg.

Digital World Acquisition, the SPAC that has plans to merge with former President Donald Trump’s new social media venture, has fallen 13% over the past two days.

The decline comes as app downloads of Truth Social have plummeted by as much as 95% in recent weeks, according to a report from Bloomberg that cited data from Apptopia. 

Daily downloads of the new app, which bills itself as America’s “big tent” social media platform, have crashed from a high of 170,000 to just 8,000, according to the report. Meanwhile, the number of daily-active users on Apple devices hovered around 513,000 over the past week. 

But Truth Social is still in the early days of its launch, which has been plagued with bugs and a long list of hundreds of thousands waiting to have access to the platform after downloading it. The social media platform is also not yet available on Android devices, which could bring in millions of more downloads.

Truth Social counts Trump as chairman and former congressman Devin Nunes as its CEO, a role he assumed earlier this year. 

Truth Social’s bumpy launch isn’t the only problem facing Digital World Acquisition and its investors. The blank-check shell company disclosed an SEC probe late last year. Senator Elizabeth Warren called for an investigation into the relationship between Trump and the Digital World SPAC, which quickly announced plans to merge with Truth Social after it started to trade last year.

Shares of Digital World are down more than 35% over the past month. But despite the headline risks surrounding Digital World, the SPAC is up nearly 500% from its SPAC IPO price of $10 per share.