Donald Trump Poses a Unique Threat to Truth Social, Says Truth Social

Trump Media & Technology Group, the Truth Social parent company majority-owned by former president Donald Trump, filed a document with the Securities and Exchange Commission this morning that helpfully details all of the ways Trump himself poses a threat to the company and its shareholders.

While the company generated just over $4 million in revenue in 2023, Trump Media’s valuation has fluctuated wildly since going public in March, at one point reaching more than $7 billion. As of this morning, the company was valued at $3.7 billion. Trump Media has become a meme stock, where the stock price is governed more by vibes than traditional financial performance.

The SEC document filed by Trump Media this morning, which announced the public stock offering of 21.5 million shares, also detailed the company’s “risk factors.” These statements are standard for publicly traded companies, and usually include anything from macroeconomic headwinds to worst-case scenarios like earthquakes or terrorist attacks. The filing does include several risk factors that aren’t directly related to Trump, including competition from other social media companies, deficiencies in bookkeeping and accounting, and data privacy laws. And the company has faced multiple lawsuits from early employees of the company, who argue they deserve more shares.

But an entire section is dedicated to Trump-associated risks, making Truth Social’s risk factors unique because they cast Trump’s role as chief promoter and majority shareholder as a threat to the company’s success.

“TMTG may be subject to greater risks than typical social media platforms because of the focus of its offerings and the involvement of President Donald J. Trump,” the company said in the SEC filing. “These risks include active discouragement of users, harassment of advertisers or content providers, increased risk of hacking of TMTG’s platform, lesser need for Truth Social if First Amendment speech is not suppressed, criticism of Truth Social for its moderation practices, and increased stockholder suits.”

Here’s how Trump Media says Trump himself could threaten the company:

Trump’s Legal Issues

Trump Media noted that if Trump “were to