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Trump Family's $TRUMP and $MELANIA Meme Coins Under Scrutiny by Democratic Lawmakers

Jan 23, 2025, 04:06 PM

President Donald Trump and First Lady Melania Trump have launched meme coins named $TRUMP and $MELANIA, respectively, sparking significant controversy and regulatory scrutiny. The $TRUMP coin, launched just days before Trump's inauguration, saw its market capitalization surge to $12 billion, while $MELANIA reached over $1 billion. Critics have raised concerns about potential conflicts of interest, as the Trump family holds 80% of the tokens, and the possibility of foreign influence through the purchase of these coins. Democratic lawmakers, including Senator Elizabeth Warren and Representative Jake Auchincloss, have called for investigations into the ethical and regulatory implications of these meme coins, citing risks to national security and the potential for the Trump family to profit from the presidency. The coins have also been criticized for their volatility and lack of intrinsic value, with some experts warning of the dangers of market manipulation and pump-and-dump schemes. According to CoinGecko data, $TRUMP's market cap has since dropped to $7 billion, and $MELANIA's to $400 million. Amid these developments, Trump signed an executive order seeking to support the expansion of cryptocurrencies.