Trump Media Truth API faces SEC review request from Warren, Schiff
Warren and Schiff asked the SEC to review Trump Media’s Truth API before launch, warning faster paid access could affect market fairness.
By Theo Nakamura · Staff Writer
· 3 min read
Sens. Elizabeth Warren and Adam Schiff want the Securities and Exchange Commission to examine the Trump Media Truth API, a paid data feed that would give subscribers faster access to President Donald Trump’s Truth Social posts. For investors, the fight is about whether milliseconds of access to market-moving presidential posts should be sold to firms able to pay for it.
In a letter dated Tuesday to SEC Chair Paul Atkins, the two Democratic senators asked the agency to complete a legal analysis of Trump Media & Technology Group’s planned service before its scheduled Aug. 1 start. They said the review should include laws that bar insider trading and market manipulation.
Warren, the top Democrat on the Senate Banking Committee, and Schiff, a member of the Senate Judiciary Committee, wrote that the plan “threatens to undermine the integrity of capital markets.” They also said Trump “stands to profit from the launch of this service,” along with firms and wealthy individuals that can afford the subscription.
The SEC declined to comment to CNBC. Trump Media did not immediately respond to CNBC’s requests for comment on the senators’ letter.
What is the Truth API?
An API, short for application programming interface, lets software systems send data to each other automatically. In this case, Trump Media has described Truth API as a licensed feed that gives customers real-time access to posts from top Truth Social accounts.
Trump Media announced the service on July 16. Kevin McGurn, the company’s interim chief executive, said in that announcement that it would provide a direct, licensed, real-time feed of what he called the platform’s most market-moving Truths.
Reuters reported that Trump Media has discussed charging as much as $100,000 per month for the service. Warren and Schiff warned that such a product could especially help high-frequency trading firms, which use automated systems to react to information at very high speed.
The senators said financial firms and analysts have already monitored Truth Social manually. Their concern is that an automated paid feed could deliver posts around the clock to subscribers willing to pay for a tiny time advantage.
Why investors are watching DJT
Trump Media trades on the Nasdaq under the ticker DJT, which matches Trump’s initials. Trump’s family is the largest stakeholder in the publicly traded company, according to CNBC.
Before returning to the White House, Trump moved more than 114 million Trump Media shares into a revocable trust overseen by his family, CNBC reported. He still owns the stake indirectly.
The company’s stock has fallen about 80% since it began trading in late March 2024. CNBC reported that the stock was once viewed by some investors as a gauge of Trump’s political standing.
Trump Media runs Truth Social, where Trump has by far the most followed account on the platform. The company has also expanded into other areas, including cryptocurrency and fusion power, according to CNBC.
The senators’ request centers on Trump’s unusual role as both president and the key figure behind the platform’s most valuable content. CNBC reported that Trump often uses Truth Social for policy announcements and other news, including posts related to the Iran war, that can move global markets. He has also used the account to promote individual stocks.
The SEC has not said whether it will open an investigation. For now, Warren and Schiff are asking the regulator to decide whether selling faster access to those posts creates legal problems before the service begins.
This story draws on original reporting from CNBC.
