Trump Meme Coin Under Fire as Senators Demand SEC Investigation

US Senators Elizabeth Warren and Richard Blumenthal have urged the Securities and Exchange Commission (SEC) to investigate President Donald Trump's meme coin, citing concerns that it may have facilitated fraud or unlawful enrichment at the expense of retail investors.

The lawmakers sent a letter to SEC Chair Paul Atkins, highlighting reports that nearly one million investors collectively lost over $3.8 billion on the token between its launch in January 2025 and the end of June 2026.

The meme coin's launch occurred just days before Trump's inauguration, and the senators are calling for regulatory scrutiny to address the major security, regulatory, and market-impact risks it poses to crypto and decentralized finance (DeFi) adoption.