President-elect Donald Trump launched a meme coin called TRUMP on Jan. 18, of which he owns 80% of the supply unlocking throughout his presidency, triggering a weekend frenzy of activity.
Initially, most assumed that Trump’s social media had been hacked. However, as the day went on, it became clear the project was real, and the incoming President-Elect of the United States had, in fact, launched a memecoin in the middle of the night the weekend of his inauguration.
The announcement first appeared on Trump’s social media accounts, including Truth Social and X. The project’s stated goal is to celebrate a leader who, according to the official website, refuses to yield under pressure.
TRUMP enters top 20 tokens globally
The launch saw a rapid token price surge from pennies to over $50 within 24 hours, and its market capitalization climbed to nearly $15 billion, placing TRUMP among the top 20 digital assets.
As Politico, Coffeezilla, and others reported, the coin is managed by CIC Digital LLC, a Trump Organization subsidiary that holds 80% of the total tokens in conjunction with Fight Fight Fight LLC.
One billion TRUMP tokens were minted, with 20% of the supply in circulation. Trump and his team will release tokens over the next three years, meaning they will be able to extract the entire value of the token while he is in office.
As of press time, TRUMP has a market cap of $11.7 billion and a fully diluted value (value of all tokens that can be released) of $58.8 billion. With 80% under Trump’s control through CIC Digital, it represents a $47 billion haul.
Forbes reported his net worth at around $5 billion before this weekend. While it is unclear how much of the 80% is directly owned by President Trump himself, he has grown his paper net worth by almost 10 times.
For context, 80% of the circulating supply would equate to around $9.6 billion, with the token currently at around $57.
Memecoins and presidents
For the majority of new memecoins, it would be prudent to note the low liquidity of the token, indicating it may be difficult for a whale to cash out. However, TRUMP has had over $55 billion in volume over the past 24 hours, so liquidity is not a big issue.
However, as with any centralized token, the concentration of ownership is a risk factor for holders as it makes the token vulnerable to manipulation or unanticipated price shifts.
Trump has pledged to strengthen the United States’ position in the crypto sector, asserting it would become the global epicenter of digital assets. Launching a memecoin aligns with this narrative for those who believe memecoins are a legitimate on-ramp for new users that excel at building communities.
As BBC reported, ethics watchdogs have voiced concerns about possible conflicts of interest, particularly given Trump’s imminent move into the White House.
The launch sparked further debate when incoming First Lady Melania Trump introduced a separate meme coin called MELANIA. Some argue this disrupted the TRUMP market and caused a 50% price drop before partial recovery. However, Bitcoin also fell during this time as the Asia markets opened for the week.
Supporters view the TRUMP token as an indication of free-market principles, while critics argue it exploits brand recognition and raises ethical questions about presidential policymaking. AP reported that regulators may examine this model more closely, particularly if foreign entities gain large token positions. However, Trump takes office in a few hours and said regulators are already in his sights.
The TRUMP token continues to generate debate as Trump prepares for his inauguration today. A Polymarket for predicting the FDV of TRUMP during his inauguration has already surpassed its top estimate of $15 billion+ with 94% certainty.
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