Donald Trump has recently made headlines in the crypto space, cashing in on millions of dollars in crypto-related donations. In the meantime, his digital asset portfolio has grown exponentially. Beginning with the Trump Digital Trading Cards Series 1, which generated a profit of $4.45 million, Trump's crypto ventures have since extended from NFTs to DeFi, meme coins, stablecoins, and now, mining. His newest endeavor, for instance, a real estate video game. This marks the first step into the world of blockchain gaming and further cements his foothold in the digital asset realm. These activities have breached propriety and legality to scandalizing depth. The role of close communication with associates and abundant financial support deserves scrutiny as a potential conflict of interest.
NFT Ventures and Financial Success
Trump’s first foray into the crypto market started when he released his own NFTs, called the Trump Digital Trading Cards Series 1. Minted on the Polygon blockchain, this collection eventually totaled 45,000 NFTs, with each NFT costing $99. The series caught on fast and has racked up huge transaction volume of 17,115 ETH. It captured a whale friendly community of 14,411 holders who truly care about the project.
The second series was wildly successful. This success cleared the way for the upcoming launch of the trumpdigitaltradingcards.com and Trump Digital Trading Cards Series 2 on April 18, 2023. This second series grew the collection to an incredible 47,000 NFTs. Each is minted on the Polygon blockchain and each costs $99. In an announcement, Trump said the added NFTs showed his confidence in winning a second stint as the 47th president.
The financial success of these NFT ventures can’t be denied. The Trump Digital Trading Cards Series 1 alone generated a profit of $4.45 million, demonstrating the potential profitability of digital collectibles and setting the stage for further expansion into the crypto market.
Expansion into Blockchain Gaming
Far beyond just NFTs, the former President’s crypto ambitions have reached into DeFi, meme coins, stablecoins, and even mining. His newest project, a real estate-inspired video game, points to an intentional step into the new and exciting world of blockchain gaming. This move very much reflects a larger, long-term vision for how digital assets will be incorporated into entertainment and gaming experiences.
As Fortune wrote, the Trump family’s crypto endeavors are set to continue to expand into blockchain games. This decision purposely addresses the growing demand for blockchain-based games. Also called crypto games, these blockchain-based video games reward players with cryptocurrency and/or digital assets simply for playing them.
This pivot towards blockchain gaming showcases a sharp understanding of where the smart money is moving within the crypto space. By diversifying his portfolio to include gaming, Trump aims to capitalize on the increasing adoption of blockchain technology in the entertainment industry.
Concerns and Conflicts of Interest
Blasted as a conflict of interest Despite the financial prosperity and growth of these crypto endeavors, critics have pointed to conflicts of interest. These companies, CIC Digital LLC and Fight Fight Fight LLC, will own 80% of the TRUMP tokens. In addition, they will have a 3 to 12 month lock-up period with the tokens unlocked in equal monthly installments over a 24 month schedule. This unique arrangement has opened the door to potential insider trading and market manipulation.
The role of some of Trump’s close associates has come under intense scrutiny as well. Zach Witkoff, co-founder of WLFI and son of Steve Witkoff, the Trump administration's special envoy for the Middle East, is a key figure in Trump's crypto projects. This nexus deserves further scrutiny for its clear appearance of creating a conflict of interest. It further underscores how political connections could affect Trump’s business interests.
To their credit, Trump’s team has made it clear that they would make sure the tokens cannot be resold at the secondary level. They warn that important market interests hang in the balance. Critics argue that the potential for conflicts of interest remains, given Trump's prominent role in politics and his family's extensive business interests. The crossover between politics and crypto is both exciting and rife with ethical implications that deserve focused attention and strict oversight.
