Trump in focus: Critical questions about the memecoin dinner with the presidential seal!

Trump in focus: Critical questions about the memecoin dinner with the presidential seal!

President Donald Trump is currently at the center of controversy after appearing at a private event for investors in his newly launched memecoin TRUMP. The event took place Thursday at Trump National Golf Club in Virginia and gathered 220 investors. Trump spoke from behind a lectern marked with the official presidential seal, potentially violating federal law. According to the regulations, the presidential seal cannot be used to give the impression that a matter is approved or sponsored by the government. This could result in fines or even up to six months in prison Cointelegraph reported.

Trump's appearance not only attracted attention, but also criticism. The president praised the investors in attendance and expressed negative comments about the Biden administration's crypto policy. In this regard, 35 members of the House of Representatives called for an investigation into the Memecoin Dinner by the Department of Justice. To determine whether there are possible violations of federal bribery law or the Foreign Emoluments Clause of the U.S. Constitution, as the majority of guests may have been foreign nationals. The TRUMP memecoin could therefore offer foreign governments the opportunity to buy influence over the president without having to reveal their own identity. This violates U.S. law, which prohibits foreign individuals from financially supporting political campaigns.

Criticism and legal concerns

The use of the presidential seal raised not only legal concerns, but also ethical questions. Jürgen Geuter, a commentator, described the action as "extremely problematic" and compared it to the difficulties faced by former heads of state who had to separate their businesses to avoid conflicts of interest. In Germany, investment opportunities for politicians are highly regulated, which is in clear contrast to Trump's actions, according to Geuter.

Opinions are divided about Trump's crypto activities. Business information scientist Vincent Schaaf was critical of Trump using his official power to introduce a new cryptocurrency. This could revive old scams and lead to new scam incidents. The hype around cryptocurrencies, especially memecoins, arose during the Corona period, with buyers often being addressed via emotional symbols without any real economic success behind them.

Financial dimensions

The TRUMP Memecoin has already become one of the most valuable cryptocurrencies in the world. As The New York Times reports, the coin reached a high of $74.34 within two days, but fell to $14.44 by May 22. As of Saturday, the Trump team had already earned $58 million in fees from sales of the TRUMP memecoin. This could result in billions of dollars in profits for the Trump family. Justin Sun, the founder of Tron, invested over $40 million in the TRUMP token and has reported close ties to a Trump-linked crypto company currently under review by regulators WDR.

On the Trump Coin homepage it is explained that the memecoin is intended as a sign of moral support, not as an investment object. Nevertheless, the real economic impact of such crypto projects is often uncertain and associated with high risks. Given the volatility of memecoins, potential investors should be aware of this danger as they can quickly lose a lot of money.