Trump Sued Over Paid Early Access to Truth Social Posts: 'This Scheme is Profoundly Corrupt'

MarketDash

Aug 13, 2:19 AM • 1 hour ago

Two media groups are suing the Trump administration over a paid service that gives subscribers early access to the president's market-moving Truth Social posts, arguing it's unconstitutional.

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Donald Trump is facing a new legal headache, and this one cuts to the heart of how he communicates with the world. Two media organizations are suing the federal government, arguing that a paid service giving subscribers early access to the president's Truth Social posts is unconstitutional.

Truth API Faces First Amendment Challenge

On Wednesday, The Intercept and the Freedom of the Press Foundation filed a lawsuit in Manhattan federal court. The target: Truth API, a service launched by Trump Media and Technology Group Corp. (DJT) on Aug. 1. The service charges between $60,000 and $100,000 a month for early access to posts from 10 prominent Truth Social accounts, including Trump's own.

The plaintiffs argue that this arrangement effectively puts presidential communications behind a paywall, violating constitutional protections that require equal access to government information. The complaint is blunt about what it sees as the problem.

"This scheme is profoundly corrupt," the lawsuit says, arguing that Trump could financially benefit by providing "market-moving" government information to paying customers.

The legal argument is straightforward: "This scheme is also unconstitutional. The First Amendment guarantees equal access to the President's public announcements, and even content-neutral burdens on that access must be narrowly tailored to serve a significant government interest," the lawsuit reads.

The defendants are Trump, executive assistant Natalie J. Harp, White House deputy chief of staff Daniel Scavino, the Executive Office of the President, and the White House Office, all named in their official capacities. The White House did not immediately respond to a request for comment.

Trump's Truth Social Posts Can Move Markets

This isn't just about political communication. Trump has repeatedly used Truth Social to announce policy decisions involving tariffs, international conflicts, and other issues capable of moving stocks, oil, and other financial assets. The lawsuit seeks to prevent the White House from relying exclusively on Truth Social for official government announcements while the paid feed remains available.

The complaint alleges that many of Trump's estimated 9,000 to 11,000 Truth Social posts and reposts during his second term were not subsequently accompanied by official White House statements. That means the paid feed could be the only way to get real-time information on potentially market-moving announcements.

The service has already drawn scrutiny from lawmakers. Sens. Adam Schiff (D-Calif.) and Elizabeth Warren (D-Mass.) have called on the Securities and Exchange Commission to examine whether it could compromise the integrity of financial markets.

Trump's Stake Adds to Conflict Concerns

Here's where the financial conflict gets interesting. Trump owns a 41.3% stake in Trump Media through his revocable trust, worth roughly $950 million, according to Reuters. So when the company makes money from this service, the president personally benefits.

Trump Media has defended Truth API, saying presidential communications already reach the public through numerous platforms and subscription-based data services. The company accused critics of attempting to "censor" Trump and harm shareholders.

During its second-quarter earnings call Monday, Trump Media said it had signed more than 10 customer agreements, each worth between $60,000 and $100,000 per month, for licensed access to publicly available Truth Social posts. That's potentially $600,000 to $1 million in monthly recurring revenue, though the company didn't specify how many customers are paying the top rate.

But the company's finances are still a mixed bag. Trump Media posted a second-quarter net loss of more than $238 million, with the company attributing the "vast bulk" of the loss to unrealized losses on its digital asset holdings. Meanwhile, revenue jumped 89% year over year to $1.7 million, up from $0.9 million in the second quarter of 2025.

As for the stock, Trump Media closed at $8.27 on Wednesday, down 7.18%. The shares rose 0.60% to $8.32 after hours. According to market data, DJT has a positive short-term price trend rating but negative ratings for the medium and long term.

The lawsuit raises a fundamental question: should the president's words be available to everyone at the same time, or can they be sold to the highest bidder? The plaintiffs say the First Amendment answers that question clearly. The courts will now have to decide.