SEC Probe Sought for TRUMP Memecoin Over Rug Pull Concerns
Senate Democrats Elizabeth Warren and Richard Blumenthal have asked the Securities and Exchange Commission (SEC) to investigate TRUMP memecoin, suggesting it may be a rug pull.
The senators pointed out that nearly one million wallets lost a combined $3.8 billion after buying the President Donald Trump's coin, while insiders made millions. They contrasted these losses with income linked to Trump's crypto ventures, arguing that this imbalance warranted an examination of possible fraud, market manipulation, and conflicts of interest.
The senators' letter detailed the launch of TRUMP memecoin in January 2025, right before Trump's inauguration, and his subsequent posts promoting the token. They noted that despite its early highs, the TRUMP memecoin has now fallen to $1.47, even with less than 30% of its supply in circulation.