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Trump’s Meme Coin TRUMP: The Future of Crypto or Just Another Hype?
TRUMP Coin Gains Traction, but Watchdogs Raise Red Flags
Donald Trump’s meme coin, TRUMP, which debuted on January 17, can now be used to buy merchandise like sneakers, watches, and fragrances from websites tied to his business ventures, including GetTrumpSneakers.com, GetTrumpWatches.com, and GetTrumpFragrances.com. These platforms also accept Bitcoin, and according to Citizens for Responsibility and Ethics in Washington, they are owned by CIC Ventures LLC, a company linked to Trump.
As of January 30, the TRUMP coin’s market capitalization stood at $5.4 billion, with 80% of its supply controlled by Trump-affiliated entities. Trading activity has reportedly generated over $11 million in fees.
Trump’s Expanding Crypto Footprint
Trump’s involvement in digital assets is growing. His media company, Trump Media and Technology Group, has announced plans to enter financial services, including cryptocurrency investments. Following this revelation, the company’s stock surged 8%.
Trump first stepped into the crypto space in 2022 with NFT collections. Since then, his family has supported the development of World Liberty Financial, a decentralized finance (DeFi) platform focused on crypto investments. In addition, Melania Trump recently launched her own meme coin, MELANIA.
Regulatory Concerns & Potential Conflicts of Interest
Despite its growing popularity, TRUMP coin has raised concerns among watchdog organizations. Danielle Brian, head of the Project On Government Oversight, has warned that Trump’s influence over crypto regulations could benefit his own holdings.
During Trump’s previous administration, the SEC formed a crypto task force aimed at establishing regulations, while the Biden administration took a stricter enforcement approach. Trump has even floated the idea of creating a federal digital asset reserve, further intertwining crypto with his political ambitions.
Growing Adoption Beyond Trump’s Ecosystem
The use of the TRUMP coin is extending beyond Trump-affiliated businesses. Travel booking platform Travala.com has started accepting TRUMP for payments, marking an expansion of its real-world utility. However, due to the volatile nature of meme coins, most transactions involving TRUMP remain speculative rather than practical.
Trump’s Crypto Influence: Boon or Burden?
Positioning himself as a pro-crypto leader, Trump has made regulatory promises and taken steps like pardoning Silk Road creator Ross Ulbricht. He has also set up a committee to explore digital asset policies.
As Trump’s influence in the crypto sector grows, questions linger about how his past policies and personal business ventures might shape the industry’s future. Is this a bold step toward mainstream crypto adoption, or is it a conflict of interest in the making?
