Crypto Buyers Gather for Dinner with Trump
Over 200 affluent, largely anonymous crypto investors will dine with former President Donald Trump in Washington this Thursday. The entry fee? A staggering range from $55,000 to $37.7 million.
Nansen, a blockchain analytics firm, has analyzed how much the 220 individuals, who will meet Trump, spent on his cryptocurrency token, known as $Trump. At different moments dictated by the event organizers, the highest spenders earned their seats at the event.
Overall, Nansen found that the winners collectively invested $394 million in Trump’s cryptocurrency, though some have since sold portions or all of their assets. The spending varied significantly; the top seven participants each spent over $10 million, while some spent under $100,000. According to the survey, around one-third of these winners (67 individuals) spent more than $1 million, with the average expenditure landing around $1.79 million.
Like many meme coins, the value of $Trump is quite volatile, as noted by CoinMarketCap, which tracks cryptocurrency prices. Nansen monitored how much each contest winner donated when purchasing $Trump.
Invitations for the top 220 winners extended to a Black Tie optional dinner at Trump National Golf Club in Washington, D.C. The contest website states that Trump claims he is merely attending as a guest and is not soliciting funds. Interestingly, two of Trump’s companies, CIC Digital and Fight Fight LLC, own 80% of the $Trump Coin project.
This personal cryptocurrency and linked contests raise eyebrows regarding Trump’s use of the presidency for potential personal profit. His business interests are managed through trusts overseen by his son, Donald Trump Jr., and include events like crypto dinners held at social clubs and exclusive statements about social media app truths.
The $Trump cryptocurrency provides earnings for the groups tied to Trump through trading activity, as a fee is applied to each transaction. Another firm, Chainalysis, estimates that $Trump Coin accrued approximately $900,000 in trading fees within just two days following its launch.
While most federal employees face strict rules against using their roles for financial gain, the president has considerable leeway, noted Dan Weiner from the Brennan Center for Justice in an NBC News interview.
“The president isn’t bound by the same strict conflict of interest rules that apply to nearly all federal employees,” said Weiner.
The situation is striking, even compared to earlier controversies during Trump’s first administration, especially regarding individuals conducting business at the Trump-owned hotel.
A White House spokesperson, Anna Kelly, asserted, “The president aims to negotiate beneficial deals for Americans, not for himself. He acts solely in the public interest, which is why he continues to receive overwhelming support from voters, despite numerous accusations from the media.”
Even the least successful participants in the contest adhered to legal donation limits allowing only $3,500 per individual to political candidates.
One standout spender identified as Justin Sun, a crypto entrepreneur originally from China, previously told Forbes he became a citizen of St. Kitts and Nevis. He was sued by the Securities and Exchange Commission, but the case was paused during Trump’s presidency.
The identities of most other winners remain largely undisclosed, known mainly by their pseudonyms and cryptocurrency wallet addresses. However, independent researcher Molly White noted that many participants seem to be from outside the U.S.
White tracked the wallet transactions for contest winners across various exchanges, revealing that 72% (158 out of 220 wallets) appeared to belong to foreigners. Reports indicated representations from the crypto industry in places like Singapore and Australia.
This prevalence of non-U.S. participants is notable, as it’s typically illegal for foreign nationals to contribute to American political candidates, pointed out Weiner.
“It presents a stark contrast. There’s a stringent law against foreign campaign contributions, which makes the situation ironic because many of those purchasing this currency aren’t legally entitled to donate to the president’s campaign,” he remarked.
“We have various laws intended to limit foreign influence in our political system, and it’s crucial that these regulations are upheld.”
