Trump's tweets can shake the market, but investors are still unsure whether it's worth paying to get information faster
Businessinsider
56m ago
Ai Focus
Several investors told Business Insider that despite Trump's social media posts frequently causing market fluctuations, they do not see the necessity of paying a high price to obtain this information more quickly. Some believe that this may be valuable for high-frequency traders, but it has limited significance for long-term investors and institutional funds, and may also come with regulatory risks.
Helpful
No.Help

One of President Donald Trump's most attention-grabbing posts, which was also capable of shaking the market, relates to a cowboy advertisement filmed by Sidney Sweeney for American Eagle. In August 2025, he spoke highly of this actress and boasted about her political stance, which led to a 24% increase in the stock price of this clothing retailer.

However, senior investors do not see the prospect of paying a premium to obtain relevant information in advance as worthwhile. Several individuals told Business Insider that they see no benefits for long-term investors in doing so; some of them also pointed out that this could potentially fall into a legal grey area, as the company has already faced lawsuits regarding the Truth API tool since its launch in August.

Gerber Kawasaki Wealth and Investment Management CEO Ross Gerber stated: "I don't see how Trump's posts will ultimately provide anyone with any advantage."

Gebauer added that although the U.S. Securities and Exchange Commission has not yet made a public statement on whether Truth API will create an unfair competitive environment, this situation may not continue indefinitely, and there could be regulatory risks in the future.

FarrCrest Capital Chairman and former Chief Market Strategist of Hightower Advisors, Michael Farl, pointed out that although paying for Truth API might make sense for traders, he sees no benefits for institutional investors who focus on driving the sustainable growth of their portfolios.

Alexander Wa, the founder and chief investment officer of the small and medium-cap investment firm Prince Capital, stated that his fund's investment strategy does not rely on temporary opportunity windows created by factors such as social media posts.

He said, "For a certain type of investor, this can be very valuable. However, you also need to find a way to backtest it to see how much help obtaining this information in advance really is. I guess this type of investor has already done that work."

The release of Truth API has raised concerns from the outside world: traders and institutions willing to pay may gain an unfair advantage before other market participants have time to react. Although this service does not actually send the president's announcements directly to subscribers ahead of others, API is intended to provide a “low-latency” real-time information stream, pushing updates on key accounts.

BrokerChooser Chief Analyst Adam Nussle stated: "If the market increasingly reacts to the posts of a few highly influential individuals, then even a lead of just a few milliseconds could amplify volatility. The President of the United States is highly active on social media and frequently speaks, often using urgent and emotional language, which may pose broader risks to investors, especially those with less experience."

Nasli added that some of the phrases commonly used by Trump in his posts, such as “GREAT TIME TO BUY (a great time to buy)” and “Go get ' em ! (Just do it!)”, are likely to trigger emotional reactions among traders, especially when they see the stock prices of the companies mentioned by Trump start to fluctuate, creating a sense of urgency.

Alexander Briggs, the chief trading strategist at the financial analysis platform Supertrader, stated that although he believes Truth API has certain value for high-frequency trading companies, he is not sure whether these benefits are sufficient to justify a price of $60,000 to $100,000 for most companies.

He told Business Insider, “If a company can incorporate this information into its trading system a few milliseconds ahead of other companies, then in cases of repeated transactions involving large amounts of money, this tiny time difference can add up over time. The next question is whether receiving Trump’s updates a few hundredths of a second earlier than others can generate enough additional profits to justify such a cost.”

Tip
$0
Like
0
Save
0
Views 16
HKWDB reminds readers to view blockchain rationally, stay aware of risks, and beware of virtual token issuance and speculation. All content on this site represents market information or related viewpoints only and does not constitute any form of investment advice. If you find sensitive content, please click“Report”,and we will handle it promptly。
Submit
Comment 0
Hot
Latest
No comments yet. Be the first!
Related
JUP price rises by 15%, Jupiter Lend surpasses Kamino: Is a greater upward trend brewing?
JUP rose by over 14%, once approaching $0.38, and the TVL of Jupiter Lend increased to approximately $1.41 billion, surpassing Kamino to become the largest lending protocol on Solana. The article states that with the expansion of deposits, active loans, and a broader range of Solana DeFi services, Jupiter is transitioning from a DEX aggregator to a more comprehensive blockchain finance platform.
Coinpedia
·2026-10-08 18:50:23
6
Greece plans to impose a 10% tax rate on capital gains from cryptocurrencies, which is lower than the 15% proposed in June
According to Reuters, Greece has proposed in a draft bill open for public comment to impose a 10% tax rate on capital gains from cryptocurrencies, with exemptions for earnings not exceeding 500 euros per year. The draft is expected to be submitted to the Greek parliament in November, and this tax rate is lower than the 15% that government officials revealed to Reuters in June of this year.
Decrypt
·2026-10-08 18:50:20
5
Financing $2 billion: Transforming idle electric vehicle charging stations into power supply facilities to tap into the AI computing power boom
Charging pile startup Xeal plans to raise approximately $2 billion in debt financing over the next 18 months to convert idle electric vehicle charging stations into AI computing power supply facilities, and has already received orders for 100 computing power containers.
The Block
·2026-10-08 18:50:18
5
Algorand Price breaks above the intraday R1
On October 8th, Algorand ( ALGO ) traded at $0.1255 on Binance, reaching a high of $0.1237 during the day, but the last completed daily close was still at $0.1188. The article states that the daily EMA structure is relatively bullish, however, the daily MACD bar chart has turned negative, and the hourly trend has not fully recovered; only if the daily close can stabilize above R1 can a bullish structure be confirmed.
The Cryptonomist
·2026-10-08 18:40:01
10
Samsung Wallet integrates with Solana to support transfers between US Galaxy devices and USDC
The Solana Foundation stated that Samsung Wallet and Samsung Pay will support stablecoin functions on Solana. American users will be able to make cross-border transfers through USDC starting from the last week of October. This feature will be launched on 82 million American Galaxy devices and will come with built-in channels for fiat currency transactions.
Decrypt
·2026-10-08 18:39:56
9
View More