The Truth Social platform, affiliated with former U.S. President Donald Trump, is preparing to launch its own cryptocurrency token. According to analysts, the memecoin could debut within the next 72 hours.
Reports indicate that the development is being carried out with the involvement of the team previously responsible for launching the TRUMP token and will be part of Truth Social’s broader economic model.
According to a letter to shareholders from Trump Media Technology Group (TMTG), the new asset will be used to pay for subscriptions to the Truth+ service and across other sections of the platform. The initiative is aimed at increasing user engagement and expanding monetization options. While details remain limited, the launch is seen as a step toward building a full-fledged internal economy for the platform.
Market Reacts Cautiously
Despite the high-profile announcement, investor response has been subdued. TMTG shares fell by 0,99% during after-hours trading, which may reflect market participants’ caution. Analysts believe the token launch could change how users interact with Truth Social, but note that too many uncertainties remain for now.
TRUMP Token Failures, Investigations, and Proposed Legislation
The new launch comes amid mounting criticism related to Trump’s previous crypto ventures. The TRUMP memecoin, issued by Fight Fight Fight LLC, initially surged in price before crashing. Senator Richard Blumenthal described the price swings as indicative of a pump-and-dump scheme, where privileged insiders profit at the expense of mass investors. After a temporary 52% rise following a dinner-with-Trump giveaway campaign, the price began to decline again.
According to Chainalysis, out of approximately 2 million wallets that purchased TRUMP, about 764,000 are in the red. This has fueled concerns that the former president is leveraging his public image and former office to promote questionable assets.
Investigations and Potential Ban
Against this backdrop, the Senate’s Permanent Subcommittee on Investigations (PSI), chaired by Blumenthal, has launched a probe into Trump’s crypto activity. Senators Chris Murphy and Sam Liccardo have also introduced the MEME Act, which would prohibit the president, members of Congress, and their families from creating or promoting digital assets. Murphy called the TRUMP token “the most corrupt act ever committed by a U.S. president.”
This post is for informational purposes only and is not an ad or investment advice. Please do your own research making any decisions.