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The crash of Trump Media stock has rattled some Truth Social users.
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Some on the social media site have claimed the company’s stock has been artificially devalued.
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Shares of Trump Media are down about 30% in the last week.
Truth Social users are feeling glum about Trump Media’s stock crash.
Users on the social media platform — referred to on the site as “Truthsayers” — have been buzzing about the stock’s steep decline since it went public at the end of March. Shares of Trump Media have tanked more than 50% since March 27, with the stock dropping another 18% this week after the company moved to allow insider shareholders to potentially sell stock before the six-month lockup period is up. Shares declined further on Tuesday after the company announced that it would launch a streaming platform.
Reactions to the plunge on the social media site ranged, with some users expressing shock and dismay, to acknowledgment that the shares might not regain lost value. A few said the sell-off was evidence of a conspiracy to discredit the former president and tank his net worth.
“What is happening to DJT stock,” one user said in a reply to a post from Donald Trump’s official account, claiming they had invested their life savings into the company. “Please do something about the crash.”
More conspiratorial Truthsayers have accused short-sellers of foul play, claiming that the share price has been artificially lowered somehow.
“Remain Calm,” one user wrote on April 15, the day Trump Media shares plummeted 18%. “This drop was literally just someone selling 140k shares in 10 minutes premarket. This is extreme manipulation at best. There isn’t a massive sell-off. It’s one or a handful of people trying to cause panic.”
“They’ll do anything to discredit President Trump,” another user replied. “God has different plans and will save the nations in HIS Perfect timing.”
Other users blamed the Securities and Exchange Commission, as regulators did not pause trading of the stock during its decline. The SEC may suspend trading for up to 10 days if it believes doing so would protect the public in the event a company is not meeting its duties to shareholders. This is different, however, from a trading halt, which is ordered by an exchange to protect investors from excessive volatility.
“DWAC has fallen over 30% over the last few trading days but they don’t cease trading. They don’t like President @realDonaldTrump and his policies, especially his creation, Truth Social, so they are trying to destroy his company, DJT,” one user claimed.
A smaller number of users were still touting the stock amid the plunge. Buying the shares is an “excellent” way to support Trump’s presidential campaign, and an investment in “uncensored free speech,” some Truthsayers wrote.
Trump, who owns about 58% of Truth Social’s parent company, has fiercely defended the site from its critics. In a recent post on the site, the former president called his social media platform “AMAZING,” saying it had $200 million in cash on hand and no debt on its balance sheet.
Truth Social has also looked to pass blame for the recent damage to its business. Shortly after the stock’s steep decline, Trump Media filed a suit against two of Truth Social’s creators, claiming they had failed “spectacularly” at their jobs and done “significant damage” to the company ahead of its highly-anticipated public debut.
“I think daddy Trump has some surprises for us, we just have to be patient and wait for it,” one Truthsayer recently wrote on Trump Media stock. “NFA but I’ll buy more tomorrow. Gotta love the price.”
Read the original article on Business Insider