Fake TRUMP and MELANIA Tokens Attract $4.8M in Just 24 Hours

Fake TRUMP and MELANIA Tokens have become a hot topic in the cryptocurrency world. These imitation tokens, which mimic the branding of official TRUMP and MELANIA memecoins, have raked in over $4.8 million in inflows from unsuspecting investors within a single day. Their popularity underscores the growing appetite for memecoins, but also reveals vulnerabilities in the crypto space.

Scammers Exploit Token Hype

The launch of official TRUMP and MELANIA tokens on the Solana blockchain spurred an explosion of fake tokens. According to data analyzed by Cointelegraph using Birdeye, 61 imitation tokens were launched, each claiming to be the legitimate TRUMP or MELANIA token. These fake tokens attracted over 12,641 wallets in just one day.

Read more from Blockaid’s analysis.

The proliferation of fake tokens also spiked malicious activity. Security firm Blockaid reported that the number of fake tokens doubled to 6,800 on the day of the official TRUMP token’s launch. Scammers used tactics like rug pulls and misleading metrics to deceive investors.

Investor Losses From Fake Tokens

Many investors fell victim to scams involving Fake TRUMP and MELANIA Tokens, losing significant amounts of money. Of the 61 imitation tokens, only nine had liquidity pools exceeding $10,000, and six of these were drained within 24 hours. The MELANIA tokens followed a similar pattern, with some tokens having their liquidity removed entirely.

Risks of Misleading Metrics

Scammers often inflate metrics like market capitalization to make fake tokens appear legitimate. According to Steno Research, such tactics mislead investors and create a false sense of security.

“I would not trust any metrics associated with cryptocurrencies that imitate others,” said Mads Eberhardt, a senior crypto analyst.

Official TRUMP Token: From Surge to Criticism

The official TRUMP token launched on January 17, reaching an initial fully diluted valuation (FDV) of $71 billion, briefly making it the 15th-largest cryptocurrency. However, its FDV later dropped to $40 billion, leading to skepticism and criticism on social media.

Critics, including billionaire Mark Cuban, accused Trump of using memecoins for personal gain.

“Goodbye whatever hope the crypto industry had of legitimizing itself,” Cuban remarked.

Protecting Yourself From Fake Tokens

The rise of Fake TRUMP and MELANIA Tokens is a cautionary tale for crypto investors. To stay safe:

• Verify Authenticity: Always check the official contract address of tokens.
• Avoid Unrealistic Promises: Be cautious of tokens offering exaggerated returns.
• Stick to Trusted Platforms: Use reputable exchanges to minimize risks.

Summary

Fake TRUMP and MELANIA Tokens have demonstrated how easily scammers can exploit high-profile launches. With over $4.8 million in inflows within 24 hours, these tokens highlight the importance of vigilance and proper due diligence in cryptocurrency investing.