Melania Trump has made waves in the crypto industry by launching her own meme coin, MELANIA, just days after her husband launched his TRUMP token.
Within hours of its launch, MELANIA reached a valuation of over $8 billion, sparking both excitement and suspicion in the crypto community.
TRUMP Token Drops After MELANIA Launches
In a post on X on January 20, Melania Trump announced that the official MELANIA meme is live. According to Dexscreener, MELANIA was trading at $8.04 at press time and had a market cap of over $8 billion.
TRUMP, the token launched by Donald Trump on January 18, had experienced a meteoric rise in value earlier. But the token saw a dramatic drop as soon as the MELANIA token debuted.
At its peak, TRUMP’s market cap was $15 billion. However, its price fell soon from $74.60 to $49.29 at press time, erasing nearly $5 billion from its market cap.
Amidst all this, Analyst Zack Guzman shared his thoughts on Twitter, offering a possible explanation for the swift launches of both tokens.
“There is a very important reason why the Trumps are launching TRUMP and now MELANIA so fast before the inauguration. And whether you love Trump or hate Trump, the fact is that waiting another day could’ve opened him up to Constitutional violations & impeachment (again),” Guzman said.
He suggested that the Trumps were racing against time before any potential legal or constitutional issues could arise. Guzman added that the US Constitution prohibits any president from “abusing his office to enrich himself.”
Additionally, a website for the MELANIA meme coin, shared by Melania Trump on X, showed that the meme coins are not an “investment opportunity.” It said the meme coins are intended to be an “expression of support.”
Nevertheless, there were initial concerns about the token being a scam, with several saying that Melania’s X account was hacked. Conor Grogan from Coinbase, however, said, “very unlikely the Melania token is a rug.”
“My guess is that this token was handled by a different team than TRUMP’s. That one looks like professional market makers, this one honestly looks like a college kids,” he added.
Guzman shared his personal experience with the volatile nature of the transactions as well.
“Fairly certain my transaction on @RaydiumProtocol just completely evaporated after everything failed on @JupiterExchange. $SOL is gone but nothing else to be found. Weirdly not even a transaction onchain. Is this shit real?”
His frustration mirrors the skepticism surrounding the legitimacy and reliability of the tokens. Moreover, Messari founder Ryan Selkis called on Trump to fire whoever initiated the MELANIA project.
“1. They don’t know what they’re doing. 2. They cost you a lot of $ and goodwill. 3. They don’t have your interests in mind,” Selkis explained on Twitter.
As the Trumps continue to experiment with the meme coin market, the rapid shifts in value and the controversial nature of their launches are raising concerns.
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