Nearly a million investors lost a combined $3.8 billion on the Trump-branded cryptocurrency, according to a new report from a crypto analytics firm.
The study examined how buyers of the Trump memecoin fared after its volatile launch.
Most retail investors ended up losing money on the digital asset.
Sophisticated traders, however, managed to perform significantly better during the same period.
The report highlights the sharp divide in outcomes between average investors and professional market participants.
The memecoin, tied to the former president, attracted widespread attention and speculative trading.
Its price swung wildly in the days following the token’s release.
Many individual buyers purchased at peak prices and saw the value plummet soon after.
Large-scale traders often sold early or used advanced strategies to lock in profits.
The findings underscore the risks of investing in politically themed cryptocurrencies.
Regulators have increasingly warned about the volatility and lack of protections in such assets.
The total losses among retail investors represent one of the largest documented cases of memecoin-related financial damage.
