Warren and Schiff Call for SEC Investigation into Truth Social API
Senators Elizabeth Warren and Adam Schiff have urged the Securities and Exchange Commission (SEC) to investigate whether Trump Media & Technology Group's paid data feed, known as Truth API, violates federal securities laws. The service delivers real-time posts from high-profile accounts on Truth Social directly to subscribers for a fee of up to $100,000 per month. Warren and Schiff argue that the arrangement could enable insider trading or market manipulation by giving paying users an unfair advantage in reacting to information before it becomes public. The senators highlighted past instances where Donald Trump's posts on Truth Social influenced stock prices for companies like Citigroup and Palantir Technologies, suggesting a potential conflict of interest given Trump’s ownership stake. A Trump Media spokesperson dismissed the claims as politically motivated mischaracterizations. The API is set to launch August 1. The SEC has not commented publicly but was asked by Warren and Schiff to complete its legal review before the service goes live.
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Topics: API services insider trading market integrity securities law