President Donald Trump is facing scrutiny after speaking at a private event for top investors in his $TRUMP memecoin while standing behind a lectern emblazoned with the official presidential seal, a move that legal experts warn may violate federal law.
The event, held Thursday evening at Mar-a-Lago, was exclusively for individuals who had invested at least $50,000 in the cryptocurrency bearing Trump's name. Video footage from the gathering shows the president delivering remarks about the digital currency's performance while the presidential seal was prominently displayed both on the lectern and as a digital backdrop.
Legal Concerns
Federal law (18 U.S.C. § 713) prohibits the display of the presidential seal "for the purpose of conveying a false impression of sponsorship or approval by the Government of the United States." Violations can result in fines or up to six months imprisonment.
"This appears to be a textbook violation," said Richard Painter, former chief ethics lawyer in the George W. Bush administration. "The presidential seal represents the office, not the individual, and using it at an event promoting a private investment that personally benefits the president creates exactly the false impression of government endorsement that the law aims to prevent."
The White House Communications Agency typically controls the use of the presidential seal at official events. It remains unclear who authorized its use at the cryptocurrency gathering.
Congressional Response
In response to the incident, a group of 28 Democratic lawmakers sent a letter to Attorney General Marcus Williams on Friday urging the Department of Justice to investigate potential violations of federal ethics laws.
"The American people deserve assurance that their president is not exploiting the symbols of his office for personal financial gain," the letter stated. "We request an immediate investigation into whether this event violated laws prohibiting the misuse of government symbols, conflict of interest statutes, or other ethics regulations."
When asked about the controversy during Friday's press briefing, White House Press Secretary Karoline Leavitt dismissed the concerns. "The president speaks to many groups and the presidential seal often accompanies him. This is yet another desperate attempt by Democrats to distract from the president's impressive economic record."
The Cryptocurrency Connection
The $TRUMP token, launched in March 2025, has seen its value increase over 600% since its inception, with a current market capitalization exceeding $2.8 billion. While the president has publicly endorsed the cryptocurrency, the White House has maintained that Trump has no direct financial stake in the project.
However, financial disclosure documents filed last month revealed that Trump's adult sons, Donald Jr. and Eric Trump, both serve as strategic advisors to the company behind the memecoin and hold substantial token allocations.
This isn't the first time the Trump administration has faced questions about the presidential seal's use. In 2019, the White House launched an inquiry after the seal appeared on stage at a Turning Point USA event featuring altered imagery, including a two-headed eagle holding golf clubs instead of arrows.
Legal experts note that while prosecutions for misuse of the presidential seal are rare, this case involves unique circumstances that may warrant closer examination.
