The crypto landscape is no stranger to disparity, and the latest data from Chainalysis reveals a stark contrast in the financial outcomes of holders of the Official Trump (TRUMP) meme coin. According to the report, over 77% of TRUMP holders, who are primarily retail investors, have earned less than $100 from their investments, while a small group of 60 whales has amassed over $10 million each.
The New York-based blockchain forensics firm shared these findings in a thread on January 23. It additionally reported that the TRUMP and its counterpart MELANIA (MELANIA) meme coins are predominantly held by small-scale investors, with over 80% of the holders owning less than $1k worth of assets on the Solana blockchain.
A closer look at the profit-loss breakdown reveals that the majority of wallets are either barely breaking even or earning below $100. Over 600,000 wallets fall into this category, demonstrating the prevalence of retail investors in the market. Conversely, approximately 60 wallets have recorded profits exceeding $10 million, highlighting the concentration of wealth within a select few.
Chainalysis further noted that about half of the TRUMP and MELANIA meme coin holders are new to the Solana ecosystem. Nearly 50% of these newcomers have not purchased a Solana altcoin prior to these meme coins. Intriguingly, a large portion of these investors created their wallets on the same day they bought the tokens.
The firm also shed light on the distribution of the TRUMP supply. After the minting of 1 billion TRUMP meme coins, the majority of the supply was allocated to just four wallets, possibly for holding or providing liquidity to exchanges.
However, the fortunes of TRUMP investors may be changing. On Tuesday, January 21, the price of the meme coin plummeted to $38.50, marking a 50% drop from its peak on the previous Sunday. This decline slashed the coin’s market valuation to roughly $7.6 billion. Further data compiled by Nansen indicates that the most profitable TRUMP whales have sold most or all of their holdings, cashing in their profits.
These findings provide valuable insights into the dynamics of the meme coin market, underscoring the stark contrasts between the experiences of retail and whale investors. As the TRUMP coin continues to navigate the volatile crypto waters, the future outcomes for its holders remain to be seen.
