Donald Trump is leading Joe Biden in an unexpected arena: the world of political meme coins. As the US presidential election approaches and the two rivals prepare for their first debate, crypto tokens linked to Trump have seen a significant increase in volume and value.
The niche “Politifi” tokens market, with a combined value of approximately $1 billion, is dominated by Trump-linked coins. Despite not offering specific cryptocurrency policies, Trump has presented himself as a cryptocurrency advocate. Of the top 10 political meme coins by market value, seven are based on Trump, many of which leverage his “Make America Great Again” slogan, such as MAGA and MAGA Hat, according to data from crypto platform Coingecko. In contrast, only one token, “Jeo Boden,” is linked to President Biden.
The largest political meme coin, MAGA, trades under the ticker “Trump” and was launched in late August 2023. Its market value soared to $775 million in June from nearly nothing at the beginning of the year. Meanwhile, “Jeo Boden,” launched in March 2024, initially spiked to $648 million but has since declined to $87 million.
Forrest Przybysz, a cryptocurrency trader and CEO of Sistine Research, explains that meme coins are inherently speculative and driven by attention cycles. “The more attention a token can hold and maintain, usually the higher its price will go,” Przybysz says. “Trump is an attention magnet. Therefore he is the ideal subject for a meme token.” He anticipates that the price and speculation of Trump-based meme tokens will increase as the election draws nearer.
Political tokens represent a small segment of the $46 billion meme coin market, which itself is a niche within the broader $2.3 trillion cryptocurrency market, according to Coingecko estimates. Meme coins are hyper-speculative, volatile, and often driven by internet jokes.
The origins of some tokens are murky, with traders wary of “rug pulls,” where developers disappear with investors’ money. Of the top 10 political tokens, eight were launched between May and June 2024, aiming to capitalize on the heightened attention surrounding political figures during election periods.
Yan Liberman, co-founder of crypto research firm Delphi Digital, compares meme coins to non-fungible tokens (NFTs), noting they are akin to collectors’ items. “The idea is that you monetize public attention,” Liberman says. However, trading these tokens can be challenging. Few are listed on major centralized exchanges like Coinbase or Binance. Most trade in ether or solana pairs on smaller exchanges, typically with market values below $100 million and prices of fractions of a cent.
Despite their growing popularity, the legitimacy of political meme coins remains questionable. Biden and Trump are close in national opinion polls, with a presidential debate set for Thursday, a pivotal event just five months before the November 5 election.
On Polymarket, a crypto platform where users bet with stablecoins on future events, traders have placed a 59% chance that Republican challenger Trump will defeat Democratic incumbent Joe Biden.
Political tokens rely on the popularity of political figures to gain traction, often attracting retail investors with humorous or satirical names. “Funny is certainly a big driving force of which tokens do well,” Liberman adds.
As the US presidential election heats up, the world of political meme coins provides a unique lens through which to view the influence and attention commanded by the candidates in the digital age.
