Weekly musing: buy the rumour or sell the news?
Last week I told you things were about to get crazy and that we would start to see “pre-summer euphoria”. And we did, more than anyone could imagine! Trump unexpectedly launching its TRUMP token wasn’t on the cards. Brave new world?
Courageous or cringe, the story is indeed dystopian. But hear me out as there are many layers to this move. Friday’s launch was aptly timed to reduce legal complications, as after the inauguration Trump can’t mention the memecoin.
Now, Trump has been dabbling in NFTs and crypto for a while, even before launching World Liberty Financial — which was funded with $30M from Tron’s Justin Sun in November. This means the team should have been pro. But it wasn’t.
Why? Because the first launch, TRUMP, was convoluted but at least the company behind it can’t sell any of it for 3 years. While the second, MELANIA, apparently coordinated by another team, but endorsed by Trump, looks problematic.
Heck, even Ryan Selkis, arguably crypto’s most ardent supporter of Trump over the past few years, publicly criticised the move. Anyway, what is done is done and the future is all that matters. Here I agree with Qiao’s options for the paths ahead.
But, zooming out, I keep returning to this post’s opening tweet and how this is a paradigm shift. As Balaji says, this kind of adoption, even if degenerate at first, is the kind of move that really enables blockchain and crypto to permeate society.
And that’s the end game. Moreover, bolder crypto policies can be devised. Some may be akin to reinventing the wheel, but such experimentation will cement the regulatory frameworks that will sustain crypto applications across the board.
This apparent wild west will bring back memories of the early days of crypto, where experimentation was encouraged. Sure, a lot of BS will emerge, but when the dust settles a stronger reality should prevail. At least that’s what we fight for.
In the grand scheme of things, let’s not overthink it. And let’s actively monitor if Trump delivers on the first 100 days. Summer is just around the corner and even if the supercycle comes true I reckon it will be tough to feed this euphoria for long.
Chart art: pump or dump?
Three things: the end or the beginning?
Balaji analyses 16 implications of “the first US crypto president”.
Jeff Dorman explains why TRUMP’s launch “is not the top of the cycle”.
Tim helps you deal with “the dark side and pain caused by TRUMP coin”.
Tweet tip: Coinbase’s IPO top or FTX’s panic bottom?
Meme moment: for the people or from the people?
FV Bank: spend online or in-store?
