- A new Donald Trump memecoin has reached a market cap of $24 billion on Solana.
- Tokenomics and distribution are sounding the alarm.
- The coin is linked to Trump’s CIC Digital, known for its branded products.
As Inauguration Day quickly approaches, Donald Trump is taking the time to focus on what really matters: launching a memecoin.
Announced via Trump Twitter And Social truth accounts, the $TRUMP coin features the slogan “Fight, Fight, Fight!” » and claims to represent “everything we stand for: WIN!” »
Skepticism immediately followed these posts, with many assuming that Trump’s accounts had been hacked and used to sell a fraudulent token that would soon come under scrutiny.
However, the messages have been online for more than eight hours and there have been no statements from Trump or his team to the contrary.
The token is based on Solana and has already reached a market value of 24 billion dollars. Solana’s native cryptocurrency is also up 10% on the day, while the broader crypto market is seeing red.
“Wild distribution”
THE tokenomics of the project have already sounded the alarm.
Blockchain investigator CoffeeZilla highlighted his concerns regarding the distribution of the coin.
“80% owned by a single portfolio. Public distribution is 10%, liquidity is 10%. It’s a wild distribution for a coin,” he said. tweeted.
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The official website reveals a total supply of 200 million TRUMP dollars available at launch, growing to one billion tokens over three years.
Only 20% of the supply is currently available to the public and liquidity pools, while the remaining 80% is split between six “digital creator groups and CICs” which begin to be unlocked after 3 to 12 months and vest over 24 month.
“Black box” benefit
The $TRUMP memecoin is linked to CIC Digital LLC, a Trump-owned entity that has previously overseen the sale of Trump-branded NFTs, sneakers and more. goods.
CIC Digital generated more than $7 million in licensing revenue last year, leveraging Trump’s name in various products.
Experts warn that CIC Digital’s model of licensing Trump’s name to outside companies – without clear oversight – creates a “black box» where profits and partnerships remain largely hidden.
Kyle Baird is the weekend editor for DL News. Do you have any advice? Email to kbaird@dlnews.com.