SEC Probed Over Trump's Cryptocurrency Scheme Amid Rug-Pull Concerns

U.S. Senators Elizabeth Warren and Richard Blumenthal have asked the SEC to investigate TRUMP memecoin, citing concerns of a possible rug pull scheme.

The senators argued that nearly one million wallets lost $3.8 billion after buying the President Donald Trump's coin, while insiders likely made millions in profits.

They pointed out that the TRUMP memecoin has since lost value, falling from an initial high of $75 to $1.47, despite less than 30% of its supply being in circulation.

The request for investigation comes as the Digital Asset Market Clarity Act remains stalled in the Senate, with ethics provisions covering senior government officials, including the president, becoming a central obstacle.