Scammers Prey on Trump-Themed Meme Coin Frenzy

TL;DR

• Scammers are targeting TRUMP and MELANIA investors with fake websites, tricking them into linking their wallets to dubious resources.
• With TRUMP’s price down from its peak and multiple crypto experts bashing the asset’s launch, further big rallies may be limited, so careful research is essential before investing.

Investors, Beware

This bull cycle will be remembered for the solid performance of the meme coin niche. Just a few days ago, the Trump family jumped on the bandwagon, making huge waves in the entire crypto space.

On January 18, Donald Trump’s meme coin, Official Trump (TRUMP), saw the light of day, and shortly after, its price skyrocketed to spectacular levels. It briefly surpassed $70, with its market capitalization soaring past $14.5 billion. 

Trump’s wife also launched a meme coin called Melania Meme (MELANIA), and at one point, its market cap soared above $2 billion.

Despite retracing substantially from their peak levels in the past several days, both tokens remain quite trending. This could explain why scammers have supposedly created numerous websites offering dubious services with TRUMP and MELANIA, with the sole purpose of conning unsuspecting victims.

According to a recent report, people visiting such malicious addresses are offered to connect their wallets to the resource to check their right to participate in transactions with the new tokens. 

“The official address of the token is indicated on all websites, but when connecting, the victim is asked for the seed phrase from the wallet. Fraudsters can also “hijack” a crypto wallet or connect malware to withdraw funds,” said Maria Sinitsyna, a senior analyst working for a Russian cybersecurity company called F.A.C.C.T. 

Is It too Late to Deal With TRUMP?

The impressive price increase of Donald Trump’s meme coin allowed savvy traders to make huge profits overnight due to entering and eventually exiting the ecosystem at the right time.

Currently, TRUMP’s valuation stands far from the peak level registered on January 19, suggesting that the hype could have gradually decreased. In addition, many leading cryptocurrency exchanges (including Binance, Coinbase, Bybit, and more) allowed trading services with the asset. 

Separately, many industry insiders were against the TRUMP token launch, indicating that such zero-value assets only harm the industry instead of legitimizing it.

Investors who are still contemplating joining the ecosystem should consider the risks involved and the enhanced volatility of that type of asset. Upon making a final decision, they must conduct proper due diligence and distribute only as much as they are ready to lose.