US President Donald Trump has launched two meme coins, $Trump and $Melania, which have already gained significant value, reaching a combined worth of $9.5 billion as of Monday afternoon. The coins are linked to internet trends and have no economic or transactional value.
Trump announced the launch on social media, stating that the coin celebrates “WINNING!” The meme coin features a picture of Trump holding a fist up with the words “FIGHT FIGHT FIGHT” superimposed over it. Melania Trump later launched her own meme coin, featuring a black-and-white photo of herself smiling and clasping her hands.
The coins are being marketed as a way to leverage Trump’s online popularity and draw in individual investors, rather than large institutional firms. The CEO of Asymmetric, a digital assets investment firm, noted that meme coins represent communities on the internet represented by a financial asset.
Trump has monetized his name with numerous commercial ventures, including NFTs, sneakers, perfume, and watches. The value of the $Trump coin has surged from its initial price, but its value has shed 45% since then, settling at around $40 per coin. Melania Trump’s meme coin has had a slightly rocky debut, sinking more than 20% to about $5.40 per coin.
Meme coins are highly volatile and should be treated with caution due to their sudden and extreme price swings. Experts warn that attempting to use traditional financial models to value these coins will fail miserably.
The Trump meme coins can be bought on an app called Moonshot, which allows people to purchase them using various payment methods. However, the website notes that all transactions are final and non-refundable.
Some crypto enthusiasts hail the Trump meme coin’s release as a reflection of the president’s support for the industry, which feels unfairly targeted by the Biden administration. Others have seen Bitcoin’s value surge in anticipation of potential deregulation under a second Trump administration.
Source: https://www.cbsnews.com/news/donald-trump-melania-meme-coin-cryptocurrency-what-to-know