Trump embroiled in scandal over his social network
Trump Media has begun selling paid access to Trump's Truth Social posts to banks and traders via the Truth API service. Subscriptions cost up to $100,000 per month, or $60,000 with a three-year contract. The service provides posts from ten accounts with minimal delay. Critics, including Democratic senators, fear this gives algorithmic traders an advantage. The company denies the accusations, noting it distributes public information. Amid the launch, Trump Media reported a loss of over $700 million on revenue of $3.7 million.
Trump Media & Technology Group has begun selling banks and traders paid access to President Donald Trump's posts on the Truth Social network. The new Truth API service targets financial companies, providing posts from the platform's ten most influential accounts in a machine-readable format with minimal delay. Subscription costs reach $100,000 per month, or $60,000 monthly with a three-year contract. Trump Media claims subscribers do not receive posts earlier than other users, but rather use a faster data delivery channel. However, critics, including Democratic senators Adam Schiff, Elizabeth Warren, and Mark Warner, believe that even a fraction of a second advantage allows algorithmic systems to execute trades before most investors. Irene Aldridge, head of trading firm Able Alpha, said the practice raises serious questions because the president has access to market-moving information. The launch comes amid a difficult financial situation: last year's revenue was $3.7 million with a loss of over $700 million. Trump, through a trust managed by Donald Trump Jr., owns 41% of the shares.