US President Donald Trump recently commented on the $TRUMP token, based on Solana, for the first time. This memecoin has caught public attention with its rapidly growing capitalization. However, it is marked by issues regarding impulsive nature and associated ethical concerns.
The Rise and Fall of the $TRUMP Token
The $TRUMP token recently achieved a market cap of $13 billion, becoming the second-largest memecoin globally after Dogecoin. However, its market cap soon fell to $8 billion. These fluctuations have raised questions about its sustainability and the role of insider ownership in its rise and fall.
New ETF: Plans and Challenges
In light of recent developments, a new plan for an ETF tracking the $TRUMP token has surfaced. The fund, named Rex-Osprey Trump ETF, might operate through a Cayman Islands subsidiary. However, such transactions face regulatory questions distinct from typical crypto ETFs, such as Bitcoin and Ethereum.
Ethical Concerns and Market Impact
Concerns are growing about potential manipulation of the $TRUMP token, as it is believed that its supply is controlled by Trump family members. This may contribute to an artificial inflation of the token’s value. Financial experts warn that these memecoins pose a risk to current efforts to pass crypto legislation in the U.S.
Despite the controversies surrounding the $TRUMP token, major crypto platforms have already listed it. The token might impact the future of U.S. cryptocurrency policy, especially considering President Trump's plans to make cryptocurrency a national priority.
