It crashed by over 90 percent almost immediately.

Family Affair

Following the launch of two meme coins by president Donald Trump and first lady Melania Trump last week, scammers were happy to follow suit and grift their way to millions.

A fake meme coin named after Trump's youngest son Barron, dubbed Official Barron Meme, took off on Monday, soaring to a valuation of more than $400 million — before crashing by more than 90 percent just minutes later, as Cointelegraph reports.

It was a textbook example of a rug pull, with scammers cashing in on rampant hype and speculation, only to abscond with millions by leaving gullible investors high and dry (countless other unofficial meme coins also capitalized on the excitement surrounding the president and his wife's dubious crypto schemes, with more limited success.)

In many ways, it's exactly the kind of headline that actual crypto execs are afraid of as Trump embraces the scammiest side of the tech. The largely unregulated industry has been watching in horror as Trump continues to undermine its legitimacy with naked cash grabs.

Unserious Business

Trump's family has had to ward off a wave of crypto scams, with Eric Trump dispelling rumors on X-formerly-Twitter last week that an official "USA Coin" could be "released in a week."

Other tokens like FreedomCoin (FREED), TrumpCoin (DJT), and Save America (DJT) added to the confusion, making the rounds despite having no actual affiliation with the president.

In short, it shouldn't come as a surprise that the crypto industry reacted with pure disbelief when Trump announced his own meme coin, with influencers questioning the ruse's legitimacy.

"If it’s a hack, then this is going to severely mute Trump’s bullishness on crypto right as he takes office (bearish)," BecauseBitcoin founder and CEO Max Schwartman tweeted shortly after Trump's legitimate announcement last week.

The president had to double down, assuring investors that $TRUMP was indeed his official meme coin. So far, the token and $MELANIA are the only verified meme coin projects with actual ties to the family.

In many ways, the damage has already been done. Now that Trump has set the tone by launching his own meme coin, the crypto industry is understandably concerned about where things are headed, especially as far as crypto regulation is concerned.

"I really was kind of bummed out when I saw it," crypto venture capital firm Dragonfly partner Tom Schmidt told ABC News. "It just felt very grifty and cheap."

"Now, on the cusp of getting some liberalization of crypto regulations in this country, the main thing people are thinking about crypto is, 'Oh, it’s just a casino for these meme coins,'" Trump supporter and crypto investment firm Castle Island Ventures partner Nic Carter added. "It does the opposite of validating us, it makes it look completely unserious."

More on the grifts: Actual Crypto Execs Disgusted by Trump's Memecoin Cash Grab


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