Former U.S. President Donald Trump has once again turned to his collection of digital trading cards, hoping to cash in on the NFT market despite its ongoing downturn. Last month, Trump launched a new series of these cards, which he announced on his social media platform, Truth Social. The cards are priced at $99 (€90) each, with the added incentive that buyers of 15 or more will receive a physical card containing a piece of the suit Trump wore during his debate with Joe Biden.
While this is not Trump’s first foray into selling NFTs, the success of this new collection remains uncertain. In 2022, his initial collection of digital cards sold out in a matter of hours, generating $4.5 million (€4.1 million). However, the NFT market has significantly declined since its peak, leaving many to question whether Trump’s latest sales strategy will have the same impact.
“Trump might boast that ‘they call me the crypto-president,’ but NFTs had their boom and bust in 2022 when people were stuck at home during Covid,” said Dr. John Hawkins, a senior lecturer at the Canberra School of Politics, Economics & Society at the University of Canberra. “Their value has not recovered.”
The NFT market reached its height in 2021, when weekly trading volumes hit $3.24 billion (€2.96 billion) in August. However, by early October 2024, weekly trading had plummeted to just $67.93 million (€62.03 million), according to data from The Block. This stark contrast highlights the market’s rapid decline, with current trading volumes amounting to only 2% of what they once were.
One of the most prominent examples of NFT hype was the Bored Ape collection, promoted by celebrities such as Eminem, Post Malone, Madonna, and Paris Hilton. However, like many other NFTs, the value of Bored Apes has since dropped in line with the broader market downturn. Initially promoted as valuable digital art investments, they have now become cautionary tales for those who hoped to strike it rich in the NFT space.
“There are a lot of buyers that were burnt the first time who may be very reluctant to try again,” Hawkins explained. He added that while Bitcoin and other cryptocurrencies have experienced significant market fluctuations, they have retained some value due to their functional use as alternative currencies. NFTs, on the other hand, were primarily seen as speculative assets, often without any intrinsic value.
Last year, research conducted by dappGambl, a crypto gambling expertise site, revealed that 95% of NFTs have now become worthless investments. Moreover, 79% of NFTs remain unsold, underscoring the dramatic decline in demand for these digital assets.
Despite the overall downturn in the NFT market, Trump’s digital trading cards could still prove financially lucrative for him, largely due to his massive fan base and media presence. “The Trump cards are different in that they are being promoted by someone with a huge fan base and media access,” Hawkins noted. “But ultimately, they are a speculative asset with no underlying value that generates no cash flow.”
Trump’s latest venture into NFTs also hinges on the outcome of the 2024 U.S. presidential election. “If Trump wins, the chances of their price going up is enormously higher than if he loses,” Hawkins said. This scenario mirrors the uncertain value of his social media platform, Truth Social, which has similarly fluctuated with his political fortunes.
While Trump may continue to sell his digital cards to loyal supporters, the broader NFT market appears to be heading toward the digital graveyard, with little chance of a significant resurgence. Even with the potential for short-term gains, NFTs are unlikely to regain the mainstream popularity they once enjoyed during the height of the crypto boom.
