International Desk:
After Donald Trump, the future First Lady Melania Trump has launched a cryptocurrency. On the eve of Donald Trump’s inauguration, she announced the launch of this digital currency in her name in a post on social media. Melania also followed suit a day after President-elect Donald Trump launched a cryptocurrency in his name ($Trump). However, despite the increase in the value of these two digital currencies, there has been instability in transactions.
Earlier, when Donald announced the launch of a cryptocurrency in his name, its market value quickly reached several billion dollars. A meme coin was released in Trump’s name on Monday (January 20), local time, before preparing to take office as the 47th US president.
The initiative has come to several markets under the name of a company called CIC Digital LLC. The company has previously sold Trump-branded shoes and perfumes. Meme coins are usually used to popularize a viral internet trend or a movement. However, they have no intrinsic value and are highly uncertain investments.
Within hours of its launch on Friday night, $Trump’s market cap had reached nearly $5.5 billion, according to CoinMarketCap.com. CIC Digital LLC and Fight Fight Fight LLC, a Delaware-based private equity firm founded earlier this month, hold 80 percent of the tokens. It’s not yet clear how much money Trump will make from the venture.
The token’s website says that about 200 million tokens have already been issued and another 800 million will be issued over the next three years. The total market cap of the cryptocurrency in Trump’s name is estimated at $8.7 billion, while the total market cap of the cryptocurrency launched in Melania’s name is estimated at about $1.3 billion.
The website also states that the coin is not an investment opportunity or security and is not associated with any political campaign, political office or government agency. Critics have accused Trump of taking financial advantage of his presidency through the venture.
Crypto venture capitalist Nick Tomaino wrote in a post that Trump’s 80 percent ownership and launching it just hours before his inauguration is a fraud and will hurt many. Trump had previously labeled cryptocurrency a “scam.” Although he was against cryptocurrency, Trump’s attitude changed completely before the 2024 presidential election, when he became the first presidential candidate in history to accept campaign donations in digital assets.
Such digital tokens often cause market volatility, driving up prices. The underlying shares are then sold off. Late buyers often suffer huge losses. Cryptocurrency investors are hoping the Trump administration will boost the industry.
President Joe Biden’s regulators have cracked down on crypto companies, citing concerns about fraud and money laundering. Trump, however, has previously been skeptical of crypto. Last year, at a Bitcoin conference in Nashville, he said that America would be the “crypto capital of the world” after returning to Washington. Earlier this year, Trump’s sons Eric and Donald Jr. announced their own crypto initiatives.
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