TL;DR
- The cryptocurrency Restore the Republic (RTR) plunged 95% in value after Eric Trump denied any connection to the token, which had initially surged to $0.15 amid speculation of being a family-backed project.
- The price drop followed a now-deleted post by Ryan Fournier, chair of Students for Trump, suggesting RTR was an official Trump token, which Eric Trump labeled as a “fake token” in his public denial.
- Before the collapse, RTR’s market capitalization reached $155 million, with crypto insiders reportedly profiting over $4 million before the price crash, highlighting the speculative nature of the memecoin market.
A recently launched cryptocurrency called Restore the Republic (RTR) has experienced a staggering 95% decline in value following a denial from Eric Trump, son of U.S. Presidential candidate Donald Trump. The token, initially perceived as a potential family-backed project, soared to a peak of $0.15 before plummeting to approximately $0.007 after Eric Trump publicly distanced the Trump family from the cryptocurrency.
5 Insider Wallets Earned Over $4M on $RTR in Just 6 Hours!$RTR is a new #MEMEcoin created 6 hours ago.
5 wallets spent ~5,580 $SOL($882K) to buy 104.64M $RTR the first time $RTR opened trading, and sold 92.77M $RTR for 31,994 $SOL($5.05M), making 26,414 $SOL($4.17M).
These 5… pic.twitter.com/oAEZFeYE39
— Lookonchain (@lookonchain) August 8, 2024
The Triggering Denial
The controversy began when Ryan Fournier, chair of Students for Trump, posted on the social media platform X (formerly Twitter), suggesting that RTR was officially associated with Donald Trump. This post was later deleted, but not before it sparked significant speculation within the crypto community.
On August 8, 2024, Eric Trump issued a statement clarifying that no official Trump-related cryptocurrency had been launched, labeling RTR as a “fake token.” His remarks led to a rapid loss of interest from traders, resulting in the token’s value collapsing to $0.0076, as reported by DexScreener.
Profits and Market Dynamics
Before the dramatic fall, RTR’s market capitalization had surged to $155 million, driven by speculative trading and a tweet from Eric Trump that hinted at a future DeFi-related announcement. At the time of writing, RTR continues its downward trend, losing nearly 54% in the last 24 hours.
Data from on-chain analytics firm Lookonchain revealed that five newly created wallets had collectively spent around 5,580 SOL tokens, valued at approximately $880,000, to acquire over 104 million RTR tokens shortly after its launch. These wallets then sold 92.77 million tokens for about $5 million, netting over $4 million in profit before the price crash.
The rapid rise and subsequent fall of RTR is not an isolated incident. Other Trump-themed cryptocurrencies, such as TrumpCoin (DJT), have also witnessed significant price drops in the past, reflecting the volatile nature of the memecoin market.
Interestingly, another Ethereum-based token, MAGA, saw a surge in value following a failed assassination attempt on Donald Trump, showcasing the unpredictable dynamics of political-themed cryptocurrencies.
Eric Trump’s public denial highlights the risks associated with investing in cryptocurrencies that lack official endorsement, serving as a cautionary tale for potential investors in the increasingly speculative crypto landscape.
