Donald Trump’s cryptocurrency, called $Trump, has caused billions of dollars in losses for investors. Trump launched his meme coin, a type of cryptocurrency based on internet memes and celebrity figures, just three days before his inauguration.
“Join my very special Trump Community. GET YOUR $TRUMP NOW,” he posted on TruthSocial. The coin’s opening price was only 18 cents, but it quickly soared to $75. Early buyers who got in right away made big profits. One person even earned $109 million in just two days, according to a New York Times report.
However, the value of $Trump dropped sharply to about $17, leading to over $2 billion in losses for many other investors. A report by Chainalysis, a crypto forensics firm, found that over 810,000 crypto wallets had lost money from the coin.
Meanwhile, the Trumps walked away with over $100 million in trading fees, leaving countless investors holding the bag. Trump has also moved aggressively to limit government control over cryptocurrencies, making it easier for schemes like this to run unchecked.
Corey Frayer, a former crypto adviser to the Securities and Exchange Commission, criticized the president’s involvement in the project.
“The president is participating in shady crypto schemes that harm investors while at the same time appointing financial regulators who will roll back protections for victims and may shield him and his family from enforcement,” Frayer told the New York Times.
