Trump Coin: We Asked Experts If a Buy Was Worth the Risk
New opportunities for your money can be exciting and scary at the same time. For instance, lots of questions have been circulating about the Official Trump ($TRUMP) meme coin.
The Trump Coin is a Solana-based meme cryptocurrency launched at the beginning of 2025. Rather than a real investment, it’s often viewed as a way to show support for the president.
Here’s a closer look at the Trump Coin and some things to consider before you shell out any of your money for the purchase.
Significant Losses Reported
It may be helpful to start with some numbers. According to The New York Times, nearly 1 million people who bought the meme coin have lost about $3.81 billion through the end of June. The news comes as the president signed an annual financial disclosure showing he walked away with a $636 million payout related to all of this.
“Cryptocurrency is a gamble,” said Melanie Musson, a finance expert with Quote.com. “Even established cryptocurrencies are extremely risky. If you invested $47 (Donald Trump is currently the 47th President of the United States) in Trump Coin when it first came out, you’d have lost just about all of it. If you invest $47 in it now, you might lose it all or you might win big, which is unlikely.”
Marcus Sturdivant Sr., managing member of The ABC Squared, echoed similar feelings. “Whatever you may have invested in something this speculative, just assume you’re going to lose 100% so you’re not banking on that money,” he noted.
A Question To Ask Yourself
Jacob Bayer, certified financial planner (CFP) and founder of Jacob Bayer Wealth Management, said there’s a question to ask before spending on a token: What has to happen for this to be worth more later?
“With a real investment, you can answer that,” Bayer noted. “A company grows earnings, a bond pays interest and a fund tracks a broad market that's risen over time. With a coin tied to a name, the only answer is that someone pays more than I did.”
The Coin vs. Real Investments
According to Ali Zane, personal finance expert and CEO of IMAX Credit Repair Firm, “A meme coin [isn't] an investment; it's a lottery ticket with a logo. In 20-plus years in consumer finance, I've watched people confuse the two, and it usually ends the same way. An investment has something underneath it — earnings, rent, interest and a reason to hold value when the hype fades. A personality-driven token has a story and nothing else.”
Jared Vidales, CEO of Highest Cash Offers, added, “A real investment puts your money into something that produces value whether or not anyone's watching. A token tied to a personality can go to zero the day the story changes.”
Alternatives To Consider
Per Musson, if you want to invest for financial security, steer clear of the Trump Coin.
“The stock market has ups and downs, but over time, it has demonstrated an upward trend,” she said. “If you invest in an index fund, you can experience the benefit of the overall market trends. Over time, your [money] is very likely to increase in value.”
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.