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Trump. Photo: AP News | The Chronicle
US President-elect Donald Trump has launched a meme coin named $TRUMP.
The coin, unveiled on January 17, has taken the digital asset market by storm, recording a staggering 236 per cent increase in value within just 24 hours.
Its market capitalisation now exceeds $14 billion, with each coin priced at $69.79 as of Sunday afternoon, around 2:50 p.m. Nigerian time, PUNCH Online reports.
The venture, spearheaded by CIC Digital LLC—an affiliate of the Trump Organisation known for marketing Trump-branded products—has drawn both praise and scepticism.
“This is a celebration of our movement and everything we stand for: winning,” Trump declared on his platform, Truth Social, while announcing the coin on Friday.
The coin’s website describes it as a tribute to “a leader who doesn’t back down, no matter the odds.”
PUNCH Online reports that Trump and his sons launched a cryptocurrency platform in September 2024.
Trump is set to be inaugurated as the 47th US president, marking his return to the White House on Monday.
Viral Phenomenon
The Official Trump coin has gained immediate traction on major exchanges such as Binance and OKX, where trading volumes have surged.
Analysts attribute its meteoric rise to its viral appeal and Trump’s political branding. The coin’s logo, emblazoned with “Fight Fight Fight,” has further fueled its popularity.
“It’s not just a coin; it’s a statement,” said political analyst Rachel Maddox.
“But the intersection of finance, politics, and blockchain raises significant ethical questions.”
The coin’s creators have emphasised that it is not intended as an investment opportunity or security. Despite this disclaimer, its rapid ascent has drawn attention from seasoned crypto investors and Trump supporters alike.
Critics’ Concern
While Trump’s supporters hail the meme coin as a masterstroke, critics have been quick to raise concerns about its timing and implications.
Stephen Findeisen, better known as YouTube’s Coffeezilla, called the venture “historic in its stupidity.”
Anthony Scaramucci, a Bitcoin enthusiast and former Trump associate, warned investors not to “fall for the hype,” while Nick Tomaino, a crypto venture capitalist, described the launch as “predatory,” citing the Trump Organisation’s 80 per cent ownership of the tokens.
“Releasing a coin with such centralised control just hours before taking office is alarming,” Tomaino added.
Barstool Sports founder Dave Portnoy likened the launch to a pump-and-dump scheme, referencing past controversies in the crypto world.
Concerns about conflict of interest
The timing of the coin’s launch—just days before Trump is sworn in as the 47th president—has sparked debates about potential conflicts of interest.
Critics argue that Trump’s personal financial gain from the venture could overshadow his presidential duties.
“Trump is leveraging his political influence to create a speculative financial instrument. Many could get hurt when the hype fades,” said Ben Meiselas, co-founder of Meidas Touch.
Moreover, 80 per cent of the coin is reportedly held by CIC Digital and Fight Fight Fight LLC, raising fears about market manipulation.
A boon for cryptocurrency?
Despite the backlash, some investors are optimistic that the Trump administration could usher in a crypto-friendly era.
Trump, who previously expressed scepticism about digital assets, recently hinted at making the US “the crypto capital of the planet.”
However, critics caution that speculative booms like this often end in losses for late investors. “It’s a meme coin. Its volatility is part of the package,” warned blockchain expert Dr Sarah Hayes.
What’s next for $TRUMP?
The Official Trump meme coin’s future remains uncertain. While its rapid rise has captured global attention, the long-term implications for investors, the cryptocurrency market, and Trump’s presidency are yet to unfold.
As the inauguration approaches, all eyes are on Trump—not just as the incoming president but as a controversial player in the ever-evolving crypto landscape.
