Donald Trump launched a cryptocurrency “coin” ahead of his inauguration for a second term as US president, called $Trump.
He announced the launch on Social truth And X Friday evening. The asset has since flew away in value, the price more than tripled from around $20 per token to over $70, with at least $24 billion in trading volume as of Sunday morning and over $14 billion in market capitalization.
A “coin” is a type of cryptocurrency inspired by trends such as Internet memes with no inherent utility and is often susceptible to price fluctuations and crashes. The “Hawk Tuah Girl” Meme Coin fell by 95% shortly after its release last month, its market capitalization fell from $500 million to $25 million, with investors submit complaints with the SEC for insider trading.
The cryptocurrency community is looking forward to Trump’s second term, with favorable regulatory environments and Trump saying he intends to make the United States the “crypto capital of the planet.”
The president-elect has appointed Paul Atkins as Chairman of the Securities and Exchange Commission (SEC), a known crypto enthusiast who has served as co-chair of the cryptocurrency advocacy group Digital Chamber’s Token Alliance since 2017.
Trump also promised once in office, issue an executive order to create a crypto advisory council of up to 20 members.
The speculative nature of crypto assets has raised concerns about a potential bubble, where political backers significantly inflate asset prices beyond fundamental values and do not reflect the risks associated with investments.
“Paradoxically, strong political and government support for crypto poses a threat to its decentralization philosophy and could ultimately undermine the appeal of crypto assets.” wrote Larisa Yarovaya, associate professor of finance and director of the Center for Digital Finance at Southampton Business School, for the Guardian earlier this month. “If, in 2025, the SEC turns a blind eye, consumers could find themselves completely unprotected against financial losses – especially when another coin bubble bursts. »
According to the Trump coin websitea Trump-owned company called CIC Digital LLC owns 80% of the supply of 200 million tokens, which is expected to grow to 1 billion over three years.
Trump has already released crypto trading card bundles during his presidential campaign, generating over $4 million per release in total revenue. His sons Eric Trump and Donald Trump Jr also launched a cryptocurrency business, World Liberty Financial, in 2024, causing concern of a clear conflict of interest.
Major crypto companies flocked at least $10 million in Trump’s inauguration fund.
The meme coin’s website included a disclaimer stating: “Trump memes are intended to function as an expression of support and commitment to the ideals and beliefs embodied in the “$TRUMP” symbol and associated artwork, and are not intended to be, or to the subject of , an investment opportunity, an investment contract or a security of any type. GetTrumpMemes.com is not political and has nothing to do with any political campaign, political office, or government agency.