The value of Donald Trump’s meme coin, $TRUMP, surged by more than 50% on Wednesday following an announcement on its official website that the top 220 holders of the token would receive invitations to a private gala dinner with the former president on May 22.

According to the website, the top 25 holders will also be treated to “an ultra-exclusive VIP reception with the president”, along with “a special tour”.

Following the announcement, $TRUMP spiked to around $14.70 before pulling back to $12.30 during early trading on Thursday, based on figures from CoinMarketCap.

Although this represents a notable increase, the coin is still trading far below its January peak, when it briefly jumped from around $6 to $75 shortly before Trump’s inauguration. The launch of crypto tokens by both Trump and his wife, Melania, has drawn criticism, with some experts labeling their involvement “shameful” due to potential conflicts of interest.

Wednesday’s price spike also came amid anticipation that the coin would undergo an “unlock” process—an event typically allowing early investors and insiders to offload their holdings, often leading to a price dip. However, a post on the coin’s official X account stated this would be delayed by 90 days.

Meme coins, like $TRUMP, are generally based on viral trends and usually lack practical use. These types of tokens often experience sharp declines after initial excitement fades.

Last year, social media personality Haliey Welch, known as the “hawk tuah girl,” released a meme coin that at one point was valued at $490 million. That token has since plummeted to just $2.9 million.

Although Trump was previously critical of digital currencies during his first administration, he has more recently embraced the space, branding himself the “crypto president” and pledging to back the industry’s growth.

In March, he appointed venture capitalist David Sacks as a combined artificial intelligence and crypto advisor. He also introduced plans to create a national reserve of bitcoin and other digital assets.

The Trump family has been increasingly involved in the crypto space. In January, Melania Trump introduced her own meme coin, and last year the former president, along with his three sons, launched a crypto venture called World Liberty Financial.

Additionally, Trump Media and Technology Group—where Trump holds a majority stake—announced a partnership last month with Crypto.com to develop crypto-related investment products.

Meanwhile, U.S. regulation of digital assets appears to be loosening. This month, the Justice Department said it would shut down a unit responsible for probing crypto-related fraud cases.

Deputy Attorney General Todd Blanche said the department would no longer pursue cases that “have the effect of superimposing regulatory frameworks on digital assets while President Trump’s actual regulators do this work outside the punitive criminal justice framework”.

The move has sparked warnings from Democratic lawmakers and regulatory watchdogs, who argue that the wave of deregulatory actions poses significant threats to both investors and broader economic stability.

Vanguard News