$TRUMP Coin Skyrockets Hundreds of Times After Launch — What’s the Future Outlook?
On January 18, 2025, Trump, who is about to take office as the President of the United States, suddenly announced the launch of his personal Meme coin $TRUMP Token on social media. As soon as the news broke, the crypto market went into a frenzy, with the $TRUMP Token rising hundreds of times within 12 hours, briefly surpassing $78, and its total circulating market value skyrocketing to $78 billion, surpassing established Meme tokens like DOGE and SHIB, setting a new record for the fastest growth of a new coin in crypto history.
$TRUMP Token发币时机
The launch of the $TRUMP Token is certainly not a coincidence; its timing is astonishingly precise:
- Political node positioning: Released three days before the presidential inauguration on January 20, it not only avoids the restrictions of the incumbent president’s identity but also leverages the enthusiasm of the inauguration to ignite the market.
- Technical foundation: Based on Solana Blockchain, leveraging its high throughput of over 65,000 transactions per second and low cost advantages, supports massive instantaneous transactions;
- Community Fission Design: The official website positions it as a community Token that “connects global patriots,” quickly attracting nearly 50,000 addresses to participate in trading on the first day through Trump’s personal charisma.
Token Allocation: 80% Control and the Mystery of “Paper Wealth”
$TRUMP Token tokenomics has sparked huge controversy, primarily due to its highly centralized ownership structure:
- Absolute control of the group: 80% of the supply is held by Trump Group affiliated entities CIC Digital LLC and Fight Fight Fight LLC, with only 20% open to retail investors;
- Unlocking plan buried mine: initial circulation of 200 million coins, the remaining 800 million coins will be released over three years, and the future circulation will reach 1 billion coins, which poses a continuous selling pressure risk;
- The illusion of a hundred billion market value: If calculated at the peak price of the $TRUMP Token, the Trump family’s paper profit exceeds 25 billion dollars, but the fully diluted valuation (FDV) points to 27 billion dollars, which Arthur Hayes directly calls “false token economics.”
Controversies and Risks: When the President Becomes the “Issuer of Coins”
The dual questioning of ethics and regulation follows:
- Conflict of interest red line: Adav Noti, executive director of the non-profit organization “Campaign Legal Center,” criticized: “Creating financial instruments for people to transfer funds to the president’s family – this is unprecedented.” Former cryptocurrency industry executive Nick Tomaino also condemned its “predatory” structure that could harm ordinary investors;
- Disclaimer “Armor”: The official website states that the $TRUMP Token is not related to political activities and warns that the token “may be extremely unstable”, limiting the rights of buyers to collective lawsuits;
- Regulatory policies: Although Trump plans to implement pro-crypto policies after taking office (such as establishing a Bitcoin reserve and reforming the SEC), if tokens are deemed securities, the current model will face legal challenges.
Market Impact: The Opening of the Political Meme Coin Era
No matter the controversy, the $TRUMP Token has become a phenomenal event in the history of cryptocurrency:
- Solana ecosystem explodes: On the day of its issuance, the trading volume on the Solana chain surpassed 11.4 billion USD, crushing the total of other public chains.
- “On-Chain Spring” Signal: Analyst Haotian pointed out that its debut on DEX (Decentralized Exchange) is a challenge to CEX, which is a long-term benefit for ecological innovation;
- Political Token Wave: Arthur Hayes asserts, “Trump’s launch of the token marks the official opening of the political Meme coin market.”
Conclusion: The Crypto Paradox Behind the Carnival
$TRUMP Token is both a product of technological empowerment (the efficiency of Solana supports instantaneous trading flows) and a financial interpretation of political stardom. It validates the wealth creation myth of Meme coins, with traders making profits of 20 million dollars in just 4 hours; but it also exposes the systemic risks of centralized control: 80% of Tokens are held by a single interest group. When the president becomes the issuer, the ideal of “decentralization” in the crypto market collides with the realities of power structures, and this experiment has only just begun.
