Emily Walker
Following the recent excitement surrounding memecoins, sparked by the launch of the official token by US President Donald Trump, opinions within the cryptocurrency community have become divided. Vitalik Buterin, the founder of Ethereum, has voiced concerns regarding the potential dangers associated with such tokens.
Political Tokens: Entertainment or Bribery Devices?
Last week, President Trump made headlines in the crypto world by unveiling his official token, TRUMP. This memecoin shattered records for new cryptocurrencies, achieving over $10 billion in trading volume, an all-time high (ATH) price of $75, and a market cap of $15 billion within just two days.
However, the unexpected launch raised alarms among members of the crypto community. Investors showed skepticism, particularly after learning about the token’s distribution. According to the official site, only 20% of the total 1 billion TRUMP tokens are accessible to the public, leaving a staggering 80% with the issuers.
This led numerous community participants to question the future implications of TRUMP’s memecoin. Vitalik Buterin expressed his thoughts on the platform X.
He emphasized the need to discuss the ramifications of “politician coins,” stating that a new phase has begun within the industry:
In the past year, we have entered a new era where influential figures support the idea of token creation on any scale. It’s essential to differentiate between short-lived enjoyment that may mislead newcomers and sustainable wealth-building strategies.
Buterin argues that the discussion should focus not on the negativity of fun but rather on the implications of large-scale political tokens that cross into dangerous territory. He perceives these tokens as more than just entertainment—they could lead to “unlimited political bribery,” including from foreign nations. Further clarifying his stance, Buterin stated that these cryptocurrencies could serve as an ideal means for bribery since financial tokens don’t necessarily have to be sent for a bribe to occur.
He warned that individuals might hold these tokens, gaining value in a way that allows plausible deniability, thereby posing risks to democratic processes.
Divided Opinions in the Crypto Community on Politician Memecoins
Buterin’s remarks sparked a lively debate, with many in the community challenging his viewpoint. One user on X argued that the Ethereum founder was misinterpreting the situation, noting that bribery exists already and that visibility on-chain could be more beneficial.
Another user pointed out that political tokens might “democratize fundraising,” emphasizing the importance of not dismissing innovative ideas due to their disruptive nature.
Adding to this discourse, the CEO of CryptoQuant, Ki Young Ju, voiced similar sentiments. As reported by Bitrabo, he believes that Trump’s actions have ushered in a new era for memecoins, considering celebrity-backed tokens just one variant of them.
He encouraged exploring the potential benefits of these tokens, suggesting that Trump could engage those who hold his cryptocurrency as a robust community for collaborative efforts. Ju further indicated that the value of these tokens would heavily rely on the actions of their associated figures, ultimately concluding that this trend appears “unstoppable” through 2028.
