Vitalik Buterin Raises Concerns Over Risks of Political Tokens
Vitalik Buterin, co-founder of Ethereum, expressed concerns about political tokens potentially facilitating bribery. He highlighted the risks associated with these tokens during discussions on the cryptocurrency sector's direction post-Donald Trump's inauguration.
Buterin's Insights on Political Tokens
- Political tokens may serve as effective vehicles for bribery.
- Investors can increase a politician's token value by simply holding it, without direct transactions.
- Emphasis on the difference between short-term speculative investments and long-term wealth-building strategies.
- Political coins pose risks for participants and can lead to political bribery from foreign states.
Concerns About Trump-Linked Tokens
Donald Trump’s family launched two memecoins, TRUMP and MELANIA, which raised distribution issues:
- 94% of the combined supply is held by entities with over $10 million in tokens.
- Smaller investors hold only 2.1% of the total supply, leading to concerns about price stability.
- High concentration among a few wallets can result in increased volatility, disadvantaging smaller investors.
Binance Launches MELANIA Perpetual Contract
Binance has introduced a perpetual contract for MELANIA, allowing up to 25x leverage. Key details include:
- Funding rate set at +2.00% and -2.00%.
- Contracts settled in USDT, with a tick size of 0.001.