Donald Trump’s Rumored Token Hits $150M Market Cap — And Crashes

LUCKNOW (CoinChapter.com) — A new cryptocurrency called “Restore the Republic” (RTR) on the Solana blockchain has left investors reeling after a meteoric rise and sudden crash. The token is rumored to be connected to former President Donald Trump. RTR saw its market value soar to $155 million before plummeting 95% in a matter of hours.

What Went Wrong?

The excitement began earlier this week when Eric Trump, son of the former president, tweeted about his newfound love for cryptocurrency and hinted at a big announcement. The crypto community started speculating about a potential official Trump token.

Furthermore, Ryan Fournier, chair of Students for Trump, suggested that RTR might be the official Trump coin.

This endorsement contributed to the token’s rapid ascent, attracting investors eager to capitalize on the Trump brand in the crypto space.

However, the bubble burst when Eric Trump issued a warning about “fake tokens” and clarified that no official Trump project had been announced yet. This statement triggered a massive sell-off, causing RTR’s value to plummet by 95% from its peak price.

Around 20 minutes after Eric Trump made clarification about fake memecoin RTR, Fournier also posted on x, clarifying:

I was told by sources that Don Jr. would be backing this token. That is why I said rumor. I’m not a big crypto guy and I was not in any way involved in this project.

You May Also Like: Donald Trump Vows to Fire SEC Chair Gary Gensler ‘On Day One’ if Reelected

Five Wallets Made $4 Million In Profits Within Hours of RTR Launch

Blockchain analysts have raised concerns about potential insider trading. According to data from Lookonchain, five crypto wallets associated with early investors or insiders reportedly made $4 million in profits within just six hours of the token’s launch and subsequent crash.

These wallets purchased large amounts of RTR at low prices and sold them for substantial profits.

Further complicating the situation, Kanpai Labs, known for NFT projects, reportedly advertised the token before its launch. The creator of Kanpai claimed the Trump family set the launch date but then “rugged” them. The term “rugg” used in the crypto world to describe a scam where developers abandon a project after raising investor funds.

This incident bears similarities to other recent issues with Trump-themed tokens. For instance, another token called DJT recently tanked 90% after claims of involvement from Donald Trump’s son, Barron, were disputed.

Despite these setbacks, interest in Trump-related cryptocurrencies remains high. Analytics firm LunarCrush reports that there are currently 162 Trump or MAGA-related crypto tokens, up from 111 just two weeks ago.