DJT shares – representing President Donald Trump's media company – are becoming the center of controversy on Wall Street after Trump Media & Technology Group (TMTG) officially requested the U.S. Securities and Exchange Commission (SEC) to investigate 'suspicious' trading activities related to a foreign company. This legal battle not only reveals serious financial troubles of TMTG but also highlights the growing connection between politics, traditional finance, and the crypto industry.



Unusual allegations: Who is short selling DJT shares?


In a public letter sent to SEC Chair Mark Uyeda, #TMTG accused the UK-based company – Qube – of engaging in illegal short selling of DJT shares without proper disclosure.


Specifically:



  • On April 10, Qube publicly announced in Germany that they are holding a short position of 6 million DJT shares, worth approximately 105 million USD.



  • TMTG claims that #Qube did not fully report information to the relevant authorities in the US or the UK, violating financial transparency regulations.



    More seriously, according to third-party sources, this position has now nearly doubled to 11 million shares – a number that could directly affect stock prices in the market.




A TMTG representative emphasized in a letter:



"We urge the SEC to immediately investigate this suspicious trading activity and report the findings to TMTG and the relevant civil and criminal authorities."




DJT plummets: Signaling a financial crisis for Trump Media?


The allegations occur against the backdrop of DJT shares continuously plummeting for various reasons:



  • According to financial reports, TMTG ended 2023 with revenues below 4 million USD, while operational losses reached up to 400 million USD.



  • Shares #DJT are currently trading around 22.04 USD, down over 35% since the beginning of 2025.



  • Investigations are ongoing surrounding the social media platform Truth Social, including money laundering suspicions and connections with Russian figures.




Short selling a large amount of shares while the stock is sharply declining could cause the price to drop even further, increasing suspicion that this is a deliberate act to push DJT into a state of 'clinical death' on the stock market.




This is not the first time TMTG has taken legal action in response to parties considered to be 'threatening their interests':



  • January 2025: TMTG sues a Brazilian Supreme Court judge for allegedly violating the free speech rights of American citizens.



  • 2023: TMTG filed a lawsuit against 20 major media organizations for defamation. The case is still ongoing.




The move targeting Qube this time shows TMTG continues to use legal channels as a counter-offensive tool, while also putting public pressure to protect DJT shares.



The connection to crypto: Is Trump Media 'partnering' with the digital currency industry?


Alongside traditional controversies, Trump Media is also starting to pivot towards the crypto industry – a move seen as a search for new financial 'salvation':



  • The company has announced an exclusive partnership with Crypto.com to develop a series of crypto-related ETFs, although not officially launched yet.



  • This could be an effort to connect the crypto investment community, increase liquidity, and diversify capital sources – amid the traditional market turning its back on DJT.




For users on platforms like Binance, this trend raises a big question: Can a financially troubled media company entangled in political controversies significantly influence the cryptocurrency market?



Market perspective: Will crypto get 'caught in the crossfire' in the DJT battle?


While Trump supporters may see this as a targeted attack on his business, crypto investors need to exercise caution:



  • The significant volatility of DJT shares – which potentially have financial links to crypto ETF projects – could affect the capital flow into the digital currency market.



  • If TMTG fails and partnerships with crypto projects like ETFs do not materialize, it could impact market sentiment, especially among investors relying on "Trump-branded" projects.




Conversely, if the SEC does investigate and finds wrongdoing from Qube, it could create a wave demanding transparency in short selling on the market, and crypto – long promoting decentralization and transparency – could benefit from this wave.



Conclusion: Is this a political game, financial, or both?


Trump Media is entering a multi-front battle: financial, legal, and also media. The DJT stock story is no longer an isolated issue but reflects an interconnected ecosystem of business – politics – technology, especially as crypto is integrated into their survival strategy.


With the crypto investment community, the DJT story serves as a reminder that the boundary between traditional finance and Web3 is increasingly blurred. Always be vigilant about political-financial relationships that may influence investment trends, even if it originates from a company seemingly unrelated to blockchain.



Risk warning: Investing in cryptocurrency and stocks carries high risks. This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research and carefully consider before making investment decisions.