Trump and his $TRUMP meme coin just had a gala dinner – but the whole thing is a scam

In a troubling fusion of politics and personal profit, US president Donald Trump hosted a lavish gala dinner at his Virginia golf club for major investors in his meme coin, $TRUMP.

$TRUMP: the biggest scam Trump has executed yet?

This event, marketed as the “most exclusive invitation in the world,” drew significant public outcry and protests from around 100 demonstrators outside the venue. The protesters carried signs with potent messages such as “Stop Trump’s crypto corruption” and “Democracy is not for sale”:

They were echoing widespread concerns that the boundaries between Trump’s presidential responsibilities and his personal financial interests have become alarmingly blurred:

It’s NOT proper cryptocurrency

The $TRUMP meme coin (remember, it’s NOT a reliable cryptocurrency), which bears the president’s likeness, has become a focal point for burgeoning ethical concerns surrounding Trump’s financial dealings.

Critics argue this event exemplifies a president profiting from what should be a civic duty, mixing public service with personal gain. Democratic Congressman Sean Casten highlighted that several guests at the dinner were foreign nationals, alluding to the risks of foreign influence on US politics. He has called for a thorough investigation by the Department of Justice to determine if the dinner infringed on federal anti-bribery laws.

Ethics experts and lawmakers have expressed dismay at the unprecedented nature of a sitting president promoting a personal commercial venture.

Jessica Tillipman, a law professor at George Washington University, remarked on a CBS News segment that the event reeked of impropriety, suggesting it could yield undue benefits for Trump while in his role as president.

A private engagement by a public crook

Trump’s spokesperson, Karoline Leavitt, attempted to defend the dinner as a private engagement, devoid of official links, but many remain sceptical of this assertion given its blatant opulence and the lavish gifts promised to attendees, including special receptions and a limited-edition Trump watch.

With primary investors reportedly spending around $1.7 million each on average to secure access to the dinner, the concerns only deepen. This exclusive gathering is not simply a social event but a celebration of significant financial investment in Trump’s brand.

The stakes are high; the top holders of $TRUMP have reportedly accumulated over $320 million in fees from the coin. Moreover, as the Guardian found, their losses on $TRUMP have been huge. It wrote:

Of the 220 winners [who were invited to Trump’s dinner], 95 – some 43% – have suffered a net loss from purchasing $Trump since the coin’s January launch, a combined $8.95m, according to trading history and portfolios as of 21 May.

A contestant under the username “GAnt” appears to have endured the biggest losses. Despite placing fourth on the leaderboard, buying the tokens has led to a $1.06m shortfall. Similarly, user “Meow” is down $621,000, despite achieving VIP status.

This aligns with a broader trend: it’s believed that 764,000 wallets – mostly belonging to small holders – have lost money on $Trump, according to data from the cryptocurrency and blockchain analysis firm Chainalysis. Meanwhile, just 58 wallets have made more than $10m each on their purchases of the coin, per Chainalysis. The cryptocurrency is trading 68% below its all-time high when it peaked the day before the president’s inauguration.

Among the attendees was crypto entrepreneur Justin Sun, a controversial figure previously investigated by the SEC, adding further weight to the notion that these financial ties could undermine the integrity of US governance.

The intersection of cryptocurrency and Trump’s political ambitions has led to calls for new legislation aimed at restricting elected officials from profiting off financial ventures that intersect with their public duties.

Stop $TRUMP (and Trump)

Figures like Senator Elizabeth Warren have drafted proposals such as the Stop TRUMP Act, indicating bipartisan support for reform given the ethical breaches highlighted by events like the dinner.

Critics are right to challenge the potential implications of Trump’s expanding crypto ventures.

With the Trump Organization having substantial stakes in companies like World Liberty Financial—the firm behind a stablecoin along with other crypto projects—the fear is that Trump’s decisions may be unduly influenced by financial gain rather than the public good.

While supporters within the crypto industry view Trump as a key ally following years of regulatory pressures under previous administrations, the repercussions of his financial entanglements could damage the credibility and regulatory stature of the crypto movement.

As the dining experience unfolded amid the protests and warnings, it became starkly clear: when personal wealth intersects with public service, the tenets of democracy appear to falter.

The concern remains that in the relentless march toward wealth accumulation, the voices of the many could become drowned out, and the integrity of democratic institutions may hang in a precarious balance.

Featured image via the Canary