Donald and Melania Trump debuted meme coins, $Trump and $Melania. Here’s what to know.
President Trump has vowed to turn the United States into the cryptocurrency capital of the world, and he’s getting a head start on those plans by launching new his and her meme coins. $Trump and $Melania Coins – Weekends. As of Monday afternoon, the day Mr. Trump was inaugurated inauguration ceremonythe two digital currencies are worth a total of $9.5 billion.
Meme coins have no economic or transactional value and are cryptocurrencies related to Internet trends such as Dogecoin, which were inspired by Shiba Inu image. Dogecoin became the favored cryptocurrency of billionaire Elon Musk, who even named his federal cost-cutting organization, the Department of Government Efficiency, after it.
Mr Trump Announce His Cryptocurrency wrote on social media on Friday night that the coin celebrates “everything we stand for: Victory!” The meme coin is marketed as a photo of Trump with a raised fist superimposed over “FIGHT FIGHT FIGHT” was added, referring to Trump’s response to an assassination attempt at a political rally in July.
On Sunday, Melania Trump announced her own meme coin, which features a black-and-white photo of the first lady smiling with her hands clasped in front of her face, as if to express gratitude.
Joe McCann, CEO of digital asset investment firm Asymmetry, pointed out that the new meme coin is a way for Trump to leverage his online popularity and attract supporters to participate in the project. These products, like Trump’s social media companies, tend to attract individual investors rather than large institutional U.S. companies, which buy shares to express support for the president.
“Meme coins very much represent the internet community as a financial asset – they are the tokenization of internet culture,” McCann told CBS MoneyWatch. “Donald Trump is arguably the most popular person on the internet, so by launching a meme coin, members of his community can gain further access to him.”
Mr Trump has been trying to Use his name to make money Works with numerous commercial ventures, from a non-fungible token (NFT) licensing deal that earned him $7.2 million, to $59.99 Bible This earned him $300,000 in royalties. He also recently launched the Trump brand sneakersUnder the banner of “fight, fight, fight” perfume and watch.
Here’s what you need to know about Trump coins.
How much is a Donald Trump and Melania Trump meme coin worth?
As of Monday afternoon, the Trump meme coin had a market capitalization of $8.3 billion, while Melania Trump’s cryptocurrency was valued at $1.2 billion, according to CoinMarketCap.
Mr. Trump’s meme coins soared upon launch, peaking at nearly $75 each. But the price has since fallen about 45%, stabilizing at around $40 per coin on Monday afternoon. CoinMarketCap data shows that this is still an increase of more than 400% from the original price.
Melania Trump’s meme coins had a slightly volatile debut, falling more than 20% on Monday to about $5.40 each.
Are $Trump and $Melania real investments?
The Trump Meme Coin website says the president’s cryptocurrency is a show of support, not an investment opportunity.
Melania’s website describes meme coins as “digital collectibles,” adding that they are “not intended to be the subject of any type of investment opportunity, investment contract or security or security of any kind.”
Investors typically scrutinize balance sheets and income statements when deciding where to allocate funds, while currency traders examine economic factors such as trade flows and GDP growth when investing. But experts point out that relying on these traditional measures doesn’t work for memecoins because they have nothing to do with the underlying asset or economy.
“Trying to use traditional financial models to estimate the value of memecoins will fail miserably,” McCann noted. “Business schools don’t teach students how to measure culture, virality, or community.”
Are meme coins risky?
Meme coins are a highly volatile corner of the cryptocurrency industry, often starting out as a joke and having no intrinsic value, although their price could skyrocket if enough people are willing to buy them. Because of these dynamics, their prices are prone to sudden and extreme fluctuations.
“Meme coins are one of the most volatile assets on the planet and should be treated with caution,” McCann said.
The website that sells Trump coins warns buyers that their prices “may be extremely volatile and you may incur significant losses as a result of the sale or other disposition of Trump memes.”
Nigel Green, CEO of wealth management company deVere Group, pointed out in an email that Meme coins have gained popularity in 2021 and 2022, but some inexperienced investors are unprepared for the extreme volatility of digital currencies. Therefore, he advises investors to be cautious before putting money into Trump meme coins.
How to buy Trump and Melania meme coins?
Meme coins can be purchased on an app called Moonshot, which allows people to purchase Meme coins through Apple Pay, a credit or debit card, cryptocurrency, or payment apps like PayPal and Venmo.
The Trump Meme Coin website states that all transactions “are final and non-refundable. We are not responsible for any Trump memes that are lost, misplaced, or inaccessible.”
What’s the cryptocurrency industry’s perspective?
Some cryptocurrency enthusiasts welcomed the release of the Trump meme coin, saying it reflected the president’s support for an industry that feels unfairly targeted by the Biden administration. Mr. Trump has promised to introduce cryptocurrency-friendly regulations and select cryptocurrency supporters for key government positions.
For example, Trump’s nomination of cryptocurrency supporter Paul Atkins to serve as chairman of the U.S. Securities and Exchange Commission has heightened optimism that the new president will ease regulations on the industry.
Other cryptocurrencies are appreciating on expectations that a second Trump administration will benefit the industry. For example, Bitcoin has surged more than 50% since the November election, surging to an all-time high of $109,241 before Trump was elected. inauguration ceremony.
contributed to this report.
