Trump Is Getting Sued Over Early Access To His Social Media Posts. Trump Media CEO Says More Are Paying.

The interim CEO of Trump Media defended the company's decision to sell early access to Truth Social posts, saying more customers have signed up.

"We're getting into the mid-teens now, and we're climbing," Kevin McGurn told CNBC on Monday about the $100,000-a-month Truth API service. He had said two weeks ago that "more than 10" such agreements had been signed since the service went live on August 1.

President Donald Trump has been sued by The Intercept Media and the Freedom of the Press Association over the decision.

It claims that the service violates the First and Fifth Amendments of the Constitution as it gives those who pay access to Trump's announcements for "unreasonable sums."

"The President stands to gain financially by giving 'market-moving' government information to those who are willing and able to pay his personal company," reads a passage of the suit.

It goes on to describe the move as "corrupt, and unconstitutional, and Plaintiffs bring this case to stop it."

Trump Media first announced plans for the service in July, pitching it to Wall Street firms and institutional investors seeking faster access to Truth Social content. Trump regularly uses the platform to make policy announcements.

High-frequency traders use sophisticated computer systems and algorithms to execute transactions at extremely high speeds, meaning getting access to a potentially consequential statement seconds or even fractions of a second before competitors could influence trading decisions.

But the business has also raised legal and ethical questions because Trump's family remains the majority shareholder of Trump Media. Critics have questioned whether a company financially connected to the president's family should be able to profit from giving investors accelerated access to his public statements.

Trump Media said Truth API is "expected to provide the company with a new revenue stream." McGurn said executives believe the business could eventually become a "meaningful" and "durable" source of revenue alongside advertising and the company's expanding digital asset operations.

The company is also exploring opportunities to sell the service to technology companies, news organizations and betting markets, according to McGurn.

The company lost $238 million between April and June, more than 10 times the loss it reported during the same period last year. Revenue totaled just $1.7 million during the quarter, although that represented an 89% increase from a year earlier.

Trump Media said much of its overall loss was related to declines in cryptocurrencies. The company ended the second quarter with approximately $2 billion in total assets, including about $1.9 billion in financial assets made up of cash, short-term investments and digital currencies.