$TRUMP Memecoin Soars Then Crashes: ‘I Launched It, That’s All I Know”

Donald Trump’s TRUMP memecoin has quickly taken the crypto world by surprise, becoming the fastest-growing memecoin in history. Launched on January 17, just days before his inauguration, the Solana-based token surged to a market cap of $13 billion over the weekend.

However, the excitement didn’t last long. The coin dropped 50%, now sitting at around $8 billion after Melania Trump launched a competing memecoin.

Speaking to reporters Donald Trump Donald Trump   Donald J. Trump is a US-based entrepreneur, Pro-crypto Politician, and the 45th and 47th President of the United States of America. He understands the importance and needs of the modern fintech world, and people look up to him as a dominant pro-crypto leader.   Quick Facts   Full name Donald John Trump Birth 14-06-1946, New York, United States Nationality American Education BS from the University of Pennsylvania Known For Businessman, Pro-Crypto Politician   Once doubtful about Bitcoindominance, he said in a tweet in 2019, “I am not a fan of Bitcoin", but now has a significant amount of cryptocurrency holdings in his kitty. He has also signed an Executive Order to establish a Strategic Bitcoin Reserve, which highlights his commitment to the future of cryptocurrency.   Donald Trump - Career Highlights & Events   2016 – Elected as the 45th President of the United States from the Republican Party.   2017 – Signed the Tax Cuts and Jobs Act, impacting investment environments   2019 – Criticized Bitcoin and Libra on X, dubbing them as "not money"   2024 – Campaign signals potential openness to crypto-friendly reforms   2025 –  Elected as the 47th President of the United States from the Republican Party.   A meme coin, $TRUMP, is associated with Donald Trump, which is listed on the Solana blockchain platform. His family also backs World Liberty Financial (WLF), a crypto venture.     President admitted he wasn’t deeply involved in the project, saying, “I don’t know much about it other than I launched it,” but acknowledged its success.

When told about its multi-billion-dollar valuation, he joked, “$8 billion? That’s peanuts for these guys,” referencing tech leaders like SoftBank’s Masayoshi Son and OpenAI’s Sam Altman Sam Altman   Sam Altman is a businessperson and investor from the United States. He is recognized for his contributions to AI, cryptocurrency, and blockchain technology. As the CEO of OpenAI, Sam backs AI-based blockchain startups and advocates for blockchain projects. Sam co-founded World Blockchain Network (formerly Worldcoin) in 2019. It is a blockchain initiative focused on decentralizing identity verification (iris biometrics) through cryptocurrency. To support the OP stack blockchain-creating framework, he is looking to venture into the layer-2 Ethereum blockchain    Quick Facts   Full name Samuel Harris Altman Birth 22-04-1985, Chicago, Illinois, United States Nationality American Education Computer Science from Stanford University (dropped) Known for AI-based projects   Sam Altman - Career Highlights   2014 – Became President of Y Combinator, which funds crypto startups.   2019 – Blockchain-based digital identity Worldcoin was founded by him.   2020 – Founded OpenAI’s GPT-3, a part of an AI-related project   2023 – Launched Worldcoin’s token, expanding global crypto accessibility.   2024 – Advanced OpenAI’s blockchain integrations for AI transparency.   Chief Executive Officer who were present at the event.

A Clever Political Move?

Despite the TRUMP coin’s early success, many believe it’s part of Trump’s strategy to recover campaign spending.

Some think the memecoin hype will die down once clearer crypto regulations are put in place. Critics argue that investing in memecoins without regulations is like taking a gamble, with no real-world use behind them.

Regulations Pose a Key Challenge

As the TRUMP memecoin grows in popularity, it faces increasing scrutiny. Trump’s administration is reportedly planning to make cryptocurrency a national policy priority, with an executive order in the works. David Sacks has been named the crypto czar to lead these efforts.

However, the token’s rise could complicate ongoing efforts to pass crypto regulations. Analysts warn that the coin’s political connections may slow down progress on much-needed laws.

Industry Reactions

Even well-known figures like billionaire Mark Cuban are skeptical, saying the TRUMP coin is overhyped and could be a scam. Cuban believes that investing in such projects without clear regulations could hurt the credibility of the entire crypto market.

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What Next for $TRUMP?

Despite the controversy, the TRUMP memecoin is still gaining popularity. Platforms like Coinbase and Robinhood have seen the token trading at around $42, with an 8.7% increase in the last 24 hours. However, Trump’s changing comments and his apparent lack of interest in the token are causing unease among crypto investors.

Critics worry that the memecoin could give cryptocurrency a bad reputation, portraying it as a speculative gamble rather than a useful financial tool.

The memecoin’s launch is clashing with major tech and Finance development, including a $500 billion AI infrastructure project involving OpenAI, Oracle, and SoftBank. While the TRUMP token has brought attention to the crypto space, its long-term effects on the industry remain uncertain.