The reported losses underscore the risks of politically linked memecoins, whose prices can swing sharply and leave late buyers exposed to steep drawdowns.
Nearly 1 million investors lost $3.8 billion on President Trump’s $TRUMP memecoin, the New York Times reported. The figure points to large losses among holders of the politically branded token, highlighting the extreme volatility common in memecoins (tokens driven largely by online attention and speculation) and the risk that retail traders can face when prices reverse.