Donald Trump has entered the cryptocurrency scene with the launch of his $TRUMP token. The token, built on Solana's blockchain, caused a crypto frenzy on its first day: its value jumped by 300 % in 24 hours. But is it a legitimate innovation or just a short-term political game with a taste for financial speculation?
Donald Trump never seems to miss an opportunity to make headlines. But this time he's gone a step further - he's packaged his political and business legacy into 200 million digital tokens, which he simply calls $TRUMPAs his team claims, the token is intended to “connect global patriots” and “promote a free economy.”
While Trump’s policies have often sparked debate in the past, the $TRUMP token has stirred up a whole new realm: cryptocurrencies. Its debut on Solana’s blockchain came just days before his second presidential inauguration – a coincidence? From an initial price of $0.18, it reached almost $29 in 24 hours, sending its market cap soaring to a staggering $5.73 billion.
Trump said at the token launch: “There has never been a better time for cryptocurrencies, and of course, for America to lead the world again!” But is it really a revolution or just political PR?
Saltworks, speed and 300% profits
The choice of Solana blockchain for the $TRUMP token is no coincidence. Solana allows for up to 65,000 transactions per second and is known for its low transaction fees – a key factor when trading digital assets like $TRUMP.
According to data collected on the first day of trading, more than 49,800 investors participated, with one of them making an incredible $20 million in just a few hours! But before you reach for your savings, a word of caution: analysts warn that this could be a classic “pump-and-dump” scenario – a technique in which creators artificially inflate the value of an asset, then quickly sell it for a profit, leaving investors stuck with a loss.
Political controversy and token centralization
Although the project website clearly states that $TRUMP is not affiliated with his political campaign or the government, many see the timing of the launch as too strategic to be a coincidence. Furthermore, the project’s structure has raised red flags among many cryptocurrency experts.
As much as 80% of all % tokens are controlled by the Trump Organization and its affiliated companies CIC Digital LLC and Fight Fight Fight LLC, raising questions about centralization and lack of transparency.
Another crypto crash on the horizon?
If the history of cryptocurrencies teaches us anything, it’s that “big and bombastic” projects are often full of promise but few results. From BitConnect to OneCoin, Quadriga CX, and the Squid Game token – almost every one of these projects initially presented itself as an innovation, but ultimately became synonymous with fraud.
Trump's story seems familiar: lots of promises, connections with famous names, and an invitation to the masses to a "historic opportunity." Unfortunately, these are often also signs of a potential financial trap.
What do the experts say?
Many experts are already warning that the $TRUMP token could be more of a political maneuver than a serious cryptocurrency. Its value is based primarily on Trump's visibility and marketing, while its actual utility remains unclear.
At the same time, there is an even bigger question: how will the Trump administration, if it returns to the White House, shape cryptocurrency regulation? Can its token serve as an example or a warning for future projects?
Conclusion: Cryptocurrencies – future or risk?
The $TRUMP token is a perfect example of how politics and cryptocurrencies are intertwined in ways that are not always transparent. While the growth in value in the first 24 hours is impressive, the question is whether this growth is sustainable or just a temporary scam that many investors will view as a bitter lesson.
Best advice? Take the time to do your research before you invest your money – even if the name on the token is Trump. In the world of cryptocurrency, as in politics, not all that glitters is gold.
Footnote: This article was created based on publicly available information and expert opinions. Investors are advised to exercise caution in all investment decisions.
