Trump Media & Technology Group plunged again Thursday after regulators approved its registration statement, clearing the way for investors to exercise warrants and for the company to issue extra shares, making millions more available for trading.

Warrants, which reward investors by letting them swap their holdings for shares in the company, can dilute the value of the shares held by ordinary shareholders. Typically some of the investors who exercise warrants will sell the shares, putting pressure on the stock.

The social media company behind Trump’s go-to social media platform Truth Social plummeted 15% to close at $26.75 in trading Thursday, flirting with its all-time low of $22.55.

Trump Media share price tanks: Why the DJT stock keeps falling

Donald Trump loses billions as DJT stock tanks

The former president and Republican nominee has lost billions in paper wealth since the beginning of June. As Trump Media’s largest shareholder, he has nearly 115 million shares worth about $3 billion, down from more than $5 billion. Trump and other insiders are restricted from selling stock until September unless the board waives that restriction or moves up the lock-up period.

The stock’s long slide began following the former president’s guilty verdict on all 34 felony counts in his criminal hush money trial. Trump Media, which trades under the vanity ticker “DJT,” has tanked 48% since May 30 when a New York jury found Trump guilty of falsifying business records.

DJT CEO pumps up Trump Media stock

Trump Media hailed the news that its registration statement was declared effective. The warrants could add up to $247 million to the Trump Media balance sheet.

“We’re expecting to be well positioned to energetically pursue TV streaming, other enhancements to the platform, and potential mergers and acquisitions,” Trump Media Chief Executive Officer Devin Nunes said in a statement.

As Trump campaigns, he's spreading QAnon Some call that 'playing with fire'

Nunes has written letters to Congress and other regulators to ask for an investigation into “naked” short selling, an illegal form of short selling for which he has blamed the volatility in the company’s stock.

Short sellers don't actually own the shares, but borrow them and then sell them, betting the stock will fall so they can buy back the shares at a lower price and keep the difference. “Naked” short selling involves betting a stock will fall without borrowing or owning the shares.

Trump media stock volatility increases

Trump Media has been volatile since going public earlier this year, soaring as high as $79.38 after its debut before dropping as low as $22.55.

Its market cap, which has slipped below $5 billion, rests almost entirely on the Trump brand and his loyal following, including small-time investors who’ve shown their support for him by propping up the stock.

The developments only add to the uncertainty that has surrounded the Trump Media stock since it began trading in March after the merger with shell company Digital World Acquisition Corp.

In competing for ad dollars and eyeballs with big-name social media companies like Facebook, TikTok and YouTube, Trump Media is a distant laggard. It reported a first-quarter net loss of $327.6 million on less than $1 million in revenue.

This article originally appeared on USA TODAY: DJT stock price plunges 48%. What's behind the Trump Media freefall?