Warren, Schiff Ask SEC to Probe Trump Media Truth API
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- Warren and Schiff asked SEC Chair Paul Atkins in a Tuesday letter to complete a legal analysis of Trump Media's Truth API service under insider-trading and market-manipulation statutes before it launches Aug. 1.
- Trump Media (Nasdaq: DJT) announced Truth API on July 16, with interim CEO Kevin McGurn saying the product will deliver "a direct, licensed, real-time feed of the platform's most market-moving Truths."
- TMTG has discussed charging up to $100,000 a month, and the senators warned the service would give paying high-frequency trading firms "milliseconds of additional notice" over investors relying on manual monitoring.
- Trump's family is the largest stakeholder in TMTG after the president transferred more than 114 million shares into a revocable family-controlled trust before retaking the White House, leaving him an indirect owner.
- DJT shares have fallen roughly 80% since TMTG began trading publicly in late March 2024, and Trump has repeatedly used his account to announce policy—including on the Iran war—and promote individual stocks that swing global markets.
- Warren and Schiff called the service "an outrageous abuse of the President's office for his personal benefit" that "threatens to undermine the integrity of capital markets" by enriching Trump, Wall Street, and wealthy subscribers.
Why it matters: Trump Media is selling a speed advantage—milliseconds of earlier notice on a sitting president's market-moving posts—for up to $100,000 a month, while the Trump family retains a 114-million-plus-share stake that benefits directly from subscription revenue. Retail investors who watched DJT shed roughly 80% since its March 2024 debut would face an even steeper information gap against paying HFT desks once the API goes live Aug. 1.
