$TRUMP coin rockets to $10 billion as Trump ushers in 'crypto golden age'

Trump-backed crypto ventures fuel market buzz, raising $1 billion in token sales and propelling Bitcoin to $104K, as $TRUMP hits $10 billion valuation

As Donald Trump begins his second term as President of the United States (US), Trump-backed cryptocurrency ventures are causing ripples in the digital finance sector. On Monday, World Liberty Financial (WLF), a Trump-associated blockchain initiative, revealed it had secured $1 billion in funding through token sales. Meanwhile, Trump’s new meme coin, $TRUMP, surged to a market valuation exceeding $10 billion, capturing significant attention among investors and meme coin enthusiasts.

 

Trump’s crypto era begins

 

WLF, a cryptocurrency venture launched just two months before the US election by Donald Trump, his sons, and Middle East special envoy Steve Witkoff, has quickly made its mark in the crypto space. The announcement of its success coincided with Trump’s pledge for a ‘golden era’ for cryptocurrencies, presenting a contrast to the regulatory approach seen under Joe Biden’s administration.

 

 

Adding to the crypto frenzy, the $TRUMP meme coin debuted on Friday night at the first-ever Crypto Ball in Washington, DC, held alongside inauguration events. The coin saw a rapid increase in value, climbing from under $10 on Saturday to a peak of $74.59 by Monday before stabilising. 

Also Read: Donald Trump inauguration LIVE updates

 

Melania joins the crypto revolution

 

Melania Trump also entered the crypto arena with her own coin, $MELANIA, which launched on Sunday. The coin’s rapid rally pushed its market value past $1 billion, signaling a strong appetite for Trump-branded digital assets.

 

Both coins are tied to Trump-affiliated entities. Four-fifths of $TRUMP tokens are owned by CIC Digital, a Trump business affiliate, and Fight, Fight, Fight, a group promoting its ideological values. The $TRUMP website insists these coins are “an expression of support” rather than an investment vehicle.

 

Critics and concerns 

While Trump’s foray into cryptocurrency has drawn attention and excitement, it has also sparked ethical and regulatory concerns. 

Crypto analyst Justin D’Anethan cautioned, “The launch of the official Trump token opens a Pandora’s box of ethical and regulatory questions.” Similarly, cryptocurrency lawyer Preston Byrne predicted legal challenges ahead, noting, “Someone will lose money, some lawyer will come up with a theory, and file.”

 

Crypto market on a high 

The buzz surrounding Trump’s crypto ventures contributed to a broader market rally. Bitcoin surged to $104,031 on inauguration day, with a 7 per cent rise so far this month. The Solana blockchain, where both $TRUMP and $MELANIA were created, hit an all-time high of $294.33 over the weekend.

 

Excitement over the new meme coins and the promise of looser crypto regulations under Trump’s administration has fuelled investor enthusiasm. Grzegorz Drozdz, a market analyst at Conotoxia Ltd said, “The cryptocurrency market gained additional popularity due to the launch of the TRUMP and MELANIA cryptocurrencies.”

 

Blurred lines of politics and crypto 

The rapid rise of Trump-linked crypto has sparked debate over the intersection of politics and speculative finance. “Should public figures, especially those with such political clout, wield this kind of sway in speculative markets? Regulators are unlikely to ignore this,” D’Anethan said.

 

Despite the criticism, Trump Jr celebrated the coin’s success on social media, calling $TRUMP the “hottest digital meme on earth” and proclaiming WLF as the “future of finance.”

 

[With inputs from Reuters]