Trump coin sparks fury as industry grapples with pump-and-dump anxiety

Washington, DC – Cryptopolitics collides with digital finance as Trump’s meme launch sparks a volatile market reaction, polarizing industry watchers and prompting regulatory caution.

How the Story Began: Trump Engaged Top Bitcoin Miners on US Crypto Future

Top bitcoin mining companies including Riot Platforms, Clean Spark and Core Scientific, summoned a closed meeting with Trump at Mar-a-Lago. This historic collection seemed to signal the former president’s intent to play an active role in shaping America’s digital asset industry. David Bailey, CEO of Bitcoin Magazine, appeared as one of the influential spokespersons for the industry when he was in contact with the Trump team.

Matthew Schultz, CleanSpark’s executive chairman and CEO, offered CNBC insight from the secret meeting:

“He wants to keep all the remaining bitcoin mining in the US and out of China. For him to be legally engaged in the bitcoin industry, it was really great to understand how mining works.”

Marathon’s Browder echoed the sentiment, praising Trump’s apparent grasp of complex crypto nuances:

“He just really knew his stuff.”

The farmer grows between Bitcoin and Trump

A few weeks later, at an annual bitcoin conference, Trump took center stage, captivating an audience of fervent bitcoin enthusiasts with a bombastic and enthusiastic speech.

With distinctive slogans such as “fire Executioner,” a direct jab that may have led to the resignation of SEC Chairman Gary Gensler, and indicates “We want rules, but from now on the rules will be written by people who love your industry, not hate your industry.” Trump’s comments were the most likely force driving the digital currency to new heights.

Since the electrifying address, bitcoin has surged to an all-time high above $106,000 and has impressively held above $90,000 throughout 2025.

Underscoring his vision for the nation, Trump proclaimed he wanted to transform the United States into “the crypto capital of the globe and the bitcoin superpower of the world.” As voters responded, pro-crypto candidates made a significant dent in the November 2024 election. Political listed“The return of President-elect Donald Trump and a potential GOP Congress provides a dream scenario for crypto executives and investors who spent more than $130 million on the 2024 election.”

In an even more notable twist, crypto super PACs like Fairshake, now armed with a formidable $78 million for the 2026 midterms, signals that crypto’s influence in the political arena is here to stay.

Crypto Ball: Trump Launches $TRUMP, Sparks Billion-Dollar Frenzy

The climax of this intricate dance between politics and digital finance unfolded on January 17, 2025 at Washington DC’s inaugural “Crypto ball.” Hosted by industry powerhouses like Bitcoin Magazine, Stand With Crypto, Kraken, Anchorage Digital and Exodus, the event was poised to celebrate a new era of crypto innovation and policy.

At 8 p.m., Trump set social media on fire with a bold announcement on Truth Social stated that he was launching his very own memecoin dubbed $TRUMP.

The market reacted immediately. In the hours after the launch, $TRUMP the coin reached a market capitalization of $13.6 billion and its fully diluted valuation increased to around $67.6 billion. Then, at 3:05 PM ET on January 19, 2025, less than 48 hours after launch, the coin began a steep decline.

A divided industry

For some, Trump’s foray into memecoins is a triumph that symbolizes innovation and unorthodox leadership in a space poised for mass adoption. “We are all extremely proud of what we continue to accomplish in crypto. $TRUMP is currently the hottest digital meme on earth and I truly believe that World Liberty Fi. will revolutionize DeFi/Cefi and will be the future for finance. We’re just getting started,” declared Don Jr. on X.

However, not everyone shares this abundance. UK bitcoiner and podcast host Peter McCormack, founder of What Bitcoin Didsharply criticized the move:

“Trump coin is embarrassing. It’s the opposite of what you voted for.”

Neeraj K. Agrawal, director of communications at digital asset think tank Coin Center, noticed,

“Is anyone else filled with fear?”

Outspoken Trump supporter and crypto enthusiast Nic Carter wrote on X:

Amid growing concerns about pump-and-dump schemes, an ongoing problem in the crypto world exacerbated by the ease of token creation, industry regulators and participants are urging vigilance. Chain light highlighted the potential pitfalls of such arrangements and emphasized the need for robust collaboration between the public and private sectors to build a safer ecosystem.

SEC Chairman Gary Gensler resignationeffective January 20, 2025, further complicates the landscape and leaves the industry at a crossroads between regulatory oversight and unfettered innovation.

The way forward

As the crypto industry grapples with the twin forces of political ambition and digital innovation, the ripple effects of Trump’s maneuvers are poised to shape the future of both American governance and global finance. With a formidable mix of political capital, financial power and the ever-present tension of meme culture, the road ahead promises to be unpredictable.