President-elect Donald Trump has introduced $TRUMP

President-elect Donald Trump has introduced $TRUMP, his own cryptocurrency, days before his inauguration as the 47th U.S. president. The meme coin, coordinated by CIC Digital LLC—a Trump Organization affiliate known for branding ventures like shoes and fragrances—saw its value skyrocket to $5.5 billion hours after its launch, according to CoinMarketCap.

Meme coins, often tied to viral internet trends, are highly volatile and lack intrinsic value. CIC Digital LLC and Fight Fight Fight LLC own 80% of the tokens, sparking criticism about potential profiteering. Crypto investor Nick Tomaino labeled the launch “predatory,” warning of risks for buyers.

Trump announced the coin on Truth Social, stating, “My NEW Official Trump Meme is HERE! It’s time to celebrate everything we stand for: WINNING!” The website claims the project is apolitical and not an investment opportunity. About 200 million tokens have been issued, with 800 million more set to roll out over three years.

Critics argue that $TRUMP exploits speculative hype, a hallmark of risky meme coins often leading to financial losses for late investors. Despite previous skepticism toward cryptocurrency, Trump has since pledged to make America the “crypto capital of the planet.”

As Biden’s administration cracked down on crypto over fraud concerns, investors hope Trump’s leadership will foster growth and regulatory clarity. However, the timing and structure of $TRUMP have left many questioning its ethical and financial implications.

Source: BBC News