U.S. Democratic Senators Elizabeth Warren (Massachusetts) and Adam Schiff (California) sent a letter to SEC Chair Paul Atkins on July 28, requesting an investigation into the Truth API product offered by Trump Media & Technology Group (TMTG). According to the letter reviewed by Reuters, the senators argue that selling early access to President Trump's posts may constitute abuse of the presidency for personal gain, harming small investors and market integrity.
In early July, TMTG unveiled Truth API, a fee-based data feed service that allows trading firms to access the "fastest" posts from the 10 most influential Truth Social accounts, including President Trump's. Reports indicate the fee is expected to reach up to $100,000 per month. Trump holds about 41% of TMTG shares through a trust managed by his sons, thus benefiting from the model. The company said it had signed contracts with several clients before the August 1 launch, but did not disclose their identities.
In the letter, Warren and Schiff emphasized that Trump's Truth Social posts have previously impacted financial markets, and his endorsements of specific stocks like Citigroup, Intel, and Palantir heightened insider trading risks while eroding investor confidence in market fairness. The senators also cited recent reports of Trump's over $1.4 billion income from family cryptocurrency projects, including the Official Trump memecoin, which they alleged serves as a channel to sell access to the president and could be exploited for bribery.
Ethics experts argue that Truth API differs from conventional early data services because Trump's posts are considered government information, and he has a duty to disclose them publicly. However, lawyers note that technology platforms are generally permitted to offer early data access to clients, even if it disadvantages some market participants.
A TMTG spokesperson dismissed the allegations in an emailed statement: "The Democratic senators continue to misrepresent Truth API, either out of opposition to free market ideals or a failure to understand the difference between public and non-public information – or both." SEC officials and Chair Atkins confirmed receipt of the letter but declined further comment. The White House directed inquiries to the company.
