Trump’s SAME CORNER just got another potential catalyst. Is this a purchase?

As you’ve probably heard by now, President Donald Trump recently launched the Official Trump Meme Coin with the $Trump ticker, which is hosted on the Solana (GROUND -9.38%)Blockchain. With a market capitalization of around $7 billion, the medal is already one of the most valuable MEME coins.

There has just been a new development that could send its price higher. Here’s what could happen and how to think about it if you’re considering an investment.

This asset could soon be available to a larger set of investors

It is often difficult to invest in the latest cryptocurrencies, even on relatively easy-to-use blockchains like Solana. Without having to bother setting up a portfolio, financing with fiat money via an on-ramp, exchanging that money for the blockchain’s native token, and then exchanging the token for the actual investment you want to make, there is no way to gain exposure to most recently launched coins. Especially if you typically hold investments in a retirement account provided by a traditional financial institution, there are simply a lot of steps involved, and it’s a prohibitive barrier for the vast majority of people.

Some major cryptocurrencies like Bitcoin And Ethereum Ask investors as high as financial institutions have created workarounds. For example, Exchange Traded Funds (ETFs) which are intended to closely track the performance of these assets give investors the exposure they want through their normal financial accounts, such as an individual retirement account (IRA).

ETFs tend to attract capitalMaking corresponding crypto prices and increasing their integration into traditional financial markets. Thus, ETFs are considered major catalysts, although the actual evidence for this effect is somewhat ambiguous.

In this vein, as of January 21, there are now applications for an official Trump ETF.

Osprey Funds, the company that sponsors the ETF, has also filed for approval to offer ETFs for Solana, MastiffAnd Flagso it’s safe to say that Trump’s medal is not alone in the SAME COIN ETF Bonanza.

Opt for the safer option here

Does the ETF File Officially Make Trump a Coin Worth Buying? Not exactly.

First, there is no guarantee that regulators will approve the ETF. If so, the effect on price may not be what incumbents hope for. Consider that many investors have heard of the coin by now, and most of the most motivated potential buyers have probably found a way to invest.

Additionally, there aren’t really any traditional financial fundamentals with which to model appropriate asset valuemaking it very difficult to understand whether investors would get a good deal by buying the coin now – or paying too much. An ETF won’t change that.

It is also not possible to project the future growth of the medal in a judicious manner. It is true that the president has a vested financial interest in at least somewhat preserving the value of the asset because it bears his name. But that doesn’t change the fact that as a meme coin, it’s inherently a highly speculative and volatile bet, whether held on the blockchain directly or in an ETF.

For most people, it’s simply not a responsible financial decision to purchase the official Trump coin. Still, if you are really keen to buy it regardless of the risks, it will be for the best if you make sure your wallet is already sufficient enough diversified with safer investments in advance.

If your portfolio is already diversified, a smarter idea is to buy Solana and hold it for at least a few years if you want exposure to the effect of the Trump coin or other coins on the cryptocurrency ecosystem.

Anyone wishing to purchase the President’s coin will need to purchase Solana first to complete their purchase, which will create buying pressure and potentially continue to increase the price. At the same time, Solana itself is the main token on its chain, on which there is currently a huge amount of activity. In other words, it only needs one organized project on the chain to continue to gain value for it to still be valuable.