The launch of the Cryptomoned $ Trumpbacked by the president of the United States, has generated an unexpected gain of U $ 350 million in its first three weeksaccording to an analysis of Financial Times. However, the project has not only drawn attention to its benefits, but also for the possible conflicts of interest that it could represent.
Trump’s memecoin, launched on the Solana network, is a token without practical utility whose value depends exclusively on speculation. Despite this, he has been directly promoted by the president and his wife Melania Trump, generating questions about the ethics of its commercialization while Trump occupies the White House again.
According to Blockchain data analyzed, the funds obtained came from the sale of tokens through various platforms, including Binance and Bybit. In their first phase, 200 million currencies were put into circulation, while another 800 million are scheduled to be sold in the next three years.
Controversy and risks to investors
Trump’s support for cryptocurrency has been blunt. In January, he used his X account to encourage investors to buy $ Trump, which promoted their price up to a maximum of Us for Token. However, since then the currency has suffered an 82%drop, currently being around US $13.
Experts in the sector have warned about the danger of these fluctuations for small investors. “The president of the United States should not benefit financially from his position in this way,” said Tim Massad, a law professor at Georgetown and former official at the Trade Commission of Futures of Raw Materials.
Price manipulation and control strategies
The team behind the currency seems to have tried to stabilize its price. After the $ Trump collapse, they spent US $ 1 million in repurchases to stop the fall, according to Financial Times. Nicolas Vaiman, CEO of Bublemaps, explained that this practice is common in the crypto ecosystem: “Using the treasury itself to sustain the price is a common strategy.”
The official website of the cryptocurrency states that the project is operated by the Fight Fight Fight company and that it is not directly administered by Trump or its organization. However, critics argue that their promotion and marketing directly benefits the president and could function as a way to channel anonymous donations.
The impact on the crypto ecosystem
Trump’s movement could mark a precedent at the intersection between politics and cryptocurrencies. His administration has shown strong support to the sector and plans to receive industry leaders in the next few days. Meanwhile, Trump’s volatility and their connection with the president generate uncertainty among investors and regulators.
Although Financial Times estimates that the profits of US $ 350 million could be even greater due to operations outside the block chain, the truth is that the Trump phenomenon has revived the debate on regulation and transparency in the crypto market.
Source: Ambito
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