Truth Social, the social media platform founded by Donald Trump, has entered into agreements with news and data provider Bloomberg and two Wall Street firms, Susquehanna International Group and Jump Trading, for expedited access to Trump's posts. These deals, which were not previously reported, allow subscribers to receive Trump's statements through an API, a programming interface that acts as a digital bridge between systems, potentially giving them a timing advantage.
The service, which Truth Social sells for as much as $100,000 per month, offers users a speed advantage of approximately 50 milliseconds in accessing Trump's posts. This swift access can be crucial for high-frequency trading firms that utilize software to analyze market-moving information and execute trades within fractions of a second. The value of a U.S. president's statements can indeed influence financial markets, as demonstrated when oil futures dropped after Trump announced a ceasefire in the Iran war on Truth Social in April.
Trump Media and Technology Group announced its fastest-access product in July, marketing it to trading firms and other financial institutions. These agreements may represent the first instance of a business associated with a sitting president selling access to their statements. Critics have raised ethical concerns, with some alleging that the paid-for-access plan ventures into ethically questionable territory.
Legal challenges have emerged concerning the exclusivity of information. Intercept Media and the Freedom of the Press Foundation filed a lawsuit in August, seeking to prevent the White House from exclusively posting official government announcements on Truth Social while a paid feed exists. The suit contends that creating a financial barrier to government information is potentially unconstitutional and unfairly benefits wealthy Wall Street firms, violating the public's First Amendment rights to equal access and the Fifth Amendment by charging "unreasonable sums" for information guaranteed by law.
In response to the reporting, a Truth Social spokesperson stated that the company offers an "industry-standard API product for which there is significant demand across industries." The spokesperson added that the company takes customer confidentiality seriously and characterized the reporting as based on "misleading information being peddled by anonymous sources aimed at harming our company, customers and shareholders."
Bloomberg, Jump Trading, and Susquehanna International Group declined to comment on the matter. Reuters, a competitor to Bloomberg, stated that it would "assess the service, but have no current plans to subscribe."
Democratic Senators Elizabeth Warren and Adam Schiff previously asked the U.S. Securities and Exchange Commission to investigate whether the service violates securities laws, describing it as a "shocking abuse" of office. The SEC declined to comment. A TMTG spokesperson countered that "Congressional Democrats continue to mischaracterize Truth API either out of ideological opposition to free markets or a failure to grasp the distinction between public and nonpublic information."
The Trump family trust owns 41% of Trump Media, with Donald Trump as the sole beneficiary. The company's stock has experienced volatility, with its market value falling significantly since its debut. Trump Media has reported substantial financial losses, including non-cash charges. Trump Jr. is listed in Securities and Exchange Commission filings as the trustee of the family trust, holding sole voting and investment power. A White House spokesman indicated that Trump or his family are not directly involved in portfolio investment decisions but did not directly address allegations of improper use of office. Trump Jr. did not respond to requests for comment, with inquiries referred to the Trump Organization, which also did not provide comment.