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Quick Read: TRUMP coin, linked to President-elect Donald Trump, lost $6 billion in value after Melania Trump launched her own cryptocurrency, MELANIA, which quickly reached a $12 billion valuation. Market experts noted inconsistencies in MELANIA’s token allocation and security. This memecoin rivalry coincides with Trump’s plans to boost U.S. crypto innovation under his administration.
TRUMP, the official meme coin linked to President-elect Donald Trump, faced a sharp decline in value, dropping over 40% shortly after Melania Trump unveiled her own meme coin, MELANIA.
On Sunday, TRUMP was trading at around $72 but fell to under $39 by the evening, according to data from CoinGecko. This dramatic sell-off wiped $6 billion off TRUMP’s market value, which had peaked at approximately $14.5 billion earlier in the day. The drop caused TRUMP to lose its position among the top two meme coins by market capitalization, allowing Shiba Inu (SHIB) to reclaim second place.
Earlier in the day, TRUMP had surpassed both SHIB and PEPE, briefly entering the top tier of meme coin rankings. Despite the setback, TRUMP is currently valued at around $46, representing a 68% increase over the past 24 hours. Since its launch on Friday evening, the “official” TRUMP memecoin has gained significant traction, reaching a peak market capitalization of $14 billion.
Melania Coin Steals the Spotlight
The situation changed dramatically when Melania Trump launched her own cryptocurrency. As leaks suggested that Donald Trump is preparing a series of crypto-focused executive orders, Melania introduced the MELANIA token, triggering a major shift in the market.
“The official Melania meme is live,” she announced on X, providing a link to the cryptocurrency’s website. “You can buy $MELANIA now.” She also promoted the coin on Truth Social, and the endorsement gained legitimacy after Donald Trump retweeted her announcement.
The Solana-based meme coin achieved a valuation of $12 billion within just three hours of its launch, according to Dexscreener data.
Key Details About MELANIA Coin
According to the MELANIA project’s official website:
- 35% of the token supply is allocated to the team.
- 20% each is allocated to the treasury and community.
- 15% is reserved for the public.
- 10% is set aside for liquidity.
However, blockchain analytics platform Bubblemaps revealed that 89% of the token supply was initially held by a single wallet before being divided into four wallets. This distribution did not match the allocation breakdown on the project’s website.
Blockchain Experts Weigh In
Experts have pointed out inconsistencies between the TRUMP and MELANIA projects. Blockchain engineer Cygaar criticized the MELANIA token, describing it as an attempt to “grift.” He noted that the associated website lacked proper construction and security, unlike the TRUMP coin’s well-developed platform.
Conor Grogan, Coinbase’s head of product business operations, observed that the wallet managing MELANIA’s creation had been active on the memecoin launchpad Pump.fun and was not a multisignature wallet, unlike the TRUMP token’s setup.
Crypto Innovation Under the Trump Administration
The Trump family’s foray into memecoins coincides with President-elect Trump’s appointment of David Sacks as the crypto and artificial intelligence czar. At a recent “crypto ball” event, Sacks declared the beginning of a new era for U.S. crypto innovation.
“The reign of terror against crypto is over, and the age of innovation in America has begun,” he stated, emphasizing the administration’s commitment to fostering growth in the crypto space.
