Donald Trump’s memecoin generated $350M for creators: Report

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President Donald Trump’s cryptocurrency task has generated astatine slightest $350 cardinal successful gross from the motorboat of the Official Trump (TRUMP) memecoin, according to a caller investigation by the Financial Times.

Entities progressive successful operating the TRUMP memecoin person earned astatine slightest $314 cardinal from token income and $36 cardinal from fees connected the Solana blockchain, the FT reported connected March 7.

While Trump’s idiosyncratic profits stay unclear, the memecoin’s authoritative website, Gettrumpmemes.com, states that The Trump Organization-affiliated CIC Digital and Delaware-based Fight Fight Fight collectively ain 80% of the tokens.

The Financial Times calculated net by tracking the travel of tokens from their instauration into authoritative wallets and past pursuing their placement for merchantability connected Solana-based trading platforms, according to the report.

How galore Trump memecoins are there?

Trump launched his TRUMP memecoin days earlier his White House instrumentality connected Jan. 20.

The motorboat progressive minting 1 cardinal TRUMP tokens, with the archetypal 200 cardinal released successful the archetypal memecoin batch and the remaining 800 cardinal acceptable to beryllium released implicit the adjacent 3 years.

According to the FT report, 158 cardinal tokens were deposited into a liquidity pool, which allowed traders to bargain the memecoins connected the unfastened marketplace successful speech for Circle’s USDC (USDC) stablecoin.

Sales and buys constituent to alleged terms manipulation

According to the FT analysis, the Trump-linked accounts sold the archetypal 100 cardinal Trump tokens the time aft the memecoin’s motorboat astatine a terms beneath $1.05.

The investigation suggested that aft withdrawing the archetypal USDC earned from the sale, Trump wallets subsequently placed $291 cardinal successful USDC backmost into different liquidity excavation successful an evident effort to enactment the market.

“The strategy is apt to person made much wealth from different transactions,” the study mentioned, adding that the pools besides sent astir 14.7 cardinal Trump tokens to 10 exchanges, including Binance, Bybit and Coinbase.

The FT besides recovered that the Trump accounts spent $1 cardinal connected buying their ain token astatine $33.2 connected Jan. 19 and Jan. 20 to stabilize the terms amid the TRUMP diminution pursuing the motorboat of Melania Trump’s MELANIA memecoin.

The terms of TRUMP has since plummeted 82% from its highest of $75 connected Jan. 19. Despite this, the 831 cardinal TRUMP tokens inactive held by Trump-affiliated accounts are estimated to person a notional worth of $10.8 billion, according to the report.

Potential enactment against statesmanlike memecoins

The TRUMP memecoin has emerged arsenic 1 of the astir discussed topics successful the crypto assemblage recently, peculiarly owed to allegedly triggering 700 copycats and perchance contributing to the Libra token scandal, promoted by Argentine President Javier Milei.

House Democrat Representative Sam Liccardo has publically criticized the sole conception of statesmanlike memecoins, proposing draught authorities to ban officials and their families from specified enactment successful precocious February.

On March 5, Assemblymember Clyde Vanel besides introduced a measure establishing criminal penalties for memecoin rug pulls successful an effort to support investors.

In the meantime, fiscal regulators similar the Securities and Exchange Commission person reiterated that memecoins don’t autumn nether securities laws, directing their regularisation to different authorities.

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