The future First Lady’s coin is “not intended” as an investment, its website insists amid meteoric rise
The controversial memecoin launched by US President Donald Trump earlier this week suffered a sharp 38% drop in value on Sunday, following the debut of a competing token by the future First Lady, Melania Trump.
Melania Trump introduced her memecoin to her 3.2 million followers on X on Sunday evening, gaining immediate traction. Promoted across her social media accounts, the memecoin reached a $4 billion market cap within 30 minutes of its release, according to DEXScreener.
Donald Trump retweeted her post, further amplifying the token’s visibility. Within an hour, the MELANIA token attracted nearly 20,000 investors, causing significant volatility in the crypto market. Meanwhile, the TRUMP coin – valued at $15 billion earlier in the day – lost $5 billion in market capitalization, according to CoinMarketCap data.
The MELANIA token is described on its official website as a way to “support” and “engage” with Melania Trump, though it emphasizes the token is “not intended” as an investment.
The launch comes just days after the TRUMP coin’s meteoric rise. The Solana-based token, introduced on Friday, surged 19,000% in its first 24 hours, achieving a fully diluted market capitalization of $36 billion. Promoted by Trump himself on Truth Social and X, the token was marketed as a way for supporters to join the “Trump community.”
Ethics watchdogs have criticized the ventures, with Citizens for Responsibility and Ethics in Washington warning that Trump’s business dealings could create conflicts of interest during his presidency. Blockchain analytics firm Bubblemaps has also raised concerns, revealing that 90% of MELANIA token supply is held in a single wallet.
Both tokens have faced scrutiny regarding their allocation. MELANIA’s website states that 35% of its supply is allocated to team vesting, with the remainder divided among treasury, community, public distribution, and liquidity. In contrast, 80% of TRUMP’s supply is reserved for entities linked to the Trump Organization, leaving only 20% available for public investors and liquidity.
These launches come ahead of Trump’s January 20 inauguration, where he has promised to make the United States the “crypto capital of the planet.” A known crypto advocate, Paul Atkins, Trump’s pick to chair the Securities and Exchange Commission (SEC), is expected to lead these efforts. Once a vocal critic of cryptocurrency, Trump shifted his stance during his election campaign, pledging to reshape the US cryptocurrency landscape.
