Trump launches crypto meme coin as price soars ahead of inauguration
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Asset triples in price from $20 per token to more than $70, with at least $24bn in trading as of Sunday morning. Donald Trump has launched a cryptocurrency “meme coin” ahead of his inauguration for a second term as US president, called $Trump. He announced the launch on Truth Social and X on Friday night. The asset has since soared in value, more than tripling in price from about $20 per token to more than $70, with at least $24bn in trading volume as of Sunday morning and more than $14bn in market capitalization.
A “meme coin” is a type of cryptocurrency inspired by trends such as internet memes with no inherent utility, and are often susceptible to price swings and crashes. The “Hawk Tuah girl”’s meme coin dropped 95% shortly after its release last month, fallen from a $500m market capitalization to $25m, with investors submitting complaints with the SEC of insider trading.
The cryptocurrency community has been eagerly anticipating Trump’s second term, with anticipated favorable regulatory environments and Trump claiming he intends to make the US the “crypto capital of the planet”. The president-elect has nominated Paul Atkins to serve as Chair of the Securities and Exchange Commission (SEC), a known crypto enthusiast who served as co-chair of the crypto advocacy group Digital Chamber’s Token Alliance since 2017.
Trump has also promised to issue an executive order once in office to create a crypto advisory council with as many as 20 members. The speculative nature of crypto assets has incited concerns over a potential bubble, where political endorsements and support far inflate asset prices beyond fundamental values and do not reflect the risks associated with investments.
