Donald Trump and his wife Melania Trump’s new cryptocurrencies have drawn criticism from cryptocurrency executives, who were expecting a more serious take on the industry by the new administration, Bloomberg reported.
The President-elect unveiled the Trump coin last Friday, and his wife Melania launched her “Melania” coin yesterday. The market value of the Trump coin rose to $15 billion before falling to less than $11 billion, as attention turned to the Melania coin, according to CoinMarket platform figures. cap.
The currency’s official website stated that 200 million meme units had been issued, and the company said that an additional 800 million units would be added over the next three years.
The value of the meme currency was about $51.11, in the latest transactions.
At that price, the 800 million memes still in the hands of Trump and his associates are worth about $40.88 billion.
You made a meme
Both Trump and Melania’s coins are classified as meme coins, or those that are influenced by ups and downs of social media signals.
The meme coin category is full of prank tokens like Dogecoin that offer little value with high volatility, which makes them divisive; It is fodder for criticism of the emerging sector as being too frivolous and risky for mainstream investors.
While Trump’s latest intervention in the cryptocurrency market heightened speculation about the sector’s performance as Bitcoin jumped to a new record hours before his inauguration, some executives said a currency bearing the president-elect’s name would do more harm than good to an industry trying to rebuild its reputation.
Trump’s new coin has generated a multi-billion-dollar windfall, at least on paper, for Trump-linked entities just as the incoming president is said to be considering an executive order designating the crypto asset class as a “national priority.”
Bloomberg quoted Rob Haddick, general partner at the cryptocurrency-focused venture capital firm Dragonfly Capital, as saying that Trump’s coins “have now become a scourge that we must work to get rid of as creators.”
The market value of Trump Coin reached slightly less than $10.62 billion, according to the latest transactions, according to data from the CoinMarketCap platform.
Lottery coin
Aside from the two cryptocurrencies of Trump and his wife, the sector was keen to focus on Trump’s expected steps to boost its growth on a broader scale after his inauguration, as cryptocurrency executives spent the past two years fending off a tough crackdown by the US Securities and Exchange Commission following the chaotic collapse of the platform. FTX Trading by Sam Bankman Fried.
In a post on the X platform, Balaji Srinivasan, an investor and former technical director at the US cryptocurrency exchange Coinbase Global, said that meme currencies are a zero-sum “lottery”, as “the price eventually collapses and the last buyers lose everything.”
In a separate post, Anthony Scaramucci, founder of SkyBridge Capital, noted that the launch of the Melania Coin caused a significant decline in the Trump Coin.
