Trump launched TRUMP coin, and it surged by 20,000% in less than 90 seconds

Recently, US President-elect Trump launched a personal meme coin TRUMP ($TRUMP), which has caused great shock in the field of cryptocurrency, and the market has also attracted widespread controversy.

On the morning of the same day, Trump launched the TRUMP coin on social media and invited the public to join the "Trump community." CoinGecko data show that the coin opened at $0.1824, then the price was fried, less than 90 seconds soared to $38.33, an increase of more than 20,000%, the current price is stable at about $37.80. The TRUMP coin is an artistic illustration of Trump's fist, symbolizing his strength and drive after the assassination attempt in 2024. However, in essence, it has no real economic value and is merely a speculative instrument.

The surge in the price of TRUMP coins has brought about a huge wealth effect. Rumor has it that an investor bought 5.97 million TRUMP coins for $1.1 million in the first 90 seconds, costing only $0.18. If he hadn't sold, the tokens would have been worth more than $200 million. As an "air coin" in the currency circle, the coin has received attention for its topicality and high circulation, but its extremely high speculative nature has also been criticized, and its value is driven by the heat of social media, attracting many small investors to blindly enter.

The legality and morality of the TRUMP coin have become the focus. The Citizens for Responsibility and Ethics Association, a U.S. nonprofit organization, questioned Trump's introduction of the TRUMP coin before his inauguration as a violation of the tradition that U.S presidential candidates should separate themselves from personal financial affairs, and expressed concern that he was trying to profit for himself through policymaking. In addition, 80 percent of the TRUMP supply is controlled by Trump-affiliated companies, a centralized model that has been widely criticized in the cryptocurrency space, with crypto venture capitalist Nick Tomeno arguing that it deprives the market of fairness and could hurt ordinary investors. Cryptocurrency industry insiders have also expressed concern, with Anthony Scaramucci, a former Trump communications director, saying Trump's actions have negatively affected the industry and further set back public trust in cryptocurrencies.

Trump has previously been unkind to cryptocurrencies, publicly criticizing the industry as a "hoax" and a "breeding ground for disaster" in 2021. However, during the 2024 presidential election, the crypto industry has become an important source of political donations. According to media coverage, Trump plans to sign an executive order after taking office to reduce the regulatory burden on cryptocurrency companies in order to promote the adoption of digital assets.

The crazy rise of TRUMP coin has attracted a large number of speculators, but the risk is huge. Coins are highly volatile and lack real value, often making profits for early investors and losses for later investors. Data shows that within 24 hours after the release of TRUMP coins, the number of encryption currency network burst over 200 thousand people, burst the amount of 500 million U.S. dollars. For the average investor, coin of coin may be a high-return opportunity, but it is more likely to be a costly gamble.

The emergence of the TRUMP coin is a sensation in the cryptocurrency market and a question of business ethics, market fairness and regulatory effectiveness. Investors should remain calm, rationally judge risks and benefits, and not be blindsided by the speculative rush.