Trump and Melania's Memecoin Project: Strategic Timing, Controversy, and Market Response

In a shocking move that rocked the world of cryptocurrency and politics, Donald Trump and Melania Trump have launched their respective memecoins, $TRUMP and $MELANIA, just days before the presidential inauguration on January 20. The timing of this launch is seen as a strategic move to avoid potential constitutional violations and impeachment risks while stirring heated debates about ethics, greed, and market manipulation. The explosive launch of Memecoin $TRUMP Memecoin $TRUMP was launched at a grand “crypto party” in Washington, DC on January 18th. In just a few hours, the value of this token skyrocketed over 10,000%, reaching an incredible market capitalization of over $15 billion. The success of this launch was due to strategic planning and the hype surrounding Trump’s return to the presidency, amplified by the exclusive nature of the launch event. Zack Guzman, founder and host of Coinage, notes that at this time it is necessary to avoid constitutional violation. Guzman explains that launching tokens before Trump’s inauguration prevented potential allegations of self-enrichment through abuse of power, particularly in violation of the Emoluments Clause, which prohibits the President from receiving profits or benefits from foreign entities. The birth of $MELANIA and the collapse of the market Memecoin $MELANIA, launched right after $TRUMP, is positioned as an entertainment and collectibles token. Its token distribution highlights a calculated structure: 15% for public distribution, 20% for community participation, 10% for liquidity, 35% for team ownership, and 20% for treasury allocation. A 10 million token $MELANIA airdrop is currently taking place and attracting attention. However, the successive launches have raised doubts and controversies. Ryan Selkis, former CEO of Messari, criticized the decision to release $MELANIA too soon after $TRUMP, citing poor advice and significant damage to reputation. The market reflects his viewpoint, with the value of $TRUMP plummeting by 60% after the launch of $MELANIA. Critics like Jim Bianco of Bianco Research have accused Trump of greed, believing that the rapid launches signal plans for a series of similar tokens, such as $IVANKA, $BARON, or $MARALAGO, undermining investor confidence. Motivation and the Accusation of Greed Some experts in the industry believe that the consecutive launches stem from the insiders’ underestimation of the initial success of $TRUMP. José Maria Macedo of Delphi Labs argues that the group behind these coins may have found a way to capitalize on the growth momentum, releasing $MELANIA to ensure the profits they missed out on during the price surge of $TRUMP. Critics accuse Trump’s inner circle of prioritizing personal gain over the community, pointing out the rushed and secretive nature of the launches. Trump’s income and concerns about ethics Public tax records reveal that Trump has earned $7.2 million from NFT-related projects, while Melania has received over $300,000 from her own NFT deals. These earnings, along with the rapid success of meme coin launches, have raised ethical questions about leveraging political influence for financial gain. Observers like Guzman argue that Trump’s inner circle orchestrated launches to amass millions, capitalizing on the cryptocurrency industry without transparency. Reactions of the Cryptocurrency Community The launch of memecoin has highlighted the division within the cryptocurrency community. While some praise Trumps for creatively leveraging blockchain technology, others condemn the move as exploitative and damaging to the credibility of the emerging industry. The secrecy surrounding the launches and their clear focus on enriching those involved have sparked debates about fairness and decentralization in the world of cryptocurrencies. Conclusion The Memecoin $TRUMP and $MELANIA symbolize both the potential and pitfalls of cryptocurrencies in the political arena. Their strategic timing protected Trump from constitutional challenges, but the controversy surrounding their rapid issuance highlights concerns about ethics, greed, and market manipulation. As the dust settles, the Trumps’ foray into memecoins serves as a cautionary tale of the intersection between politics and emerging technologies.