TRUMP Memecoin Issuer Seeks $200M Treasury as Token Crashes 90%
The issuer of the TRUMP memecoin has announced plans to raise a $200 million on-chain treasury to stabilize its ecosystem after the token’s 90% decline from record highs earlier this year.
Once one of the most hyped political-themed cryptocurrencies of 2025, TRUMP has seen its market capitalization collapse from over $1.2 billion to under $120 million, reflecting waning investor enthusiasm and heavy selling pressure across the memecoin sector.
From Meme Frenzy to Market Meltdown
The TRUMP token’s meteoric rise earlier this year coincided with renewed interest in politically charged cryptocurrencies, especially following former U.S. President Donald Trump’s vocal support for Bitcoin and other digital assets.
However, after weeks of aggressive profit-taking and liquidity outflows, the token has lost over 90% of its peak value, dropping from above $8.20 to around $0.78 at the time of writing.
On-chain data from Dune Analytics shows a sharp decline in daily active addresses, while liquidity pools on Uniswap and Solana-based DEXs have thinned significantly — indicating reduced speculative participation.
$200 Million Treasury Plan to Stabilize the Ecosystem
In response to the sell-off, the TRUMP token development team released a statement outlining plans to create a $200 million community treasury, funded through a combination of token reallocations, strategic partnerships, and DAO-managed reserves.
The proposed treasury aims to:
- Stabilize the token’s price via liquidity injections and buybacks
- Fund development of the TRUMP DAO governance layer
- Support integrations with NFT and political fundraising platforms
- Create yield-bearing vaults for long-term holders
According to the team’s roadmap, the treasury will operate as a non-custodial smart contract, governed by token holders through a vote-based allocation model.
Market Reaction: Hope or Desperation?
While some investors welcomed the treasury plan as a “necessary step toward maturity,” others view it as a last-ditch effort to stop the bleeding.
Crypto trader and analyst Miles Deutscher commented on X (formerly Twitter):
“The TRUMP token is trying to go from meme to macro — but a $200M treasury won’t matter if sentiment doesn’t recover. The challenge isn’t just liquidity, it’s credibility.”
Meanwhile, trading volumes remain subdued, with 24-hour turnover down 67% from early September levels, and most on-chain flows showing exits from smaller wallets.
Political Memecoins Face Identity Crisis
The TRUMP token’s collapse highlights broader challenges facing political-themed cryptocurrencies, which often surge on narrative momentum but struggle to sustain value.
Similar tokens — including BIDEN, MAGA, and RFK — have all retraced sharply in recent weeks as investors rotate into more established assets like Bitcoin (BTC) and Ethereum (ETH) ahead of the U.S. election season.
Industry observers note that the upcoming election cycle could still revive the narrative, but sustainability will depend on utility, transparency, and governance — not just hype.
What’s Next for TRUMP Token?
The project’s new whitepaper update, expected later this month, will clarify treasury mechanics and outline the roadmap for integrating DAO-based governance.
If executed successfully, the $200 million fund could act as a stabilizing anchor, providing liquidity for decentralized trading and incentivizing long-term holders.
Still, market participants remain cautious. With memecoin volatility at its highest in months, even well-funded initiatives face an uphill battle to rebuild investor trust.
At press time, TRUMP trades at $0.78, down 12% in the past 24 hours.
✅ Key Takeaways
- TRUMP token crashes 90% from all-time highs
- Team plans $200 million treasury to restore confidence
- Trading activity and liquidity remain weak
- Analysts split on whether recovery is feasible
- Political memecoins enter a phase of consolidation and redefinition
