Melania Trump’s sudden entry into the crypto space is making waves. Less than two hours after its launch on January 19, its eponymous memecoin, MELANIA, reached a market value of $6 billion. However, these beginnings were met with both enthusiasm and skepticism.
A rapidly growing token
Within minutes of the token’s launch, more than 45,000 wallets used it, according to DEXScreener statistics. Its market value soared to $6.14 billion in less than two hours, demonstrating the powerful appeal of a cryptocurrency bearing Trump’s name.
TRUMP coin down today. Source: CoinMarketCap
TRUMP coin down today. Source: CoinMarketCapAt the same time, Donald Trump’s memecoin TRUMP suffered a major blow. It was reported on CoinMarketCap that the price of TRUMP suddenly plunged by 25%; $5 billion was wiped from its valuation in just 40 minutes.
It is impossible to know with certainty whether this crisis is due to shared interests or stronger market forces, although the timing is difficult to ignore.
The official Melania meme is live!
You can buy $MELANIA now.
FUAfBo2jgks6gB4Z4LfZkqSZgzNucisEHqnNebaRxM1P pic.twitter.com/t2vYiahRn6
– MÉLANIA ATOUT (@MELANIATRUMP) January 19, 2025
Questions surrounding token distribution
Although MELANIA’s rise seemed impressive, concerns about its tokenomics quickly surfaced. Its official website claims that the tokens were distributed as follows: 35% to the project team, 20% each to the treasury and community, 15% to the public, and 10% for liquidity.
JUST IN: 🇺🇸 The $MELANIA bubble map does NOT match the distribution on their website pic.twitter.com/Q734sd4ykJ
– Bubble Maps (@bubblemaps) January 19, 2025
These figures were disputed by Blockchain analysis group Bubblemaps, which said in an article on X on January 19 that approximately 90% of the token supply is held in a single wallet. Centralization and transparency are called into question by this concentration.
Rushed launch and mixed reactions
The launch of MELANIA appears to have been rushed. Experts pointed out that the project’s website lacks cybersecurity measures because it was created the day before its launch. The site’s poorly written code was noticed by an anonymous developer known as “cygaar”, who called it “half-baked”.
I assume this token was managed by a different team than TRUMP. This one looks like professional market makers, this one honestly looks like college kids. pic.twitter.com/UR9Cbm0Ncw
-Conor (@jconorgrogan) January 19, 2025
Conor Grogan, head of Coinbase, suggested that MELANIA may not be a scam, but that it likely lacked the careful execution seen with TRUMP’s token. According to him, the token looks amateurish compared to TRUMP’s.
Trump’s name at the center of speculation
Melania promoted the token on X, emphasizing that it is intended to encourage “support” and “engagement” rather than serving as an investment. Trump’s name has once again piqued the interest of crypto enthusiasts and speculators, despite this caveat.
MKT World LLC, a company founded by Melania in 2021, is related to the intellectual property rights of MELANIA’s website. The project also shares an address with the Trump International Golf Club.
What’s next for MELANIA?
Concerns remain about the authenticity of the memecoin and the motivations for its release. Only time will tell if MELANIA can maintain its momentum or if it is destined to follow the boom and bust pattern of many other memecoins, given the energy that led to its unexpected rise. For now, Trump’s most recent efforts are driven by both enthusiasm and skepticism.
Featured image from AP News, chart from TradingView
