TRUMP faces SEC probe call after 98% crash
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- US senators asked the SEC to investigate whether Official Trump (CRYPTO:TRUMP) involved fraud or improper gains for insiders.
- TRUMP traded near US$1.47, down about 98% from its US$73.43 peak, while 988,905 wallets held losses.
- The request adds another dispute to negotiations over ethics protections in the proposed US CLARITY Act.
US senators Elizabeth Warren and Richard Blumenthal asked the SEC to investigate Official Trump (CRYPTO:TRUMP) for possible fraud or improper enrichment.
Nansen data showed 988,905 wallets held combined losses of about US$3.81 billion by the end of June.
“We are concerned that President Trump’s memecoin scheme may constitute an illegal scam,” Warren and Blumenthal wrote.
The senators asked whether TRUMP operated as a “soft rug pull”, but their request does not establish that fraud occurred.
Financial disclosures reported by US media showed Trump earned about US$636 million from the memecoin, according to Crypto.news.
The request comes as senators debate crypto ethics provisions within the CLARITY Act, which still awaits Senate action.
At the time of reporting, Official Trump price was $1.47.
