Three US senators open inquiry into Trump memecoin dinner over pay-to-play claims
WSJ highlights a Trump-branded crypto dinner as the token tied to the event plunges ~95% from peak. An analyst alleges billions flowed from retail to insiders.
The dinner and token buzz were covered by the Wall Street Journal after a high-profile luncheon connected to the memecoin.
Analyst Simon Dedic claims the setup “drained” retail at scale. He estimates $4.3 billion left everyday investors, with $1.2 billion going to insider wallets and $320 million to entities linked to the Trump family in his X post.
The token is down roughly 95% from its top, per market data on CoinGecko.
Dedic says the reputational hit could surpass prior blowups. “Even worse than FTX or Luna,” he wrote, arguing this wasn’t a failed product but a setup favoring a few in the same thread.
What matters for crypto investors:
- Price collapse of ~95% from ATH raises liquidity and recovery risk per CoinGecko.
- Alleged concentration of proceeds to insiders and Trump-linked entities may invite scrutiny per Dedic’s analysis.
- Political branding and celebrity promotion amplified retail exposure to a highly speculative asset per WSJ coverage.
Title: WSJ: Trump crypto dinner under fire as token drops 95%; analyst alleges $4.3B retail losses
