2024 US presidential election year
In this year's US presidential election, Trump and Biden adopted a completely different strategy from the previous election. Last time, each side held its own view, and if one went east, the other would go west. The biggest difference this time is that if one went 50 meters east, the other would immediately increase the stakes to 100 meters east.
The museum’s public account: Encrypted ah meow, no need to waste the beautiful skirt.
In order to please voters, the US cryptocurrency policy has become more relaxed this year, from Bitcoin ETF to Ethereum ETF. The recent election activities have also had a positive impact on the virtual currency market. The first round of presidential debates on June 27 and Trump's plan to speak at the Bitcoin 2024 conference in July have filled the market with positive expectations for cryptocurrencies.
Political Tokens
The value of the PolitiFi Coin comes from the fact that the token is named around topics in the political world (mainly related to the United States), and it uses a community-led propaganda method, just like the common Meme Coin.
Popular election MEME coins
Compared with the Biden administration, Trump has been more open about his love and understanding of cryptocurrencies. This also suggests that Trump may promote a more favorable regulatory environment for the development of cryptocurrencies. He has repeatedly mentioned before that he wants to make sure that Crypto is great again and happens in the United States. There are already many Trump-related tokens on the market, and the number is much larger than that of Biden. These meme tokens related to the US presidential campaign may receive attention during the heated debate. Let's take a look at the potential layout opportunities:
PEOPLE
PEOPLE (ConstitutionDAO): It was first issued by ConstitutionDAO on the decentralized crowdfunding platform JuiceBox as a proof-of-donation ERC-20 governance token. During the crowdfunding period, 1 ETH donations were enough to get 1,000,000 PEOPLE tokens. The total circulation is 5.06 billion, 100% in circulation, with a current market value of $470 million, ranking 129, and the first issuance time was November 26, 2021. It reached its historical high price of $0.185 within a month of issuance, and is currently priced at $0.09 per coin. If the crypto industry is mentioned and supported during the debate, PEOPLE will undoubtedly usher in a wave of increases.
SLEEP (Trump)
MAGA (Trump): A meme coin named after former US President Trump and his campaign slogan "Make America Great Again" (MAGA). The current US President has also been used in similar projects (such as Biden and his meme "Jeo Boden"). Although Trump is not directly involved in the issuance and trading of MAGA tokens, the creators of the project gifted him 580,000 tokens. The project also claims to donate part of the revenue to charitable organizations. Since its launch on August 11, 2023, MAGA has built a large community and its cumulative holders have exceeded 50,000. MAGA has seen a sharp increase in price in 2024. On June 1, 2024, MAGA hit an all-time high of $17.66 and has now retreated sharply to below $9, and may see fluctuations as the first debate approaches on Thursday.
YOU (YOURSELF Hat)
MAGA (MAGA Hat): Trump’s hat, currently worth $145 million, CMC ranking 322, first issued in May this year. MAGA represents a broader movement with a strong community. If Trump’s approval rating rises during the debate, memes related to the concept will surge.
FLOOR
BODEN (Jeo Boden): BODEN is the largest of a group of meme coins that reference politicians. It currently has a market cap of $112 million and is ranked 384th on CMC. It was first issued in March of this year. When the token was first launched, a trader named paul.sol bought millions of BODEN tokens when the token was trading at less than $0.05 and quickly made a profit of $7 million. In June, within an hour of Hunter Biden, the son of President Biden, being convicted of three federal gun violations, BODEN surged another 14%. This rise was the opposite of what happened after Trump was found guilty, when most of the meme tokens associated with him plummeted, once again proving that the trading of meme tokens is full of randomness.
DJT(TrumpCoin)
DJT (TrumpCoin): On June 17, the famous foreign media Pirate Wires posted that Trump will launch an official token TrumpCoin, named DJT, and also said that his 18-year-old son Barron is the actual controller of the token. As soon as the news came out, the price of DJT once soared to more than 0.04 US dollars. The Trump team has not yet confirmed the issuance of its token. After a series of rumors and refutations, DJT fell by nearly 66.7% in the day. The current price has fallen back to 0.013 US dollars per coin, with a market value of 164 million US dollars.
Related risks
While the PolitiFi Meme Coin may have some attractions, such as the opportunity for quick profits, it also comes with some risks:
Political sensitivity and volatility
Political concept tokens are often linked to specific political figures, events or issues. Due to the ever-changing political environment, such tokens are easily affected by factors such as political opinion and policy orientation, with large price fluctuations and investors facing high market risks. Because their value depends on community activities and there is little or no token economics strategy, the entire supply of most meme coins is in circulation, and the market value is small. There is no upper limit on centralized exchanges and the liquidity is poor. This may make it difficult for investors to buy and sell in a timely manner. In addition, political concept tokens are easily affected by public opinion orientation, negative news reports, and controversial discussions on social media, which may cause the price of tokens to fall rapidly.
Rug Pull Risks
One of the features of Meme Coin is the low barrier to entry, both for traders and creators. Anyone can create a Meme Coin and manage the token supply and smart contract protocol. Due to the low level of regulation in this area and the many precedents of stolen social media accounts, unruly creators may have a negative impact on the liquidity pool.
The issuance of many political concept tokens often lacks a clear economic model and token value support, and is easily reduced to a speculative tool. Project owners may use the fan effect and FOMO psychology to quickly attract investors, and finally sell off arbitrage to cause the token price to collapse, causing huge losses to investors.
Rug pulls are when a token or liquidity pool creator adds their token to a liquidity pool along with standard cryptocurrencies like ETH, SOL, USDT, and withdraws all funds after investors buy in, rendering the token untradable and nearly worthless. This can still happen even with solutions like liquidity locks, especially when there are contract vulnerabilities, where the creator can even set up a blacklist or mint more tokens indefinitely.
Compliance risks and legal disputes:
Many political concept tokens may involve infringement of intellectual property rights, illegal use of political figures’ images and other issues. The relevant parties may be subject to legal proceedings, bringing uncertainty risks to the project and investors. At the same time, some political concept tokens may violate regulatory requirements and face compliance risks such as suspension and cancellation of transactions.
