Trump and Melania Cryptocurrency Tokens Result in Estimated $4.3 Billion Loss

The TRUMP and MELANIA cryptocurrency tokens, launched by President Donald Trump and First Lady Melania Trump over a year ago, have resulted in an estimated $4.3 billion loss for retail investors.

Blockchain data shows that the tokens have plummeted as much as 92% and 99% from their peaks, with the TRUMP token falling to $3.55 from its all-time high of $75, and the MELANIA token dropping to 11 cents from $13.05.

The decline is attributed to the tokens' design and insider liquidity strategies. According to on-chain forensics, anonymous accounts linked to the initial developers systematically drained decentralized liquidity pools, using a strategy called single-sided liquidity provision. This allowed insiders to deposit only TRUMP and MELANIA tokens without pairing them with dollar equivalents, programming the automated market maker to continuously sell their holdings to incoming retail buyers.

The threat of continued dilution looms heavily over the remaining holders, with $2.7 billion in insider tokens locked inside smart contracts until 2028. This expiration date coincides perfectly with the end of Trump's presidential term, establishing a highly structured exit strategy for insiders. As a result, underwater retail holders will likely serve as exit liquidity for this final insider payout when those tokens finally hit the open market.