Donald Trump’s newly launched cryptocurrency, $TRUMP, has experienced an extraordinary surge, with its market value reaching $9 billion just ahead of the US President-elect’s return to the White House. On Monday, the meme coin soared by an impressive 73% to $46.06, pushing its market capitalisation to approximately $9.2 billion, according to CoinMarketCap. In just 24 hours, $TRUMP saw a staggering trading volume of $42.2 billion.
The launch of the $TRUMP coin, which occurred on Friday, came just days before Trump’s scheduled inauguration. The cryptocurrency, branded with an image linked to Trump’s attempted assassination in July, marks the latest step in his expanding involvement in the world of digital assets. Trump’s cryptocurrency interests also extend to World Liberty Financial, a company involved in financial services.
The unexpected launch of the $TRUMP coin took the cryptocurrency community by surprise. While it may appear as another chapter in the spectacle surrounding Trump, some experts caution that the move raises significant ethical and regulatory concerns.
Justin D’Anethan, an independent crypto analyst based in Hong Kong, expressed scepticism about the token’s launch. “While it’s tempting to dismiss this as just another Trump spectacle, the launch of the official Trump token opens up a Pandora’s box of ethical and regulatory questions,” D’Anethan said. He pointed out that the $TRUMP coin blends the realms of decentralised finance (DeFi) and politics, potentially blurring the lines between governance, profit, and influence. “Should public figures, especially those with such political clout, wield this kind of sway in speculative markets? That’s a question regulators are unlikely to ignore,” he added.
The launch of $TRUMP also sparked debate about the role of public figures in the cryptocurrency market. While the coin represents a blending of political power and digital finance, some critics are wary of the potential for conflicts of interest. Peter Schiff, chief economist and global strategist at Euro Pacific Asset Management, took to messaging platform X to dub the $TRUMP coin the “new digital gold,” following its dramatic price surge. Schiff’s comments highlight the growing fascination with the coin and its potential to reshape the cryptocurrency landscape.
Trump’s long-standing support for digital assets has been well documented, with the President-elect previously describing himself as a “crypto president.” He has promised to issue executive orders aimed at reducing regulatory barriers for cryptocurrency markets, which could further propel the widespread adoption of digital assets. His focus on loosening crypto regulations has already had a significant impact on the industry, with the prospect of a more favourable policy environment driving a rally in bitcoin following Trump’s election victory in November.
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As Trump’s inauguration draws closer, the cryptocurrency world is closely watching for any signs of regulatory shifts. The potential for looser regulations around crypto could have far-reaching implications, not only for the $TRUMP coin but also for the entire digital asset market. Industry insiders are optimistic that Trump’s presidency will usher in an era of greater innovation and less stringent oversight, encouraging broader participation in the rapidly growing space.
While $TRUMP’s meteoric rise has drawn attention, it has also raised questions about the future of digital currencies and their intersection with politics. As Trump is set to assume office at noon ET (1700 GMT) on Monday, the focus will likely remain on how his administration handles the evolving landscape of cryptocurrency regulation.
Meanwhile, the broader cryptocurrency market has seen a mixed performance. Bitcoin, the world’s largest cryptocurrency, was trading 2.6% lower at $101,826.51 on Monday, though it has risen more than 10% this month. As the market continues to react to the news of $TRUMP’s launch, investors are eagerly awaiting further developments, both in the digital asset space and the broader political landscape.
With the $TRUMP coin’s rapid rise in value, it remains to be seen whether this meme coin will continue its upward trajectory or whether the regulatory challenges it faces will ultimately stymie its growth. For now, the cryptocurrency world remains on high alert as Trump’s inauguration looms and his crypto-related policies come into focus.
