Donald Trump-Themed Meme Coins Breed Crypto Millionaires as MAGA Token Surged

• The surge of the TRUMP token, which is not directly linked to Donald Trump, has created a new class of millionaires in the PoliFi crypto sector.
• The Trump campaign announced it would begin to accept crypto donations, including BTC$91,586.37, ether ETH$3,035.90, and meme coins DOGE$0.1498 and SHIB$0.0₅8563.

The young PoliFi crypto sector, a frontier wherepolitics, finance, and cryptocurrency converge, has minted a new class of millionaires as a token themed after Donald Trump surged in the past few weeks, analysis by on-chain data provider Nansen shows.

While the issuance of the TRUMP token has nothing to do with the former U.S. President Donald Trump directly, traders are using the tokens as a speculative bet on his ongoing presidential campaign.

In the past two weeks, the Trump MAGA (TRUMP) token is up nearly 75%, according to CoinGecko data. It surged 14% on Tuesday as the Trump campaign said it would begin to accept crypto donations, including BTC$91,586.37, ether ETH$3,035.90, and meme coins DOGE$0.1498 and SHIB$0.0₅8563.

From all this, some holders of the MAGA meme coin – the first experiment in a new category of tokens called PoliFi, which has a collective market cap of $749 million – have seen returns of over 1,600%.

One such address is sitting on over $5.5 million worth of the token.

Several addresses purchased low six-figures in TRUMP tokens and are now sitting on unrealized gains of over $1 million. They are gradually trimming their holdings but not selling in a manner that could cause a sudden price dump. As such, these sales were made before Tuesday’s campaign donation announcement.

However, recent buyers of the TRUMP token are posting a poor return on investment and have a low overall win rate, the data showed.

Meanwhile, the value of TRUMP holdings sent to a wallet linked to the actual Donald Trump has risen to nearly $5 million.

A wallet supposedly linked to Trump received $7,100 of TRUMP from the meme coin’s developers between August and October 2023.

Sending tokens to a wallet linked to popular entities is sometimes used as a marketing strategy by meme coin makers, as they can attract eyeballs – and galvanize investor interest.