Melania Trump’s unexpected foray into the cryptocurrency realm is causing a stir. Within less than two hours of its January 19 introduction, her eponymous memecoin, MELANIA, escalated to a market worth of $6 billion. Nonetheless, this launch has sparked both excitement and apprehension.
A Rapidly Ascending Token
In mere moments following the token’s introduction, over 45,000 wallets acquired it, based on data from DEXScreener. Its market valuation soared to $6.14 billion in under two hours, highlighting the strong allure of a cryptocurrency associated with the Trump brand.
TRUMP coin declines today. Source: CoinMarketCap
Simultaneously, Donald Trump’s memecoin, TRUMP, faced a significant setback. Reports from CoinMarketCap indicated that TRUMP’s value unexpectedly fell by 25%; $5 billion was erased from its valuation in just 40 minutes.
Though it remains unclear if this decline is due to split interests or broader market dynamics, the timing is certainly notable.
The Official Melania Meme is live!
You can purchase $MELANIA now. https://t.co/8FXvlMBhVf
FUAfBo2jgks6gB4Z4LfZkqSZgzNucisEHqnNebaRxM1P pic.twitter.com/t2vYiahRn6
— MELANIA TRUMP (@MELANIATRUMP) January 19, 2025
Concerns Regarding Token Distribution
Although MELANIA’s growth appeared remarkable, apprehensions regarding its tokenomics emerged swiftly. Its official site asserts that the tokens were allocated 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 bubble map of $MELANIA does NOT align with the distribution on their website pic.twitter.com/Q734sd4ykJ
— Bubblemaps (@bubblemaps) January 19, 2025
These statistics were challenged by the Blockchain analytics group Bubblemaps, which highlighted in a post on X on January 19 that roughly 90% of the token supply resides in a single wallet. This concentration raises doubts regarding centralization and transparency.
Hasty Launch And Varied Reactions
The MELANIA rollout appears to have been rushed. Analysts have pointed out that the project’s website lacks adequate cybersecurity protections since it was only established the day prior to its launch. An anonymous developer, known as “cygaar,” identified poorly constructed code on the site, labeling it “half-baked.”
My speculation is that this token was managed by a separate team than TRUMP’s. The latter appears to be run by professional market makers, while this one honestly resembles the efforts of college students pic.twitter.com/UR9Cbm0Ncw
— Conor (@jconorgrogan) January 19, 2025
Coinbase executive Conor Grogan suggested that MELANIA might not be fraudulent but likely lacks the polished execution evident with TRUMP’s token. He remarked that the token comes across as less professional compared to TRUMP’s.
The Trump Name At The Core Of Speculation
Melania promoted the token on X, stressing that its purpose is to foster “support” and “engagement” rather than to act as an investment. Despite this caveat, the Trump name has once again attracted the attention of both cryptocurrency aficionados and speculators.
MKT World LLC, a company founded by Melania in 2021, is associated with the intellectual property rights to MELANIA’s site. The project also shares an address with the Trump International Golf Club.
What Lies Ahead for MELANIA?
Concerns persist regarding the memecoin’s legitimacy and the reasoning behind its launch. Only time will reveal whether MELANIA can sustain its momentum or if it is fated to replicate the boom-and-bust cycle common to many other memecoins, considering the vigor that fueled its unforeseen ascent. For now, this latest venture from Trump is propelled by both enthusiasm and skepticism.
Featured image from AP News, chart from TradingView
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