Eric Trump has addressed the ongoing debate surrounding the $TRUMP memecoin, a cryptocurrency launched by President-elect Donald Trump. This follows reports of a whale trader profiting nearly $12 million from trading the token shortly after its release. The launch, which has triggered significant controversy, has drawn responses from financial experts, crypto enthusiasts, and ethics watchdogs.
Eric Trump’s Take on $TRUMP Memecoin
Eric Trump, the son of President-elect Donald Trump, commented on the $TRUMP memecoin’s rapid rise, calling it the “hottest digital meme on earth.” The $TRUMP token, launched late Friday, surged in value within hours, becoming a top trending topic in the cryptocurrency space.
According to CoinGecko, its market capitalization exceeded $5 billion by Saturday afternoon, with trading volumes surpassing $11 billion. The token’s price more than doubled, reaching over $27 within 24 hours of its launch.
The memecoin is owned primarily by CIC Digital LLC, a company tied to Donald Trump, which holds 80% of the token’s supply. With an estimated $20 billion in assets on paper under the current market price, the launch has raised questions about the intersection of Trump’s financial interests and his upcoming presidency.
Peter Schiff, an economist and Bitcoin skeptic, weighed in on the rapid rise of the $TRUMP token. “It took Bitcoin four years to reach a $5 billion market cap. $TRUMP did it in one day,” he wrote on X. Schiff sarcastically suggested creating a strategic reserve for the memecoin and requiring its inclusion in retirement accounts. However, the comments drew mixed reactions, with some dismissing the comparison between Bitcoin and a newly launched meme-based cryptocurrency.
Whale Trader Profits $11.8 Million Amid Market Activity
A significant transaction involving the $TRUMP memecoin occurred hours after its launch, catching the attention of blockchain analysts. A whale trader, who reportedly spent $12 million purchasing 860,895 tokens at $13.94, sold the holdings at $27.67. The transaction resulted in an $11.8 million profit, showcasing the high volatility of the token in its early trading hours.
This development has sparked concerns over the stability of the memecoin and the potential for market manipulation. Critics argue that speculative trading could harm smaller investors entering the market at inflated prices.
Prominent figures, including former White House communications director Anthony Scaramucci, criticized the event. Scaramucci called the launch “an alarming level of corruption,” suggesting it reflects poorly on the broader cryptocurrency industry.
Ethical Concerns Over Presidential Financial Ties
The timing of the $TRUMP memecoin launch has led to ethical questions, as it occurred just days before Donald Trump’s inauguration as president. Historically, presidents-elect have made efforts to distance themselves from business ventures to avoid perceived conflicts of interest. The Trump administration’s direct ties to the cryptocurrency have drawn scrutiny from ethics watchdogs.
Jordan Libowitz of Citizens for Responsibility and Ethics in Washington commented on the situation, stating, “This is a president-elect launching businesses alongside promises to deregulate industries where he stands to profit.” Trump has also faced criticism for promoting cryptocurrency-friendly policies during his campaign, including proposals to overhaul crypto regulations and have the federal government stockpile Bitcoin.
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