Trump unveils his own meme coin, value skyrockets
Summary
Donald Trump has launched a new cryptocurrency, $TRUMP, which saw its market value soar to billions of dollars shortly after its release. The coin is a “meme coin,” designed to capitalize on viral trends and personalities, and has sparked both excitement and skepticism within the crypto community. Despite concerns about its legitimacy, the launch was supported by Trump’s official social media and ties to CIC Digital LLC, a company he’s previously worked with. The total market cap for $TRUMP hit nearly $6 billion, with plans to release more coins over the next few years. This move marks Trump’s shift from opposing to supporting cryptocurrency during his 2024 campaign.
US President-elect Donald Trump has launched a new cryptocurrency called $TRUMP, leading to a surge in buying activity that boosted its market capitalization to several billion dollars by Saturday.
Trump introduced the meme coin through posts on his Truth Social platform and X, describing it as a way to leverage the popularity of a personality, movement, or viral trend.
Meme coins typically lack real economic or transactional value and are primarily seen as tools for speculative trading.
According to the coin’s official site, “$TRUMP celebrates a leader who stands firm, regardless of the challenges,” referencing the assassination attempt on Trump in July 2024.
Following its sudden launch, the crypto community raised concerns about the coin’s authenticity and its connection to Trump, with some fearing it might be a scam. However, the fact that the announcement came through Trump’s official social media channels helped calm the market. Additionally, Trump had previously worked with one of the companies behind the project, CIC Digital LLC, to sell non-fungible tokens (NFTs).
By mid-morning on Saturday, $TRUMP’s market cap had reached nearly $6 billion.
Neither Trump nor the company overseeing the launch, Fight Fight Fight LLC, disclosed how much he earned from the initial coin release. According to the official site, 200 million meme coins were initially issued, with Fight Fight Fight planning to release an additional 800 million over the next three years.
At the current rate, the unissued coins could be worth around $24 billion.
Trump, who initially opposed cryptocurrency, reversed his stance during his 2024 presidential campaign, embracing it and promising to develop the sector by easing regulations. Prior to this, business associates of Trump launched a crypto platform, World Liberty Financial, in October.
Disclaimer:
Meme coins like $TRUMP are often speculative and may lack economic or transactional value. The legitimacy and long-term viability of the $TRUMP coin remain uncertain.
( source : phys.org )