Trump Crypto Projects Leave Investors $4.7B Underwater
A Public Citizen investigation estimates that Trump crypto projects have left investors at least $4.7 billion underwater since 2022, while Donald Trump earned at least $1.4 billion in crypto-related cash and royalties in 2025. Most losses are unrealised, but blockchain data also shows substantial realised losses.
The $TRUMP memecoin caused the largest damage. Around 1.6 million retail wallets bought the token through decentralised exchanges. About 1 million wallets held combined unrealised losses of nearly $3.2 billion, with realised losses estimated at roughly $400 million. $TRUMP fell from a January 2025 peak of $73.43 to $2.41, a 96.7% decline.
World Liberty Financial’s WLFI token generated at least $1 billion in investor losses. AI Financial reportedly spent $1.46 billion on 7.28 billion WLFI tokens and now faces a paper loss of about $1.04 billion. Its share price fell 91% after the partnership.
Trump Media’s Bitcoin treasury recorded an estimated $450 million paper loss on 9,477 BTC. Trump-linked NFT collections also caused significant buyer losses, with estimates ranging from $9.3 million to $93 million in the reports. The USD1 stablecoin remained close to its $1 peg.
The findings add to regulatory scrutiny from lawmakers, who have urged the SEC to examine potential fraud, insider enrichment and conflicts of interest. The losses, concentrated ownership and celebrity-driven speculation could keep Trump crypto projects volatile and weigh on trader sentiment.
Bearish
The report is bearish for the named crypto assets, particularly $TRUMP and WLFI. A reported $4.7 billion in investor losses, a 96.7% fall in $TRUMP, and large unrealised losses among retail holders may trigger further selling, reduce risk appetite and increase volatility in the short term. Traders may also discount these tokens because of concentrated ownership, insider allocations and regulatory uncertainty.
In the longer term, SEC scrutiny and political criticism could restrict liquidity, exchange support or future fundraising for Trump crypto projects. These risks may keep $TRUMP and WLFI under pressure unless the projects provide stronger disclosures, improve token utility or attract sustained demand. The USD1 stablecoin appears comparatively stable because it remains near its peg, but confidence could still be affected by broader concerns surrounding the issuer and related ventures. The Bitcoin treasury loss is not, by itself, a bearish signal for BTC; it mainly reflects the performance of the holder’s position. Overall, the direct impact is most negative for the Trump-linked tokens themselves.