Memecoins
Meme coins plummet amid political unrest
Former US President Donald Trump, the controversial figure, is once again in trouble, and that is serious. The candidate for the 2024 US elections was found guilty by a Manhattan jury of 34 crimes related to the “silence” case.
The major shockwave received by meme coins, known for their volatile nature, saw dramatic changes on Thursday. Prices of Donald Trump-themed coins subsequently plummeted, highlighting how trader sentiment can have a rapid impact on the value of these coins.
Memecoins fall sharply
The recent guilty verdict against former US President Donald Trump has had a significant impact on the market meme coins associated with him. The TRUMP meme coin plunged as much as 35% after the announcement, though it quickly recovered and nearly regained its previous peak. In total, over $130 million was wiped off the TRUMP token’s market capitalization in a short span of 20 minutes after the news broke, as reported by CoinGecko. The TRUMP token price has since recovered and is now near its 24-hour high.
Other Trump-themed tokens, such as Super Trump (STRUMP) and Baby Trump (BABYTRUMP), have also seen similar declines, but have not recovered as well. Interestingly, the meme coin associated with Joe Biden, Jeo Boden (BODEN), briefly rose 6.4% after the verdict, but soon fell below its pre-verdict price.
The broader political finance meme coin market (PolitiFi) saw a slight decline, with a 0.1% drop in market capitalization, bringing the total value to around $1.56 billion.
Trading cards are taking a hit
Legal problems have also affected Trump’s cryptocurrency projects. Trading volume for his “Trump Digital Trading Card Collection” dropped 99% ahead of the April trial. Launched in December 2022, the NFT collection initially sold 45,000 tokens at $99 each.
Details of the sentence
On May 30, a Manhattan jury found Trump guilty of 34 counts of falsifying business records, related to his lawyer’s payment of $130,000 to an adult film actress before the 2016 election. Trump insists that he is innocent, claiming that the trial is politically motivated.
He plans to challenge the decision, suggesting a “real trial” during November’s election. The case now moves to the sentencing phase under Judge Juan Merchan, where both sides will present arguments in favor of their preferred punishments through sentencing memoranda.
A historic moment in American politics
The ruling has intensified the political climate in the United States. Despite public discontent with Trump’s legal issues, Polymarket, powered by Oracle’s blockchain, still predicts that Trump will defeat Biden in the next election.
Trump’s sentencing is expected in July and Trump could face up to four years in prison, marking the first time a former US president has been convicted of a crime. This process could have a significant impact on its public image and cryptocurrency ventures.
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