The memecoin market has once again demonstrated its two-faced nature. Data from the analytical platform Nansen shows that out of nearly 989,000 wallets that purchased the TRUMP token, the vast majority were deep in the red by the end of June. The total loss for these investors reached a staggering $3.81 billion. This is a classic "pump and dump" scenario, where only a few reap the profits.
The asset's price collapsed by 97% from its all-time high of $75.35, reaching $1.76. Approximately two-thirds of all buyers have either recorded losses or are holding onto devalued coins hoping for a rebound. Meanwhile, about 500,000 wallets managed to secure profits totaling nearly $4 billion. However, as Nansen analysts note, these gains are concentrated in the hands of a narrow group of early buyers and algorithmic traders who entered the asset before the mass hysteria began. Retail investors, as usual, entered at the peak.
Creators' Revenues Are Independent of the Market
It is important to understand that the losses of token holders have not affected the financial results of the project's organizers in any way. U.S. President Donald Trump, whose name the memecoin bears, earned $636 million from it regardless of the price dynamics. The mechanism is simple: the project team received a commission on every trading operation. The higher the volatility and the more active the trading, the greater their profit — even amid a price collapse.
The token's launch in January 2025 was accompanied by active promotion on the social network Truth Social, where Trump personally urged his supporters to join the "TRUMP community." Later, the White House rejected accusations of using the presidential position for personal gain, stating that the administration aims to make the U.S. a global hub for the crypto industry.
Family Crypto Portfolio and Legal Risks
In addition to the TRUMP memecoin, the president's family is involved in the World Liberty Financial (WLFI) project. And here the situation is similar: out of more than 26,000 analyzed wallets, about 85% are incurring losses. This is a natural outcome for projects built on hype rather than fundamental value.
Lawyers do not rule out that after the end of his presidential term, Trump may face a wave of class-action lawsuits. Although the token's website includes a warning that it is not an investment instrument, New York University law professor Stephen Gillers reasonably noted: "Back when Trump was a developer, he boasted that he played on people's fantasies. Here, he seems to have encouraged his supporters to invest, counting on wealth, even as he himself profited." Senator Elizabeth Warren has already proposed legislation to ban officials and their families from earning income from the crypto industry.
Expert commentary from Cryptalist: This story is yet another reminder that memecoins, especially those associated with big names, are a tool for redistributing capital from retail investors to insiders. Buying an asset at the peak of hype, when its creators are already earning from commissions, is a guaranteed way to lose money. The market does not forgive following emotions, even if they are fueled by a president.