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Trump Media and Technology Group (TMTG) has formally raised concerns about potential illegal trading practices affecting its stock in a memo addressed to the U.S. Securities and Exchange Commission (SEC). The company, which operates the Truth Social platform and other media ventures, outlined what it described as “suspicious trading activity” involving its shares, traded under the ticker DJT on both Nasdaq and NYSE Texas.
In the April 17 memo addressed to Acting SEC Chairman Mark Uyeda, TMTG highlighted unusual disclosures by UK-based hedge fund Qube Research & Technologies. According to TMTG, Qube revealed a substantial short position of nearly six million shares in the company through a filing in Germany on April 10, raising questions about transparency and trading practices.
“A UK-based entity, with a data center in Iceland, only disclosed these short sales in Germany,” TMTG stated in its communication, which was also copied to the Financial Industry Regulatory Authority (FINRA), Nasdaq, and the New York Stock Exchange.
The company noted that according to Nasdaq data, the total short interest in DJT stock was approximately 10.7 million shares as of March 31, 2025, and third-party sources indicated this figure remained virtually unchanged at around 11 million shares by April 16. This discrepancy has prompted TMTG to question when Qube’s reported trades occurred—or if they happened at all.
Short selling is a trading strategy where investors borrow shares and sell them, hoping to repurchase them later at a lower price and profit from the difference. While legal when properly executed, “naked” short selling—selling shares without first borrowing them or ensuring they can be borrowed—violates SEC regulations.
TMTG pointed to a history of what it considers suspicious trading patterns involving its stock. The company highlighted that DJT appeared on Nasdaq’s Regulation SHO Threshold Security List for more than two months in 2024. Securities appear on this list when they have a significant number of trades that fail to settle within the required timeframe, which can indicate potential naked short selling.
“The above factors… could be indications of the illegal naked short selling of DJT shares,” the company stated in its memo.
TMTG has requested immediate investigation into the trading activities, asking the SEC to report findings back to the company and relevant civil and criminal authorities. In notably strong language, the company added that “American equities exchanges should be operated with full transparency and maximum efficiency, not as an opaque free-for-all reminiscent of a third-world casino.”
This development comes as TMTG continues to expand its media and technology portfolio. Beyond its flagship social media platform Truth Social, the company operates Truth+, described as a TV streaming service focused on “family-friendly live TV channels and on-demand content.” TMTG is also launching Truth.Fi, which it characterizes as “a financial services and FinTech brand incorporating America First investment vehicles.”
The allegations raised by TMTG reflect growing concerns in certain market segments about short selling practices and their potential impact on stock prices. The SEC has previously taken action against illegal naked short selling, which can artificially depress a company’s stock price and potentially harm both the issuing company and legitimate investors.
Neither the SEC nor Qube Research & Technologies had issued public responses to TMTG’s allegations at the time of reporting. The regulatory body typically does not comment on potential ongoing investigations.
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14 Comments
Potential stock manipulation is a serious issue that the SEC should take very seriously. TMTG is right to raise these concerns and push for a full investigation. The markets need to function fairly and transparently for the benefit of all investors.
This is an intriguing development in the ongoing saga surrounding TMTG and its operations. The allegations of potential stock manipulation warrant a thorough examination by the SEC. Transparency and accountability are crucial in the financial markets.
I agree, the SEC needs to fully look into these claims. Protecting investors and maintaining market integrity should be the top priorities.
Interesting development with TMTG alerting the SEC to potential stock manipulation. Transparency and fair trading practices are essential for public markets to function properly. I’m curious to see how this plays out and what the SEC’s response will be.
I agree, it’s important for regulators to investigate any potential wrongdoing in the markets. Protecting investors should be a top priority.
This seems like a concerning situation that warrants a close look by regulators. If the allegations of suspicious trading and lack of disclosure are accurate, that could be a significant problem. The SEC should thoroughly investigate to ensure market integrity.
I’m glad TMTG is being proactive in bringing this to the SEC’s attention. Potential stock manipulation is a serious issue that undermines confidence in the markets. Hoping the regulators can get to the bottom of this.
Yes, kudos to TMTG for taking action. The SEC has an important responsibility to investigate these types of allegations and uphold fair and transparent markets.
The allegations of suspicious trading activity and lack of disclosure by Qube Research & Technologies are certainly concerning. If true, this could be a serious violation that undermines the integrity of the markets. The SEC should look into this matter diligently.
This is an interesting development in the ongoing saga surrounding TMTG. The company’s claims of potential stock manipulation deserve a thorough investigation by the SEC. Protecting investors and ensuring fair markets should be the top priorities.
This seems like a concerning situation. If the allegations of suspicious trading activity and lack of disclosure are true, that could be a serious violation. The SEC should look into this thoroughly to ensure market integrity.
Absolutely, the credibility of the markets is at stake here. The SEC needs to act swiftly and decisively if they find evidence of foul play.
Potential stock manipulation is a serious issue that the SEC needs to address. TMTG is right to raise these concerns and push for a full investigation. Maintaining transparency and fairness in the markets should be the top priority for regulators.
It’s good to see TMTG taking proactive steps to address potential issues with the trading of its stock. Maintaining the integrity of the markets is crucial, and the SEC should carefully examine these allegations of manipulation. Transparency is essential for public confidence.