When Meme Coins Go Wild: The $160M Trump Coin Fiasco!

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Well, it seems that in the grand circus of cryptocurrency, the ringmasters this time were none other than the bigwigs from Galaxy and Ripple. Yes, you heard it right! They swooped in like caped crusaders to save the day for Donald Trump’s official meme coin, aptly named TRUMP—because why not? 🎩💰

Now, let’s get to the juicy bits. The TRUMP token launched on January 18, and within a blink of an eye, it was trading like hotcakes at a summer fair. The demand was so intense that MoonPay, the exchange in charge, had to scramble for emergency funds faster than you can say “Make America Great Again.” The market cap shot up from a humble $200 million to a staggering $10 billion in just 48 hours. Talk about a meteoric rise! 🚀

TRUMP Token’s Explosive Growth but MoonPay’s Liquidity Crisis

As if the universe was playing a cosmic joke, this meme coin made its debut just days before Trump’s swearing-in ceremony. It was a historic moment—never before had a president been directly linked to a digital asset. The token quickly secured listings on major exchanges, racking up over $20 billion in trading volume in just two days. I mean, who knew memes could be so lucrative? 😂

But hold your horses! While the TRUMP token was busy making headlines, MoonPay found itself in a bit of a pickle. Demand peaked on a Saturday, a day when they couldn’t access their fiat accounts. And wouldn’t you know it, the following Monday was a public holiday—Trump’s inauguration day, no less! Talk about timing! 🗓️

MoonPay was now in dire straits, needing over $100 million to keep the TRUMP trading train rolling. With no other options, they had to reach out for a short-term loan. Because, of course, that’s what you do when you’re in a financial bind—call your rich friends! 💸

Crypto Execs to The Rescue

Enter MoonPay’s president, Keith Grossman, along with CEO Ivan Soto-Wright and CFO Mouna Siala. They calculated that a cool $100 million in USD Coin stablecoin would do the trick. So, they dialed up Galaxy’s Mike Novogratz for a loan. After some back-and-forth, they struck a deal—proof of repayment was shown, and the funds were secured. Easy peasy, right? 🤷‍♂️

But wait, there’s more! The TRUMP token’s demand was still off the charts, and Melania Trump’s MELANIA tokens were also making waves. MoonPay quickly realized that their initial $100 million wouldn’t cut it. So, they turned to Ripple’s CEO, Brad Garlinghouse, for an additional $60 million. Ripple obliged, but not without some strings attached—personal asset pledges from MoonPay’s leadership. Because what’s a little collateral among friends? 🤔

Finally, on the following Tuesday, once they could access their fiat accounts, MoonPay repaid both loans in full. A happy ending, right? Well, not quite. Despite its explosive launch, the TRUMP token has since plummeted over 79% from its January 19 peak. It’s a classic case of meme coin volatility, proving that even when backed by a former president, fortunes can change faster than you can say “cryptocurrency.” 📉

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2025-02-12 17:56