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coinpedia 2025-02-06 03:08:01

Legal Watchdog Seeks Investigation into Trump’s Promotion of Controversial TRUMP Token

Legal Watchdog Seeks Investigation into Trump’s Promotion of Controversial TRUMP Token

The post Legal Watchdog Seeks Investigation into Trump’s Promotion of Controversial TRUMP Token appeared first on Coinpedia Fintech News Public Citizen, a U.S.-based nonprofit watchdog group , has formally requested a federal investigation into President Donald Trump’s promotion of a cryptocurrency known as the TRUMP token. The complaint, submitted to the Department of Justice (DOJ) and the Office of Government Ethics (OGE), claims that Trump may have violated federal laws prohibiting the solicitation of gifts from the public. The TRUMP token, which is primarily owned (80%) by CIC Digital LLC, an affiliate of the Trump Organization, has raised concerns due to its potential to facilitate untraceable foreign payments. Public Citizen argues that Trump’s involvement in the promotion of the meme token could constitute an unlawful gift solicitation, which is prohibited under 18 U.S.C. § 201 and federal regulations (5 C.F.R. § 2635). The complaint brought to attention a January 2024 tweet by Trump promoting the meme token, stating, “My NEW Official Trump Meme is HERE! Get YOUR $TRUMP NOW.” Public Citizen’s legal team points out that although the president can accept gifts, he is prohibited from soliciting them for personal gain. They said that Trump’s tweet, and subsequent promotion through his Truth Social platform, crosses this line by requesting funds for a digital receipt that does not offer a tangible product. The token is reportedly not intended as an investment opportunity, yet experts have criticized it as lacking intrinsic value. “Accordingly, a person sending money for a Trump meme is not purchasing a tangible product. Instead, the person receives only a digital receipt (in a blockchain), which is similar to a donor sending a check and receiving digital confirmation that the check was received,” they wrote. The complaint also raises concerns about potential foreign influence, given the global nature of cryptocurrencies and the difficulty in tracking transactions. Public Citizen is calling for an investigation to ensure that Trump’s actions do not violate the Emoluments Clause of the Constitution, which restricts government officials from accepting gifts from foreign entities. The nonprofit urges the DOJ and OGE to assess whether Trump’s promotion of the TRUMP token constitutes an illegal solicitation and to take appropriate action if necessary.

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