MELANIA memecoin whale achieves $36.5 million in profits amid ‘rug-pulling’ concerns

One cryptocurrency trader invested $800,000 in Melania Trump’s official memecoin, called Official Melania Meme (MELANIA), and generated a return of more than 1,950%, according to data resource Lookonchain.

MELANIA’S 25,600% Price Surge Captures Millionaires

Address 4zo6… A Solana user identified as zHF2 purchased 800,000 USD coins (USDC) on January 20 and converted his holdings into 16.45 million USDC, earning a return of nearly 2000% in just 12 hours.

Meanwhile, another Solana user converted $560,000 worth of USDC into $11.5 million after investing in MELANIA memecoin. There were also reports that one trader made $47.5 million in profits.

This rise comes alongside MELANIA rising 25,600% within 12 hours of its debut on multiple cryptocurrency exchanges.

Announced through Melania Trump’s X account verification, the token has already attracted around 500,000 holders and has become the 10th most traded cryptocurrency by trading volume, according to DEX Screener.

MELANIA’s rise comes ahead of Trump’s inauguration on January 20 and follows the launch of the incoming US president’s official memecoin, called Official TRUMP ($TRUMP).

Launched hours before MELANIA, TRUMP overnight entered the top 20 cryptocurrencies by market capitalization, with a fully diluted value of approximately $50 billion.

Is MELANIA a “rug pull”?

MELANIA Following the launch of memecoin, some analysts raised concerns about token distribution, website security, and team composition.

Blockchain analytics platform Bubblemaps revealed that nearly 90% of MELANIA’s token supply is held in a single wallet, contradicting the project’s claims of a fairly distributed allocation.

The website, which was created a day before launch, has also been criticized for lacking cybersecurity protections and featuring poorly developed code that cryptocurrency developer “Cigar” called “half-baked.”

relevant: Trump has ushered in a new ‘memecoin era’, analysts call for an altseason.

Coinbase executive Conor Grogan said MELANIA would likely be handled by a “less organized team” compared to Donald Trump’s TRUMP token, likening it to a project run by “college students.”

I think this token was handled by a team other than TRUMP. That one looks like a professional market maker, but this one honestly looks like a college student. pic.twitter.com/UR9Cbm0Ncw

— Connor (@jconorgrogan) January 19, 2025

More skepticism has been raised about funds in creator wallets linked to pump.fun, a Solana memecoin launchpad known for speculative ventures. Grogan dismissed the possibility of a “rug pulling”, but doubts about the transparency and professionalism of the project remain.

This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.