TRUMP Memecoin Under Fire by Consumer Advocacy Group Under Solicitation Charges

US President Donald Trump is anything but subtle. He loves to make an entrance, which he did when he swore in last week. As soon as he entered the landscape, he and his officials decided to impose updated tariff plans on Canada, Mexico, and China. This was a landslide decision since it nearly sent the world into a trade war. Which resulted in a major market crash from stocks to crypto.  

Trump landed in another media crisis as Public Citizen, a consumer advocacy group, filed an official complaint against Trump and his Meme coin. The complaint urges a Federal probe into Trump’s all-new meme-coin named TRUMP. The token was launched two days before the swearing-in and instantaneously soared to a market cap of $15 billion in a single day.  

The complaint is simple and calls to attention Trump’s and Truth Social’s social media posts promoting the coin. The group claims that Trump and Truth Social used their social influence and popularity to solicit financial supporters using a Meme coin.  

Given the way Meme coins react, the complaint states, “Because of the nature of a cryptocurrency exchange, it is difficult to know whether foreign state actors are gifting the president by way of purchasing a Trump meme.” In other words, the organization claims that Trump is soliciting funds and that the coin is just a front. 

The complaint also states that being the POTUS, Trump is ethically forbidden from doing this. If this is continued unchecked, public offices might use this to solicit money from supporters. Therefore, this furthers corruption in US governmental structures.  

Following The Money 

Following the money trail, it was found that 80% of the token’s ownership lies with CIC Digital LLC. Interestingly enough, CIC Digital is an affiliation of the Trump Organization and is controlled by Trump’s revocable trust. A trust whose sole beneficiary is President Donald Trump himself.  

This is an interesting detail recorded by sources. The complaint argues that the TRUMP coin is an unethical solicitation from supporters, and such practices could lead to broader problems. One of them is losing the credibility of digital tokens and using crypto to fund corruption.  

As a result, Naylor and Holman wrote a scathing commentary stating, “Should the president be allowed to enrich himself in this way, other politician[s] might follow this path.” Therefore, it will be interesting to see where the case leads.