Why Cathie Wood Thinks Trump Coin is Just a Fancy Meme! 😂

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It is with no small measure of amusement that we observe the esteemed Cathie Wood, the illustrious CEO and chief investment officer of ARK Invest, has resolutely declared her disinterest in the newly minted cryptocurrency, the Official Trump token. This token, which bears the rather audacious moniker of TRUMP, currently flutters about the market at a price of $35.69. One might be tempted to inquire about its worth, particularly when one considers its 24h volatility of 14.6% and a market cap that stands at a staggering $7.13 B. The volume of trading over the past twenty-four hours is equally impressive, amounting to $4.92 B.

In a most enlightening interview with Bloomberg on the 22nd of January, Ms. Wood did not mince her words as she critiqued the token’s apparent lack of real-world utility. She remarked, with a hint of sarcasm, that while there exists a fanciful notion that ownership of this token might grant one the privilege of meeting the former President himself, she perceives little value in it beyond its status as a mere meme coin. “This Trump Coin,” she quipped, “isn’t going to have any utility. There is speculation that you’ll get to meet President Trump as one of the utilities of owning this coin. I don’t know if that’s the case or not, but so far, we don’t know of much utility for this coin, except that it is a meme coin of President Trump himself.”

ARK Invest’s Crypto Holdings and Investment Strategy

Her remarks arrive amidst a rather spirited debate regarding the legitimacy of meme coins, particularly those that are entwined with political figures. The TRUMP token, which made its grand entrance just prior to Trump’s inauguration on the 20th of January, experienced a meteoric rise of 11,000% in value within mere hours, igniting a broader frenzy in memecoin trading volumes, which astonishingly reached nearly $18 billion last week.

In stark contrast to such speculative tokens as TRUMP, ARK Invest has historically directed its attention towards digital assets that possess clear use cases and the potential for long-term adoption. Ms. Wood has been an ardent advocate for Bitcoin, which currently stands at a princely BTC price of $101,642, with a 24h volatility of 3.5% and a market cap of $2.01 T. She has frequently predicted that Bitcoin could surpass the remarkable sum of $1 million by the year 2030.

Moreover, ARK Invest holds a significant stake in Coinbase (COIN), a leading publicly traded crypto exchange, which Ms. Wood has praised for its role in bridging the realms of traditional finance and the crypto economy. She views it as a pivotal player in the industry’s long-term growth.

With a wry smile, she expressed her preference for focusing on the “big three” cryptocurrencies—namely Bitcoin, Ethereum, and Solana—rather than squandering her resources on Trump’s newly launched meme coin. “We’ve pretty much stayed away from the meme coins. We’re very focused on the big three,” she stated, as if to suggest that one’s financial acumen ought to be guided by reason rather than whimsy.

Skepticism Over TRUMP Coin and Political Meme Coins

Ms. Wood’s dismissal of the TRUMP token serves to underscore her broader skepticism towards meme coins, which are often characterized by extreme volatility and a conspicuous lack of underlying fundamentals. She likened the current memecoin frenzy to the notorious initial coin offering (ICO) boom of 2017, which, while introducing many new investors to the crypto sphere, also led to rampant speculation and regulatory scrutiny.

Her concerns, however, are not singular. The blockchain analytics firm Chainalysis has recently reported that both the TRUMP token and the Official Melania Meme (MELANIA) token are heavily concentrated among a select group of affluent holders. According to their findings, a mere 40 crypto whales control an astonishing 94% of the total supply of both tokens, raising eyebrows regarding potential market manipulation.

Despite these rather alarming issues, the TRUMP token has managed to attract a veritable flood of new users. Data from DexScreener reveals that a staggering 790,000 wallets now hold TRUMP, while 343,000 wallets are in possession of MELANIA. Chainalysis noted that nearly half of the

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2025-01-23 15:37