Donald Trump is back in the spotlight with a new crypto project that raises doubts among investors. This article examines his past failures and the potential of the new offering.
Problems with Trump's Previous Projects
Trump's financial history includes many examples where his supporters suffered losses. In particular, platforms like Truth Social and the memecoin $TRUMP demonstrated sharp declines in value. Truth Social's stocks fell by 52% after the ticker change, while $TRUMP lost 90% of its value within just a few days.
New Scheme: Crypto Treasury
Trump's new project is a crypto company that will use funds to purchase WLFI tokens. The company's goal is to raise $1.5 billion, but the tokens do not offer any rights to profits or ownership. Unlike Bitcoin, WLFI has no cap on issuance and its main value lies in showing loyalty to Trump.
Criticism and Future Prospects
Many experts, including Owen Lamont, express concern over such a scheme, arguing that it violates core financial principles. Investors should be aware that promises of infinite profit often come at a high cost. In past instances, Trump always benefited first, leaving his supporters with losses.
Trump's new project raises questions about the safety of investing in cryptocurrencies, especially given his previous financial schemes. Future outcomes are unpredictable, and supporters are strongly advised to exercise caution.
