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11 hours ago

The Level of Insider Trading on Trump Coin Was Unprecedented

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The launch of Trump Coin in 2025, a politically themed cryptocurrency inspired by former President Donald Trump, triggered intense media and market interest — but what followed behind the scenes has shocked even seasoned crypto analysts.

Shortly after the coin’s public debut, on-chain data revealed a coordinated wave of insider trading activity that rapidly enriched a small group of early holders at the expense of everyday investors. The scale and precision of the actions were described by blockchain investigators as “insane” and “brazen,” even by memecoin standards.


Pre-Announcement Accumulation

In the hours and even minutes leading up to Trump Coin’s public promotion, a group of wallets — now linked through forensic blockchain analysis — began accumulating massive amounts of the token. These wallets executed large-volume purchases just before the project was mentioned publicly, suggesting foreknowledge of the announcement.

This early access allowed them to buy in at extremely low prices — far below what the general market would see once the token became widely visible.


Post-Pump Sell-Off

As expected, public exposure led to a surge in price and buying activity, with retail traders flooding in, hoping to capitalize on the momentum. However, while retail investors were buying in, the insiders were already exiting.

Large amounts of tokens were sold within a short window, generating millions of dollars in profit for a select few. In some cases, wallets that had been dormant immediately prior to the launch were activated to perform synchronized dumps, further reinforcing the suspicion of coordinated behavior.


Centralized Supply and Manipulation

Reports later confirmed that a significant portion of Trump Coin’s total supply was pre-allocated or accessible to a handful of wallets, giving these insiders enormous influence over the token’s short-term price action.

This lack of decentralization allowed them to:

  • Manipulate supply and liquidity
  • Create artificial scarcity
  • Pull out massive profits during peak hype

Investor Backlash

After the dump, Trump Coin’s value plummeted by over 80%, erasing most of the early gains and triggering frustration, outrage, and financial losses among retail holders. For many, it served as yet another example of how celebrity-themed coins can be exploited when transparency and fair tokenomics are missing.


Conclusion

The insider trading associated with Trump Coin wasn’t just high — it was systematic, calculated, and predatory. It highlights the critical need for:

  • Public scrutiny of memecoin launches
  • Transparent token allocation practices
  • Greater accountability in influencer-linked crypto promotions

Until meaningful safeguards are in place, Trump Coin’s explosive but short-lived saga will remain a glaring reminder of how easily hype can turn into exploitation in the crypto space.

author avatar
Josh Weiner

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