The meme coin market once again demonstrated its two-faced nature, and this time nearly 989,000 investors in the TRUMP token became the victims. By the end of June, the total losses of this pool of buyers reached a staggering $3.81 billion. The figures we are seeing are not just statistics, but a classic example of capital redistribution from the retail crowd to insiders.
On-chain data analysis shows that approximately two-thirds of all TRUMP holders either realized losses or continue to hold the asset with unrealized losses. By the end of June, the token had crashed to $1.76, which is 97% below its all-time high of $75.35. This represents an almost complete devaluation of the asset for those who bought at the peak.
Who made money from the crash?
Paradoxically, about 500,000 wallets still managed to achieve a total profit of nearly $4 billion. However, as expected, the gains were extremely concentrated. The bulk of the profits went to a small group of early buyers and algorithmic traders who entered the market before the aggressive marketing began. Retail investors, fueled by hype on social media, traditionally became the "exit liquidity" for more experienced players.
Special attention should be paid to the position of US President Donald Trump. His income from the project turned out to be completely independent of the token's price dynamics. According to the published financial disclosure, he personally earned $636 million from the meme coin. The project organizers collected a fee from every trading operation, so profit was generated even amid the subsequent decline in the asset's value. This is an ideal business model: you get paid regardless of whether investors lose their money.
Political context and risks
After the token's launch in January 2025, Trump actively promoted it on his social network Truth Social, urging supporters to join the "TRUMP community." The White House administration, of course, denies accusations that the president profited at the expense of investors, claiming that all actions are aimed at developing the US as a global crypto hub.
However, lawyers are already warning: after the end of his presidential term, Trump may face a wave of class-action lawsuits. The disclaimer on the meme coin's website stating that the token is not intended for investment is unlikely to provide reliable protection in court. As New York University law professor Steven Gillers aptly noted, "Trump encouraged his supporters to invest, counting on wealth, even while he himself was making a profit."
We should not forget about the World Liberty Financial project, in which the Trump family is involved. The situation there is no better: out of more than 26,000 analyzed wallets, about 85% of WLFI token holders were also in the red. Senator Elizabeth Warren has already proposed adding a ban on crypto income for top officials and their families to the CLARITY Act — and this precedent could mark the beginning of serious regulation.
My verdict: The TRUMP meme coin has become not just a financial pyramid, but a mirror reflecting the very essence of the modern crypto industry — hype, manipulation, and a complete lack of fundamental value. For investors, this is a harsh reminder: when a politician or celebrity promotes a token, you are most likely not a participant, but the product.