Donald Trump’s $TRUMP meme coin hit $30 as the U.S. woke up to the launch news, marking a +12,000% increase. The coin reached a $6 billion market cap and $30 billion in fully diluted value. However, it is now down -35% from its all-time high seen 4 hours ago.
The Smart Ape X account claimed the $TRUMP memecoin could be a scam and urged caution. Below is their detailed data on the coin’s performance and concerns:
Here’s why you should avoid it.
No, I’m not talking about just another $TRUMP memecoin. This time, it’s
@realDonaldTrump himself who officially launched a memecoin in his name, no doubt about it! I’d really like to believe it was his son playing with his phone while he slept, but it doesn’t seem like it.
Within just a few hours, $TRUMP reached a $13B FDV (maybe more now), making it the top coin on Solana, surpassing $BONK! It already has over 200K holders, marking the fastest growth of any coin since the creation of Bitcoin!
What’s strange is that the initial liquidity pools were created with only $TRUMP, without adding $SOL or $USDC! Beyond the creator, the initial liquidity providers still hold 3.5% of the supply, worth over $500M.
Even more shocking, 98% of the liquidity is not locked, we’re talking about over $400M of unlocked liquidity. This is critical, and the fact that it hasn’t been locked raises serious red flags. Either incompetents run this coin, or it’s a massive scam.
One of the few things that reassured me is that the initial distribution matches the one published on the site: • 10% for the liquidity pool (LP) • 10% to the public But the so-called “public distribution” looks more like a private one!
For now, 80% of the supply is supposedly locked and set to be released gradually over three years. The issue? These 80% are held in a single wallet instead of being locked in a smart contract that could distribute them automatically. Once again, is this incompetence or a scam?
Even if we assume these 80% are locked (which they aren’t, technically), it means only 20% of the supply is in circulation. This creates massive sell pressure and leaves no room for long-term prospects!
For those wondering what “Creators, CIC Digital” is, it’s an affiliate of the Trump Organization, essentially insiders. These insiders are directly tied to Trump’s other crypto ventures, including his meme cards.
Personally, I wouldn’t touch this coin with a 10-foot pole. It reeks of insider enrichment, with zero decentralization. It reminds me of personalities like $HAWK who launched their coins only to dump on their communities.
But the worst part? It comes from a current President of the United States! I have nothing against him launching a memecoin, but at least make it decentralized, with fair distribution and no insider manipulation. It should be something for the people!
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.
