The cryptocurrency market is experiencing a massive shock.

With the inauguration ceremony just around the corner, soon-to-be President Trump couldn't hold back and gave the crypto market a little jolt. On January 18, local time, Trump announced on social media the launch of his personal meme coin, TRUMP. This event marks the first time a sitting president has issued a personal meme coin, and the crypto world is once again witnessing a historic milestone.

Following the announcement, TRUMP coin saw explosive trading, with its price surging by as much as 1250% during the day, reaching $80, and its market capitalization exceeding $20 billion on the first day, setting one of the fastest growth records in cryptocurrency market capitalization. The rise of TRUMP brought significant wealth effects, with many participants making substantial profits, but the president's foray into coin issuance also sparked intense global discussions.

Coincidentally, this morning, First Lady Melania Trump also launched a meme token of the same name. From a real estate family to a crypto family? The president's intent to profit seems quite evident.

At 10:00 AM local time on January 18, Trump posted on his social media platform, Truth Social, announcing the upcoming launch of his personal meme coin, TRUMP. Users can visit the website "GetTrumpMemes.com" to purchase the token, accompanied by an image of his iconic raised fist.

At that time, due to the numerous incidents of celebrity account hacks in the crypto market, coupled with the absurdity of a president issuing a coin, many in the market believed Trump's social media account had been hacked. Nevertheless, the coin still experienced rapid growth, and within half an hour, its market capitalization soared to $2 billion, with the top 10 holders owning approximately 89.61% of the tokens, and the top address holding 80% of the tokens.

At 10:44, Trump posted on the X platform, with an image and wallet address that matched perfectly, captioning it, "It's time to celebrate our victory! Join my Trump community. Get your TRUMP tokens. Have fun!" This news invigorated the market.

The president's entry into coin issuance seems to have brought immense wealth to the crypto realm.

The presidential effect has limitless potential. The price of TRUMP coin skyrocketed, and subsequently, exchanges like Huobi and Bitget listed it. TRUMP surged from $20 to $74, increasing over 400 times, with its market capitalization climbing from $2 billion to $15.2 billion, setting one of the fastest market capitalization growth records. Currently, the frenzy surrounding TRUMP coin has cooled, with a price of $48.65.

According to the official website, TRUMP is issued on the Solana blockchain, and the token commemorates the moment on July 13, 2024, when Trump raised his fist and shouted the iconic battle cry "FIGHT FIGHT FIGHT" after surviving a shooting incident. The website also states, "This is the most unforgettable meme of the century."

To encompass a wide audience and lower investment barriers, TRUMP offers various payment and purchasing methods. Initial purchases must be made through Moonshot, but it supports traditional payment methods like Apple Pay, Visa, Mastercard, Venmo, as well as cryptocurrency payments like USDC and SOL.

From the token distribution perspective, TRUMP has a total supply of 1 billion tokens, but only 200 million will be in circulation initially, with the remaining 800 million expected to be unlocked linearly over three years. While this may seem unremarkable, the distribution ratio reveals the true beneficiaries. Two subsidiaries of the Trump Group hold an absolute share, with Trump's companies CIC Digital LLC and Fight Fight Fight LLC owning 80% of the TRUMP tokens, with a lock-up period of 3 to 12 months, unlocking over the next 24 months.

Similar to previous family DeFi projects, the official website again performed a sensitive separation, stating that GetTrumpMemes aims to express support and participation in the ideals and beliefs represented by the "TRUMP" symbol and its related artworks, and is not intended to be an investment opportunity, investment contract, or any type of security. It emphasizes that GetTrumpMemes is not involved in politics and is unrelated to any political campaign or any political office or government agency.

For the crypto market, this is a significant event following the indirect involvement of the presidential family in DeFi, with the president directly issuing a coin in his personal capacity, which has far-reaching implications. The issuance of a meme token by the president of a global superpower is a pioneering political event in the crypto market, likely to trigger a chain reaction in other countries and regions, opening new channels for political donations and personal profit. On the other hand, the president's participation also highlights his high recognition of cryptocurrencies. Given that this event occurs just before the inauguration, and considering that Trump will sign over 100 executive orders on the first day to advance priority matters, it is highly likely that the crypto market will be included, and the crypto market under the new term is undoubtedly promising, with a potential resurgence of the crypto spring in the next four years.

Moreover, the wealth effect brought by Trump's token is also astonishing. According to statistics from Planet, several whales made profits exceeding $10 million, and over 10 well-known KOLs in the Chinese community achieved single-token profits exceeding $1 million. The smart money at address 6QSc2 had already secured funds four hours before the TRUMP token release and purchased $1 million in the first minute, with floating profits exceeding $100 million at one point.

The red envelope effect is not limited to Trump; despite draining the entire market, this token still single-handedly boosted major related coins, with BTC rising from $97,000 to $105,000, and SOL becoming the biggest winner, rapidly surging past $270 late on January 18, with a nearly 24-hour increase of 23.02%.

Participants are reaping substantial profits, and Trump himself is no exception. With the rise in token prices, Trump's net worth skyrocketed to $28 billion overnight. As of now, based on a token price of $48, the value of the cryptocurrency he holds has reached $38.4 billion. Before this, Forbes estimated Trump's net worth at $5.6 billion last November, meaning his wealth has increased 7.8 times. In response, netizens have commented, "Three generations of asset accumulation can't compare to a single day's token distribution."

Faced with such soaring wealth, global markets have also raised questions about the president's coin issuance. As president, is it too unseemly to openly use personal influence to issue coins for profit? In contrast, most U.S. presidents disclose and divest personal assets before taking office to avoid potential conflicts of interest and ethical issues. Trump, however, has acted contrary to this norm, profiting through a zero-sum game with a seemingly worthless coin. This blurring of the lines between presidential administration and commercial interests has also sparked significant market discourse.

Jordan Libowitz, vice president of communications for the nonprofit organization Citizens for Responsibility and Ethics in Washington, pointedly criticized Trump for being overly self-serving, stating, "For decades, elected presidents have worked to delineate their personal financial affairs during this time before taking office to demonstrate that there are no conflicts of interest. Yet now, Trump is launching a new business project on the weekend before his inauguration and promising to relax regulations, clearly aiming to profit openly through the presidency."

Even in the crypto field, this behavior is not well-received. Nick Tomaino, founder of 1confirmation, bluntly stated, "This is predatory behavior, and many people may be harmed as a result." Anthony Scaramucci, a supporter of Trump, also clearly stated, "Trump's actions are detrimental to the industry; this is a form of corruption reminiscent of Idi Amin."

In fact, Trump's profit-seeking is not a new phenomenon. As a businessman, expanding personal influence into the commercial realm has been his hallmark. Whether it’s universities or hotels, naming them after Trump speaks volumes. He has also released NFTs and even claimed to make NFTs great again in his presidential candidate persona, then briefly engaged in DeFi, and now, as president, is issuing meme tokens. This pattern shows that profit-seeking has been woven throughout his political and business journey, and this time, it has sparked heated discussions due to the sensitive nature of cryptocurrencies. Observing his modus operandi, it is a true reflection of gathering and dispersing based on profit, with a distinct emphasis on personal priority alongside the "America First" foreign policy. An example is in the crypto field; had it not been for the need for crypto funds and votes, he would not have completely shifted to being the so-called "Bitcoin President" after heavily criticizing it in 2021.

It must be acknowledged that while political maneuvering is one thing, Trump has truly excelled at making money, with the low barriers to entry in crypto perfectly aligning with his high capital demands. After opening a completely controllable channel for crypto-style political donations, funds are continuously flowing in. In addition to MEME and NFTs, this morning, the WLFI that had been on sale for months was also sold out. According to the official website of the Trump family's crypto project, World Liberty Financial, all 20 billion WLFI tokens have been sold out, valued at $300 million based on a unit price of $0.015. After selling out, the project also seized the opportunity to announce a new sale of 5% of the tokens.

Not content with just his own involvement, the whole family is getting in on the action. Early this morning, First Lady Melania Trump also announced the launch of her MELANIA token. After Trump retweeted it, the effect of the crypto family became evident. MELANIA also experienced a surge, with its price rising from $0.4 to a peak of $18, reaching a maximum market capitalization of $18.2 billion, but both have since fallen back, stabilizing at a market cap of $7.2 billion.

From the token distribution perspective, MELANIA's approach is equally questionable, practically flaunting its intent to profit. The MELANIA team holds 35% of the tokens, with that share starting to unlock on the 30th day. After 30 days, 10% of the team allocation (3% of the total supply) will unlock, and 90% of the share will unlock linearly from the 2nd to the 13th month, with approximately 2.25% of the total supply unlocking each month, completing the full allocation by the 13th month.

With the whole family involved, the market is not naive. The impact of TRUMP was significant, causing the price to quickly drop back to $45. Market observation agency The Kobeissi Letter noted that within minutes of Melania launching her token, a large number of sell orders for Trump coins appeared in the market, leading to a $7.5 billion evaporation in TRUMP's market capitalization within 10 minutes. The evaporation effect is still fermenting, with altcoins plummeting, and SOL dropping to $242.

If yesterday it could still be considered that Trump's issuance of a coin was a special act of aligning with cryptocurrency, today, with the whole family involved, it becomes clear that whether or not to issue a coin is not important for the boundary-blurring Trump; it is merely one of the useful means of profit-making. Although there are suspicions of ethical issues, from the perspective of existing legal measures, the U.S. Constitution does not seem to restrict the president from using personal influence to gain benefits, especially in the realm of cryptocurrencies, where regulatory boundaries are still unclear.

From the perspective of the crypto market, celebrity memes have become commonplace, but the ultimate outcome of celebrity memes often ends up in chaos; being early to see and quick to exit is the key to success. Of course, Trump may consider that his reputation and public approval could allow the token to continue long-term, but regardless, this move has truly brought political memes to the forefront. It is foreseeable that in the future, political participants and even leaders from other regions will increasingly issue memes, and the narrative of Politifi will usher in a new peak. Just at noon Eastern Time on January 20 (1 AM Beijing Time on January 21), Trump's inauguration speech will officially begin, and the hype and frenzy will set sail once again.

But whether this is a new round of wealth frenzy or a grand feast for retail investors remains to be seen.

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