Trump introduces a meme coin

President-elect Donald Trump has pledged to foster an administration conducive to cryptocurrency innovation. In the days leading up to his second inauguration, he initiated the sale of a new cryptocurrency. The initiative, dubbed $TRUMP, represents a category of cryptocurrency known as a meme coin, wherein its valuation is predominantly influenced by the virality of internet memes. The token, residing on the Solana blockchain, experienced a rapid increase in value, achieving a market capitalization exceeding $6 billion by Saturday evening, as reported by CoinMarketCap.
“It is an opportune moment to commemorate the principles we uphold: SUCCESS!” Become a member of my exclusive Trump Community. “Acquire your $TRUMP now,” Trump stated on his social media platform, Truth Social. The announcement, published at 9 p.m. on Friday, took the cryptocurrency sector by surprise. Despite the significant appreciation in the coin’s value, concerns lingered regarding its substantial insider ownership and the associated risks of conflicts of interest.
Numerous crypto executives and influential political figures convened in the capital that evening to commemorate what they anticipate will be a prosperous era for digital assets under the Trump administration. According to executives present at the event known as the Crypto Ball, many were unaware of Trump’s meme coin until Saturday morning. The token marks yet another venture into the realm of cryptocurrency for Trump. Over the past year, Trump has actively sought the financial backing and electoral support of cryptocurrency investors, making substantial commitments to the sector and vowing to formulate favorable legislation that would distinguish digital assets from traditional stocks and bonds. In the previous year, the newly elected president initiated a decentralized finance venture alongside his sons, Donald Trump Jr. and Eric Trump, branded as World Liberty Financial.
Trump’s latest venture into the cryptocurrency realm has swiftly attracted scrutiny, even from his most ardent supporters within the crypto community. A significant point of contention: 80% of the token’s supply is held by Fight Fight Fight and CIC Digital, a subsidiary of the Trump Organization, as stated on the token’s associated website. Concerns have been raised that the token may engender substantial conflicts of interest for the incoming president. Foreign governments or businesses aiming to sway Washington might consider purchasing the token as a means to gain favor with Trump, experts suggest.
Representatives for Trump did not promptly respond to a request for comment. GetTrumpMemes.com, the platform linked to the token, asserts that it maintains a non-political stance and is unrelated to any political campaign, office, or governmental entity. A segment of the industry viewed the initiative as a means to attract a broader user base to the realm of cryptocurrency. Exchanges such as Kraken and Crypto.com promptly added the meme coin to their offerings. According to Eric Trump, the token “is currently the hottest digital meme on earth,” as stated in a post on the social-media platform X.