# Trump Memecoin Craze: Creating Wealth, Disadvantaging Others?
* A memecoin was unveiled in his name a few days before Donald Trump’s swearing-in.
* The Trump memecoin briefly led the cryptocurrency memecoin rankings.
* Early adopters earned enormous gains.
In the initial excitement following the release of a memecoin linked to incoming President Donald Trump, some investors may have amassed millions of dollars.
This memecoin, dubbed “Official Trump” with the symbol TRUMP, triggered a buying spree among experienced trading bots and crypto insiders. It briefly became the second-biggest meme token in crypto history, with its market value surging to over $14 billion within a few hours of its launch.
Based on an examination of blockchain transactions by DL News, one early investor invested $1 million, obtaining almost 6 million Trump coins. This investor witnessed paper profits increase to an astounding $304 million. They also transferred a portion of their tokens to other wallets and sold some of these memecoins on the market. Toncoin (TON) Value Forecast for March 26th
Another significant early purchaser who invested close to $1 million held paper profits of $78 million. This wallet has already sold a small portion of its Trump holdings, generating profits of $1.7 million.
Some traders, perhaps initially uncertain about the token’s authenticity, also joined in as it gained popularity on social media.
The rapid rise was followed by a steep decline, with its market capitalization decreasing by over 52% within an hour.
The token has since seen some recovery, but it remains 30% below its highest market cap, currently valued at $10 billion.
Trump’s “official memecoin” is now the third-largest meme token in the crypto world, behind only Dogecoin and Shiba Inu, which have market caps of $54 billion and $12 billion, respectively.
The price crash occurred at the same time as the crypto team associated with the incoming First Family in the US launched another memecoin.
Melania Trump, the spouse of the incoming US President, has introduced her own meme coin, which at one juncture had a market capitalization of almost $2 billion.
As financiers rushed to become early backers in the Trump family’s newest token, the Melania token might have redirected liquidity from Trump’s meme coin.
On-chain information reveals that not long after the Melania coin was released, wallets moved earnings from Trump’s meme coin to the Melania coin.
Speculators who didn’t manage to get involved promptly were taken by surprise as Trump’s token plummeted.
One dealer, who originally invested $25.7 million in Trump Coin, forfeited $6.4 million. On-chain data demonstrates the dealer vended the majority of their almost 1 million tokens acquired subsequent to the collapse.
Another significant loser lost $5 million of the $17.8 million invested in the token.
They have already disposed of 82% of their Trump token holdings at a loss.
