TLDR
- Trump Media alleges UK-based Qube engaged in “illegal short selling” of DJT shares
- Qube disclosed a 6 million share short position in Germany worth $105 million on April 10
- TMTG claims Qube’s position has nearly doubled to 11 million shares
- TMTG closed last year with less than $4 million in revenue and $400 million in operating losses
- Trump Media has been expanding into crypto partnerships, including with Crypto.com
Trump Media & Technology Group, the parent company of Truth Social, has formally called on the Securities and Exchange Commission to investigate what it describes as “suspicious” trading of its stock. In a letter sent Thursday to SEC Acting Chairman Mark Uyeda, the company accused UK-based hedge fund Qube Research & Technologies of potential illegal short selling activities.
The letter claims Qube disclosed a short position of six million shares worth $105 million in Germany on April 10. According to TMTG, this disclosure was not properly reported to regulators in Qube’s own jurisdictions.
TMTG further alleged that Qube’s short position has since grown to approximately 11 million shares, citing information from third-party sources. “We urge you to immediately investigate this suspicious trading and report your findings back to TMTG and any relevant civil and criminal authorities,” the company stated in its letter.
Qube did not respond to requests for comment on these allegations.
Financial Challenges
The call for an investigation comes at a challenging time for Trump Media. DJT stock has declined 35% since the beginning of 2025, closing at $22.04 per share on Thursday.
The company’s financial situation appears precarious based on recent disclosures. TMTG reported less than $4 million in revenue for the previous year. It also disclosed operating losses of $400 million during the same period.
These financial struggles coincide with other challenges facing the company. TMTG is currently under investigation regarding whether its Truth Social platform facilitated money laundering. There are also questions about potential ties to Russian actors.
The company described the trading situation as potentially resembling “an opaque free-for-all reminiscent of a third-world casino” rather than a transparent American equities exchange.
Expanding Business Ventures
Despite these challenges, Trump Media has been actively pursuing new business ventures. The company is expanding its operations beyond its Truth Social platform.
TMTG now operates Truth+, a streaming platform that focuses on family-friendly content. It offers both live TV channels and on-demand programming.
The company is also launching Truth.Fi, described as a financial services and FinTech brand incorporating “America First investment vehicles.”
In the crypto space, TMTG has formed partnerships with several industry players. This includes an exclusive arrangement with Crypto.com for a series of ETFs that have not yet been launched.
Separately, World Liberty Financial, an Ethereum-based DeFi platform backed by President Trump and his family, recently received a $25 million investment in its WLFI tokens from market maker and investment firm DWF Labs.
Legal Activities
The SEC request is not an isolated legal action for Trump Media. The company has engaged in multiple legal and regulatory challenges against various entities.
In January, TMTG sued a Brazilian Supreme Court judge. The lawsuit claimed the judge violated U.S. free-speech protections by shutting down accounts belonging to a right-wing supporter of former Brazilian President Jair Bolsonaro.
In 2023, the company filed defamation lawsuits against 20 media organizations. These legal actions remain ongoing.
In its latest communication with the SEC, TMTG highlighted that DJT stock appeared on Nasdaq’s Regulation SHO Threshold Security List continuously for more than two months in 2024, which it cited as part of a pattern of “suspicious trading.”
The company’s mission statement asserts that TMTG aims to “end Big Tech’s assault on free speech by opening up the Internet and giving people their voices back.”
