BTC $71,807
2026 Bull Run Is Building Start trading with 5% OFF all fees
Sign Up Now
BTC $71,807
Bull Run 2026 | 5% Off Fees Open your Binance account today
Sign Up

Politicians Fuel Memecoin Frenzy; Market Crashes 65% in 2025

Memecoin market plunges about 65% after political Solana token launches, extreme volatility and legal scrutiny

  • Memecoin market value peaked at about $150 billion in December 2024 and has since fallen roughly 65% to just over $53 billion.
  • Political figures launched or promoted several high-profile tokens on the Solana network, driving rapid price swings and scrutiny.
  • High-profile drops included a token tied to Donald Trump, a token for Melania Trump, and a token promoted by Javier Milei, each experiencing extreme volatility.
  • New memecoin infrastructure projects raised large sums but face legal challenges and accusations of unfair practices.
  • Memecoins reached mainstream investing via exchange-traded products for Dogecoin, though many ETF applications remain unapproved.

Memecoin values surged then collapsed after political launches and market scandals in early 2025. Research shows the total memecoin market reached about $150 billion in December 2024 and peaked, while data shows it later fell roughly 65% to just over $53 billion, according to CoinGecko data.

- Advertisement -

In January, a Solana-based token linked to Donald Trump debuted and soared to about $8.7 billion before collapsing more than 90% to just over $1 billion, after the team dropped the asset on January 18. The administration denied conflicts, with a deputy press secretary saying, “President Trump’s assets are in a trust managed by his children. There are no conflicts of interest,” while opponents cited the token as a corruption concern.

A separate token for Melania Trump launched on January 20 and spiked as much as 12,000% in 24 hours before losing about 98% of its value. The project’s site described the token as “intended for collecting and entertainment purposes only” and “not financial instruments or investments.” The Solana-based exchange tied to both tokens faces a class-action lawsuit alleging a pump-and-dump scheme in court filings.

In February, Argentine president Javier Milei promoted a Solana token called LIBRA that briefly rose to more than $4.5 billion and then collapsed by about 97%. That token drew controversy and a later investigation; it was compared against the failed Meta-touted Libra project in reporting.

Infrastructure plays grew as the memecoin generator Pump.fun raised $500 million in July and now accounts for about 80% of daily new tokens, according to analysis shown. Pump.fun has seen its market cap fall about 40% to $1.3 billion and faces a 2026 lawsuit alleging collusion with entities including Solana Labs and the Jito Foundation.

- Advertisement -

Memecoin exposure reached mainstream investors when a Dogecoin ETF from REX-Osprey launched with strong initial trading, and Grayscale later listed a Dogecoin ETF, GDOG, which recorded modest volume as reported on social channels in a tweet. Despite approvals for some Dogecoin funds, many memecoin ETF applications remain unapproved and the sector has settled into lower valuations after 2025’s volatility.

✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -
Ad
Altseason Is Loading. Don't watch from the sidelines.
SOL $90.51
DOGE $0.0963
LINK $9.02
SUI $1.00
5% off fees when you sign up
Start Trading
Ad
Pay Less on Every Trade. For Life.
$10K/mo volume Save $60/yr
$50K/mo volume Save $300/yr
$100K/mo volume Save $600/yr
5% off all trading fees when you sign up
Claim Your Discount

Latest News

ImmunityBio founder touts sepsis trials, NantX after Binance theft

Patrick Soon-Shiong renewed his “NantX coming soon” teaser after a $6.3 billion Binance theft,...

Crypto.com Shuts Hong Kong App, Eyes Institutional Exchange

crypto.com will shut down its consumer app in Hong Kong on Feb. 1, 2027,...

Kim Yo Jong denies North Korea behind Binance hack, hints US

Kim Yo Jong denied North Korea's involvement in the $6.3 billion Binance hack and...

Strive buys 124 BTC, fourth among public companies

Strive acquired 124 Bitcoin for roughly $10 million between Oct. 24 and Oct. 30,...

Claude finds 9.8 zero-click Linux root bug

Claude discovered a zero-click Linux vulnerability (CVE-2026-98432) rated 9.8 out of 10, described as...

Must Read

Best Crypto Audiobooks of 2026: The Ultimate Listen & Learn Guide

You can't read Bitcoin charts while driving 70 mph on the highway. You can't study Ethereum whitepapers during your morning run. But you can...
Ad
Altseason Is Loading. These 4 coins are trending right now.
SOL $92.12
DOGE $0.0950
LINK $9.02
SUI $1.02
5% off spot fees when you sign up
Start Trading