Trump Memecoin Sees $869M Outflow After Dinner Announcement

Traders have been actively offloading their holdings of the TRUMP memecoin following a significant announcement made during a recent dinner event. According to data from a blockchain analytics firm, the TRUMP memecoin experienced substantial outflows, with more than $869 million in holdings being liquidated within the last seven days. This move by traders indicates a shift in sentiment towards the memecoin, potentially driven by concerns or new information that emerged during the dinner announcement. The decision to offload holdings suggests that traders are reassessing the value and future prospects of the TRUMP memecoin, leading to a significant reduction in their investments.

The outflows occurred during a period when the former US President Donald Trump announced a dinner and White House tour for certain tokenholders. The announcement specified that the top 220 TRUMP holders could apply to meet him at a golf club dinner in Washington, DC, with fewer opportunities for a White House tour. This event seems to have triggered a wave of selling among traders, as more people chose to offload their Trump tokens than new buyers came in. The data shows that there were roughly $96 million in inflows among the top 500 changes, indicating a net outflow of $773 million. This significant outflow suggests that many traders are either looking to secure a dinner ticket or capitalize on price volatility, as some new wallets have entered the top 250 holders while previous holders have exited their positions.

The TRUMP memecoin, launched in January before Trump took office, has faced criticism from lawmakers and leaders in the crypto industry for potential conflicts of interest. The identity of many of the top tokenholders and those who might apply to attend the dinner remains unknown. As of April 25, the top tokenholder had 1,176,803 TRUMP memecoins worth roughly $16 million. The wallet holder, under the username “Sun,” has led to speculation that Tron founder Justin Sun, a Trump supporter and investor in the Trump family-backed crypto firm World Liberty Financial, could be among the dinner attendees. Other tokenholders included usernames like “elon” and “doge,” though it is unclear if Tesla CEO Elon Musk, also a Dogecoin advocate, is involved in the project. The team behind the TRUMP token controls 80% of the total supply, raising concerns among critics that the Trump family could still rug-pull investors.

Before the 2024 election, Trump arranged a similar dinner at his Mar-a-Lago property in Florida with supporters who purchased non-fungible tokens depicting his mugshot during his arrest for allegedly attempting to subvert the results of the 2020 election. It is unclear whether any of the same people who attended the May 2024 event are among the top TRUMP memecoin holders. The recent outflows and the announcement of the dinner event highlight the ongoing scrutiny and speculation surrounding the TRUMP memecoin and its potential implications for the crypto industry.