Justice Department and the Securities and Exchange Commission are both looking into the proposed merger between DWAC and Trump Media.

Trump SPAC Digital World Acquisition Corp. (NASDAQ:DWAC)

Following seven straight days of decreases, Trump SPAC Digital World Acquisition Corp. (NASDAQ:DWAC), which is going public with his social media platform Truth Social, increased 6.9% on the news that Google (NASDAQ:GOOGL) is bringing the right-leaning app Parler back to its Play Store.

According to media outlets, including Bloomberg, Parler agreed to alter its app so that it would monitor content and eliminate posts that would inspire violence. Google announced this in a statement on Friday. Since January 2021, Parler had been prohibited from using the Play Store.

Following a report by Axios on Tuesday that Truth Social had been denied permission to appear on Google’s Play Store due to concerns about content filtering, Digital World shares may be rising in sympathy. Today, according to Axios, Truth Social is reportedly working on its Android app to ensure that it complies with Google’s guidelines and may soon be available on the Play Store.

Truth Social said in a statement on Wednesday that it had “continuously worked in good faith” with Google (GOOGL) to make sure that the Truth Social android app conforms with Google’s regulations without sacrificing its “commitment to be a haven for free speech.”

The move in favor of Digital World, which has fallen 51% this year, comes before a vote on Tuesday to extend its contract with Trump’s social network firm.

The power of the SPAC to complete a deal will be extended by one year, to September 8, 2023, at the Digital World shareholders’ meeting. Digital World Acquisition Corp. has previously issued a warning that the SPAC might be put into liquidation if the arrangement isn’t extended.

Digital World Prior Share Price Decline

As the business gets ready for an impending shareholder vote to postpone its proposed merger with Truth Social by as much as a year, shares of Digital World Acquisition Corp. dropped as much as 10% on Monday, bringing the four-day slump to close to 20%.

Tomorrow is the start of the shareholder vote, and if the proposal is approved, it would offer Digital World some breathing room before its September 6 merger with Truth Social.

Featured Image:  Megapixl © Stevanovicigor

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