In President Donald Trump’s second term, crypto assets have transformed the landscape of his family’s wealth. Now, the Trump family and their supporters are directly exposed to the sharp fluctuations that have become a hallmark of digital currencies.
The value of Trump-branded memecoins has fallen by about a quarter since August.
Eric Trump’s holdings in Bitcoin mining operations have lost almost half their value from their previous highs. Meanwhile, shares of Trump’s social media company, which began holding Bitcoin this year, continue to hover near all-time lows.
The selling pressure is part of a broader collapse in the global crypto market, which has wiped out about RM1.5 trillion in digital assets. The Trump family’s wealth is estimated to have fallen to around $6.7 billion from $7.7 billion in early September, according to the Bloomberg Billionaires Index, with the decline largely due to their growing crypto portfolio.
The Trump family’s holdings structure is not focused solely on digital currency price movements, but rather involves a variety of more complex investment deals.
In this situation, retail investors with greater access to Trump-related products face greater risk. For example, those who bought Trump memecoin at its peak after its launch during inauguration weekend have now lost almost all of their investment.
Despite the market weakness, Eric Trump remains optimistic and continues to encourage investors to take advantage of the price drop. He believes that the volatility of the crypto market is a long-term opportunity, and is confident in the future of digital assets and the modernization of the global financial system.
Historically, Bitcoin has experienced several sharp declines since its launch in 2009 before rebounding higher
However, the Trump family has its own unique advantage through a holding structure that gives them additional protection. In addition to owning tokens and shares of crypto-related companies, they also generate income through direct involvement in the creation and sale of these digital products.
For example, the crypto platform World Liberty Financial, which they co-founded, has seen the paper value of the Trump family’s token holdings decline, but they are still entitled to a portion of the proceeds from the sale of the tokens regardless of market price movements.
Georgetown University finance expert Jim Angel said retail investors can only speculate, while the Trump family is in a more strategic position because they can not only speculate, but also create tokens, sell them and make a profit from the transaction.
Bitcoin traded above $86,000 on Monday after recovering from Friday's plunge to around $80,500.
