Musk's Epstein Claims Spark 6.4% Dogecoin Drop 10% Trump Token Plunge

Tensions between the U.S. President and the world's richest individual escalated on Thursday when Elon Musk claimed that President Donald Trump is mentioned in files related to convicted child sex offender Jeffrey Epstein. This revelation has sparked a significant public spat between the two figures, marking a tumultuous end to their once-friendly relationship.

In the wake of Musk's allegations, two meme coins closely associated with Trump and Musk— the Official Trump token and Dogecoin—have experienced a decline in value. Both cryptocurrencies are among the worst-performing assets of the day, reflecting the impact of the deteriorating relationship between the two influential figures.

Epstein, who was charged with sex trafficking minors in 2019, had a history of connections with prominent individuals, including celebrities, politicians, and even members of the Royal Family. His case has garnered significant public interest, with many calling for the full disclosure of related files. In February, the FBI released the first phase of the Epstein files, which contained redactions. No additional files have been released since, leading to speculation about what information they might contain.

Musk's allegation that Trump is mentioned in the Epstein files has added fuel to the fire, suggesting that the files have not been fully disclosed due to Trump's involvement. This claim has not been substantiated, and Musk did not specify the extent of Trump's mention in the documents. The public spat between the two figures has intensified, with Trump reportedly asking Musk to step down from his governmental position and Musk seeking support from a new political party.

Dogecoin, which has long been Musk's favorite meme coin, has been particularly affected by the fallout. The cryptocurrency has slipped 6.4% on the day, making it the seventh worst-performing asset among the top 100 cryptocurrencies by market capitalization. The Official Trump token has also taken a hit, dropping 10% to $9.66 and becoming the second biggest loser among the top 100 cryptocurrencies. This decline comes just two weeks after Trump attended a dinner with the top 220 token holders, where one attendee expressed dissatisfaction with the quality of the food served.

Traders have capitalized on the falling out between Trump and Musk, with a surge in the creation of new meme coins. On Thursday, 37,769 tokens were created across the most notable launchpads, marking a 25% increase from the previous day. Among the new tokens, the President Vs Elon meme coin reached an $8 million market cap before falling 75% to $1.96 million. A Pwedo token, which plays off the allegation that Trump was involved with Epstein, spiked to $945,450 before tanking 58% to $397,750. An Official Musk coin, mirroring the official Trump coin, surpassed $9 million but is now down 64.5% to $3.19 million. The biggest winner from this all is the Kill Big Beautiful Bill token, which spawned at the start of Musk’s rants about the President. On Thursday, it peaked at $52.5 million but dumped 86.7% to $6.97 million. Then, Musk started with his Epstein allegations causing the token to pump 679% to a new all-time high of $54.4 million.