The Trump Cryptocurrency Launch: Ethical Concerns and Industry Reactions

Just days before Donald Trump's inauguration, both he and his wife, Melania, launched their own cryptocurrencies. These "meme coins" quickly gained value, but their timing raised red flags among ethics experts and crypto enthusiasts. The coins, named $TRUMP and $MELANIA, started trading on the Solana blockchain. Trump's coin initially skyrocketed but later dipped when Melania's coin was launched. Ethics experts worry about conflicts of interest. Richard Painter, a law professor at the University of Minnesota, noted that Trump could personally benefit from his crypto policies. He said, "There’s no precedent for a head of state to launch a personal cryptocurrency. " Walter Shaub, a former ethics watchdog, added that Trump’s actions show a disregard for government ethics.Some in the crypto industry found the coin launch questionable. Nick Tomaino, a former Coinbase executive, said, “Trump owning 80% and timing launch hours before inauguration is predatory. ” Even crypto supporters like Nic Carter criticized the move as "absolutely preposterous. " The Trump coin's value could be influenced by Trump’s actions once in office. While the coins are not officially investments, their market capitalization is substantial. The Trump coin’s fully diluted value stands around $54 billion, with Trump potentially earning billions from his 80% stake.