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- Trump’s memecoin gala sparks bipartisan backlash and calls for ethical investigation.
- TRUMP token dips despite past gains, raising doubts over market trust and intent.
Donald Trump is set to host an exclusive gala dinner for the biggest supporters of his Official Trump [TRUMP], stirring fresh controversy across party lines.
In a Truth Social post, President Trump revealed plans for a high-profile event on the 22nd of May, inviting the top 220 token holders.
Needless to say, this initiative has now sparked bipartisan criticism and renewed impeachment chatter.
This initiative highlights Trump’s bold embrace of memecoins, which is going beyond his token, potentially fueling momentum for others like MAGA, Dogecoin [DOGE], and Pepe [PEPE].
What are watchdogs concerned about?
Yet the initiative hasn’t come without criticism.
The watchdog group Accountable.US criticized the event as a clear attempt at personal gain through political influence. They warned it could enable wealthy, possibly foreign investors to buy proximity to power.
Despite the backlash, Trump remains unfazed, presenting crypto as a strategic necessity. He believes the U.S. must lead in crypto adoption before global competitors like China take the lead.
Standing firm on his stance, Trump said,
“I’m not profiting from anything. All I’m doing is I started this long before the election. I want crypto.”
Impact on the crypto market
Despite the hype surrounding Trump’s upcoming gala, the Official Trump token is struggling to maintain momentum.
At press time, the token was trading at $10.69, marking a 3.76% dip in the last 24 hours, according to CoinMarketCap.
This downturn aligns with a broader cooling across the memecoin sector, which saw its total market cap shrink to $55.2 billion, a 1.1% drop per CoinGecko.
Additionally, the global crypto market also reflected the slowdown with a 0.86% decline, resting at $2.93 trillion.
This market reaction differs sharply from the price surge following Trump’s previous announcement. At that time, TRUMP rallied from a near all-time low of $11.07 to a high of $13.60, marking a 60% gain before a slight correction.
During the spike, whales aggressively accumulated the token, indicating strong speculative optimism. However, that optimism now appears to be fading.
The conflicting market response to Trump’s memecoin activities raises questions about his true motivations. These moves may be driven more by personal gain than by public interest.
Senator Warren eyes Trump’s financial endeavors
This suspicion was also earlier echoed by Democratic Senator Elizabeth Warren, who had previously voiced strong concerns over Trump’s growing footprint in the financial space, especially through his crypto-related initiatives.
She had put it best when she said,
“All SEC decisions and actions involving (Trump Media & Technology Group) and President Trump’s financial interests should be carefully managed to ensure that they are free from undue political interference and influence from the President and his administration.”
Therefore, as scrutiny intensifies, calls for investigation are gaining traction, suggesting that what’s framed as innovation may mask deeper political and ethical implications.
