Outside Source
TRUMP memecoin, explained
TRUMP is the official memecoin launched by Donald Trump just three days before he returned to the White House as president of the United States on Monday, Jan. 20, 2025.
The cryptocurrency was launched to celebrate everything Trump and his supporters stand for. As stated on the official website gettrumpmemes.com, “Trump Memes are intended to function as an expression of support for, and engagement with, the ideals and beliefs embodied by the symbol ‘$TRUMP.’”
News of the memecoin launch was broken on the returning president’s X account.
“My NEW Official Trump Meme is HERE!” Trump wrote on X Friday. “It’s time to celebrate everything we stand for: WINNING! Join my very special Trump Community. GET YOUR $TRUMP NOW. Go to http://gettrumpmemes.com — Have Fun!”
The growth of TRUMP memecoin
The timing of the launch is eye-opening, but it doesn’t come as a surprise that President Trump would launch his own cryptocurrency. He is touted as the first “pro-crypto” US president.
In July 2024, he spoke at the largest crypto convention to outline his support for the industry and promised to create a strategic Bitcoin (BTC) reserve. In addition to this, there are already dozens of Trump-related memecoins in existence, but TRUMP is the first and only one endorsed by the president.
In the following 48 hours after launch, speculation became rampant, with the price of TRUMP rocketing to over $75 and notching a market capitalization of over $14 billion.
Although, this was followed by a sharp market pullback to between $40 and $50 by the morning of Trump’s inauguration. Even so, its launch attracted attention from mainstream media just hours before he took office and instantly made it a top 20 cryptocurrency.
The launch of MELANIA memecoin
During the same weekend (Jan. 19), Melania Trump also launched her own cryptocurrency, MELANIA, “The Official Melania Meme is live! You can buy $MELANIA now. https://melaniameme.com,” the first lady wrote on X Sunday.
Wild speculation has grown with MELANIA, too, with over $2 billion flowing into the coin in the first 24 hours, pumping its price to exceed $10.
Both the TRUMP and MELANIA websites contain multiple disclaimers outlining the coins “are not intended to be, or to be the subject of, an investment opportunity, investment contract, or security of any type. GetTrumpMemes.com is not political and has nothing to do with any political campaign or any political office or governmental agency.”
Critics of TRUMP memecoin
The markets appear to have attracted millions of supporters and crypto speculators, but critics have accused Trump of profiting from the presidency.
200 million of the Solana-backed tokens have been released onto the blockchain so far. That leaves another 800 million of the 1 billion in total supply in the ownership of Trump’s organization. This has attracted several critical comments and accusations of greed from figures inside crypto and politics.
“Trump owning 80 percent and timing launch hours before inauguration is predatory and many will likely get hurt by it,” commented crypto venture capitalist Nick Tomaino on X.
“Trump should be airdropping to the people rather than enriching himself or his team on this. There’s a way to spin it that way, but it’s unclear if that’s the direction it will go. At the moment, it’s looking like an FTX coin,” he continued.
Former Trump White House Communications Director Anthony Scaramuuci was equally scathing about the news on X: “Now anyone in the world can essentially deposit money into the bank account of the President of USA with a couple of clicks.”
Key features of TRUMP cryptocurrency
The TRUMP crypto doesn’t use any revolutionary technology and has similar properties to most memecoins, which signal support for a particular community or ideology.
The main features and use cases for TRUMP are:
- Blockchain: TRUMP is based on the Solana blockchain, which enables high-speed transactions and low fees for people who want to trade and make payments.
- Supply: The total supply of TRUMP is 1 billion tokens. Initially, 200 million were released onto the blockchain, with the remaining 800 million to be distributed over the following three years, according to the official website.
- Use cases: The memecoin is described as an expression of support and engagement with the ideals and beliefs of Trump. Although it is not intended to be an investment opportunity or security, its roaring international adoption has built significant value and market cap. This means it is now a globally traded digital asset with billions of dollars worth of daily payments and trade being made using TRUMP.
- Trading: If you’re looking to buy TRUMP it is available through memecoin platforms like Moonshot and decentralized exchanges (DEXs). Several major centralized exchanges like Coinbase and Binance have announced plans to list the tokens to improve their availability further.
Be aware of fake Trump tokens: How to spot red flags
The rise of political-themed cryptocurrencies, especially those tied to prominent figures like Donald Trump, has led to an influx of scams and fraudulent tokens in the market.
As of Jan. 20, there are over 127,000 different TRUMP tokens across multiple blockchain networks, many of which are illegitimate. As more users enter the crypto space, it’s essential to recognize and avoid common scams to protect your investments.
Here’s what you need to watch out for:
- Misleading token contracts: Many tokens using the TRUMP ticker are not affiliated with the official Trump project. Always double-check the token contract address before buying to avoid falling for misleading projects.
- Requests for sensitive information: Fraudulent websites often offer fake claims of free TRUMP tokens, designed to drain the funds from your wallet. Scammers may try to get your private keys or seed phrases by pretending to be a legitimate project. Never trust links or websites from unreliable sources, and make sure you’re visiting the correct official sites.
- Honeypot tokens: These are scam tokens that allow you to buy but not sell. Always check a token’s liquidity before purchasing to avoid getting trapped in a honeypot scheme where you can’t get your money back.
- Unverified exchange listings: Be cautious of tokens listed on lesser-known exchanges or those that have not undergone proper scrutiny. Trading on unregulated or dubious exchanges increases the risk of encountering fraudulent projects, so stick to trusted and reputable platforms.
- Fake celebrity tokens: Scammers may hijack the social media accounts of famous individuals to promote tokens that end up being rug pulls. Always verify the authenticity of token launches through official channels and never invest in tokens solely because a celebrity is associated with them.
- Phishing scams: Scammers may use phishing emails or fake support messages to trick you into providing private information or downloading malware. Always ensure any communication you receive is legitimate and from verified sources.
To avoid making mistakes, ensure you’re fully informed before making any investments.
Future prospects of TRUMP
President Trump’s pro-crypto stance, coupled with the proposed loosening of market regulation, could signal a strong future for the TRUMP memecoin.
Memecoins have become a staple of the cryptocurrency markets in recent years, with several coins retaining multibillion-dollar market caps and regularly sitting in the top 10 of all coins — Dogecoin (DOGE) being the leading example.
No other memecoins have seen such explosive growth in just a few days after the initial launch. While the huge support is a strong signal for its future, there are many who fear it will be short-lived. Once the fear of missing out (FOMO) trend diminishes, the coin could severely crash in value.
With such a volatile asset class, valuations can move in a matter of hours on a seemingly small news agenda. So, the future of TRUMP will remain to be written once the excitement of the returning president settles down.
This article first appeared at Cointelegraph.com News
