The stock price of Twitter has collapsed by more than 10 percent after US President Donald Trump was permanently banned last week.
As a result of this, a total of USD 5 billion has been erased from the social media company’s market capitalization. On Friday, January 9, 2021, Twitter boss Jack Dorsey announced the permanent suspension of Trump’s account, which has over 88 million followers.
His suspension came after he used the platform to call his supporters to storm the US Capitol saying that the election which declared President-elect Joe Biden winner was a fraud.
The stock price of Twitter fell by more than 10% because investors were worried that the Trump ban will erode interest in the platform and lead to boycotts among those who see the decision as politically motivated and a way to silence a major conservative voice.
Other platforms like Facebook have also suspended Trump for the rest of his presidency. Mark Zuckerberg, CEO of Facebook in a social media post defended the decision saying that Trump is using his account to undermine a peaceful transition of power and risked inciting more violence.