Memecoins
How Biden-themed memecoin investors lost money following Trump’s guilty verdict – DL News
- Trump-themed memecoins soared following the ex-president’s guilty verdict.
- Political memecoins are poised to play a huge role in Solana’s rally.
Donald Trump’s guilty verdict sent shockwaves through the estimated $65 billion memecoin market, launching tokens linked to him and President Joe Biden into a rollercoaster of volatility.
After a 12-person jury found Trump guilty on all 34 counts in his secret trial on Thursday, the largest Biden-linked memecoin plummeted.
Jeo Boden, an animated memecoin based on Solana worth nearly $200 million, fell 7%, according to CoinGecko.
Investors backing Trump-themed coins fared better, with MAGA – a reference to the Trump campaign slogan “Make America great Again” – and Doland Tremp up 13% and 11%, respectively, over the same period.
MAGA and Doland Tremp have combined market values of $670 million and $112 million.
The day’s volatility wasn’t without its oddities, either. Super Trump appears to be an outlier after a ~20% drop, and an anti-Biden memecoin called Joe Biden has perished is up 102% on the day.
The price movements highlight two growing trends: the current memecoin frenzy and the increasing politicization of crypto.
Memecoin frenzy
Wacky currencies are big business.
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They generated over $6.5 billion in transactions in the last 24 hours alone and represents a total market value of $65.5 billion.
The sector is criticized for being purely speculative – denunciations echoing the skepticism of crypto critics in general.
Even so, memecoins, named after presidents or celebrities, dominate among retail crypto investors due to their low cost and alluring potential for massive gains.
“Memecoins seem to be one of the last opportunities in crypto for a normal person to go from zero to respectable. [net worth] in a short period of time,” Jordan Fish, a crypto influencer better known as Cobie, wrote on X.
However, given the lack of liquidity of many memecoins, they are just as likely to go to zero overnight.
Crypto in politics
Yet political coin plays play a significant role in this frenzy.
Ryan McMillin, chief investment officer at crypto fund manager Merkle Tree Capital, recently said DL News he expects the niche to catapult Solana – the blockchain on which many memecoins are traded – to new $400 file peaks in the months to come.
The focus on memecoins comes as crypto becomes increasingly politicized in the run-up to the November election.
Recently, the House of Representatives voted in favor of a sweeping crypto bill known as the FIT21 lawwhich, if passed by the Senate, would clarify which agencies are responsible for regulating which types of cryptocurrencies.
At the same time, the Securities and Exchange Commission approved spot Ethereum exchange traded funds.
Both Trump and Biden seized the momentum.
Earlier in May, Trump kissed the industry in its strongest terms yet during an event at Mar-a-Lago.
“If you are pro-crypto, you better vote for Trump,” he said. saidadding that his campaign would begin accepting crypto donations.
The comments highlighted a shift in his position. He is famous rejected Bitcoin as “a scam against the dollar” in 2021.
In comparison, Biden has taken a more anti-crypto stance, having threatened to veto a pro-crypto bill that would repeal a controversial SEC policy and increase Bitcoin Miner Taxes.
Naturally, many in the crypto community prefer Trump over Biden, 45% to 43%, according to a recent report. survey by the investment company Paradigm.
Ryan Selkis, CEO of crypto market intelligence company Messari and staunch Trump supporter, paints a second Biden term as the future involving massive crypto asset seizures.
Eric Johansson is the editor-in-chief of DL News. Do you have a tip? Send him an email to eric@dlnews.com.