"Memecoins" are cryptocurrencies that, unlike other digital assets, lack intrinsic value and base their price on speculation and popular narrative. These coins often generate an initial boom driven by collective enthusiasm, but as interest wanes, late buyers often face significant losses. This context makes it especially concerning for a sitting president to actively participate in the launch and promotion of a cryptocurrency like $TRUMP , which raises serious ethical questions and potential conflicts of interest.
Exploitation of Power and Influence of Office
President Donald Trump, by launching and promoting the $TRUMP cryptocurrency, intentionally or not, uses the inherent influence of his position to endorse a financial asset from which he derives direct benefits. This situation is unprecedented: never before has a sitting president actively participated in the creation and promotion of a personal financial product. This could be interpreted as an exploitation of his office for personal gain, raising serious doubts about the ethics of his actions and the impact on public trust.
Manipulation of Public Perception
The promotion of $TRUMP also poses the risk of manipulating public perception. Many citizens may interpret presidential endorsement as a guarantee of safety or legitimacy, which could lead to investment decisions based on blind trust rather than objective information. This is particularly concerning in such a volatile market as cryptocurrencies, where impulsive decisions can result in significant financial losses for less experienced investors.
Concentration of Ownership and Conflicts of Interest
Another key concern is the concentration of $TRUMP tokens. It is estimated that 80% of these are controlled by entities affiliated with the Trump Organization, such as CIC Digital LLC and Fight Fight Fight LLC. Although it is claimed that these tokens are subject to a three-year release schedule, this structure raises concerns about potential market manipulation. The president's influence over regulation or economic policy decisions could be used to directly benefit the value of his cryptocurrency, intensifying risks for investors.
Impact on the Crypto Market
The introduction of $TRUMP and the controversy surrounding its promotion have generated negative effects on the cryptocurrency ecosystem. Trust in the market has been severely affected, leading to significant devaluation. Furthermore, the proliferation of new cryptocurrencies, which accelerated after Trump's reelection, has made it difficult for major trading platforms to conduct rigorous checks and proper assessments of new projects, opening the door to more problematic situations in the future.
Conclusions
The active participation of a sitting president in the launch of a cryptocurrency like Trump represents an unprecedented case that combines financial, ethical, and governance risks. Such initiatives not only endanger investors, especially the less experienced ones, but also undermine the credibility and stability of the crypto market as a whole. In an already complex environment, political leaders have a responsibility to act with integrity and avoid actions that could be interpreted as exploiting their position for personal gain.
