President Donald Trump’s reputation within the cryptocurrency industry has suffered a blow following the launch of meme coins by him and his wife. Critics argue that this move appears to be a questionable cash grab, undermining efforts to legitimize digital assets. The industry, which had previously felt targeted by the Biden administration and had supported Trump, is now seeking the new president’s assistance in integrating crypto into mainstream financial systems. Trump has pledged a less stringent regulatory approach and appointed pro-crypto officials to key government roles.
The value of bitcoin and other digital assets has surged since Trump’s victory. A lavish “Crypto Ball” event held before Trump’s inauguration featured a performance by rapper Snoop Dogg and sold tickets for thousands of dollars. However, the mood among many in the crypto community was dampened when Trump announced the creation of his own meme coin during the event, with some describing it as opportunistic and lacking authenticity.
Meme coins represent a speculative and unregulated sector within the crypto world, often starting as jokes with no inherent value but experiencing price surges if there is enough demand. While some crypto enthusiasts welcomed Trump’s meme coin launch, others expressed concerns about its association with speculative assets. The price of the Trump meme coin initially rose but later dropped significantly after First Lady Melania Trump introduced her own meme coin, which followed a similar price pattern. Trump has appointed SEC Commissioner Mark Uyeda as the agency’s acting chief and established a new crypto task force to develop sensible regulations for the industry.
Although Trump’s promises of industry-friendly rules and a U.S. bitcoin stockpile have generated optimism, his close association with meme coins has raised doubts among some crypto supporters about his commitment to meaningful reforms. The sale of Trump meme coins was managed by CIC Digital, a Trump Organization affiliate, with Trump encouraging supporters to view the coins as expressions of support rather than investment opportunities. The website for the coins stated that 200 million Trump meme coins are currently available, with plans to issue 1 billion over the next three years.
The latest ethics agreement issued by the Trump Organization aims to restrict President Trump’s involvement in day-to-day decision-making processes and limit the financial information shared with him while he holds office. Alongside this development, the cryptocurrency trend has also reached the political sphere, with Michigan pastor Lorenzo Sewell unveiling a new digital currency named after himself. Pastor Sewell, known for delivering a passionate inaugural invocation, sees the coin as a means to support his church’s endeavors. In an online video message, he encourages his followers to invest in the official Lorenzo Sewell coin to contribute to his church’s mission.
