GuShiio.com In this short political rant, we discuss Trump’s memecoin and its ridiculous nature.
This article was inspired by Demetri Kofinas’s appearance on Grant Williams ‘excellent podcast a few weeks ago, his negative views on political memecoins, and Arthur Hayes’s recent fascinating and somewhat positive article on political memecoins,”Zero Knowledge Proof.”
Let’s first elaborate on Dmitry’s point of view, that is, the brazen and absurd Trump’s memocoin.
This is completely insane. You are the President of the United States! This was once the most glorious position in the world, and working in the Oval Office was an incredible privilege and an opportunity to bring about change. You are in your seventies, and this is an opportunity to influence the world, leave a legacy, and change people’s lives. And you are launching a memecoin!
The launch of Trump’s memoin is particularly troubling because Trump was elected on a platform related to national rejuvenation. So, when he took office, the first thing he did on Inauguration Day was to launch a memein. This was simply a heavy blow to the stomach.
Memin, at least in the eyes of some, is the dirtiest, most useless, and stupidest part of the cryptocurrency ecosystem, which itself has become notorious for fraud, and this reputation is not groundless. Memoin is an extreme example of financial absurdity, speculative bubbles and greed. Perhaps it’s understandable that teenagers are interested in such things, or it’s not surprising that some disgraced Nazi rapper has dabbled in memocoins. However, the President of the United States! How the hell did we get here? How can the president escape all this unscathed, politically and legally?
Trump is not just a madman or an accident or random event that falls from the sky. Trump is the result of decades of poor policies and naked corruption by our political leaders. As Dmitry said, when people question $TRUMP, there is always someone who will say:
“Look at Biden, look at Hunter Biden. He is on the board of directors in Burisma. What does he know? Biden let him in.”
Grant Williams seemed to agree, citing the 2002 lies about Iraq’s Weapons of Mass Destruction (WMD) and the 2008 Global Financial Crisis (GFC) as other factors that led to the massive loss of public trust in the political system that made $TRUMP possible.
Therefore, when the fact that weapons of mass destruction were not found and the entire invasion was completely unnecessary really surfaced, there might be enough high-level and powerful people to blame, and the matter was hastily covered up, nothing was done, and no one was punished. Yes, we investigated, but it was just a cover-up. So people get angry because they feel that…no matter what you think of humans,
Not bearish, but cynical
Grant goes on to discuss how this loss of trust leads to a loss of moral values. In his view, it is now all about greed and making money in speculative bubbles. He was not so much bearish about these bubble markets as he developed a broader cynicism about Western values.
“It’s interesting, about the idea of being bearish when the market is up, going back to 2008, and what happened after that and the lack of consequences. I think this idea of ‘bearish’ has become clearer to me personally now. And this is not about bearish markets. This is a bearish view of society. It’s bearish about what will happen when we reach the kind of moral vacuum you call it. The idea is that if ‘numbers rising’ becomes the only thing that matters, it will cause OnlyFans, and all these scary women to show off on the Internet how many men they can sleep with in a day, and be proud of it, all for attention. Look at those so-called ‘Internet celebrities’ again. This is a complete moral vacuum.”
“I think I’m only now really beginning to understand what my own bearish behavior is, because it’s not like I haven’t invested in all these years, and I’m not sitting on a pile of gold and cans of food waiting for the end. For me, it was an attempt to talk about something other than what will go up tomorrow. And that’s important to me. Because there are already enough places to talk about ‘numbers up,’ but not so many places where you can hear people like you have meaningful conversations and discuss meaningful topics rather than ending with,’So to summarize, here’s a three-letter abbreviation, you need to buy it to make money from this conversation.'”
Dmitry later agreed with Grant and also expressed negative views on cryptocurrencies.
I don’t want to be overly critical of cryptocurrencies, but…
In the cryptocurrency industry, experiencing this unique experience is truly emotional. All the smart people I know who make money in this industry know that it’s almost all a scam, almost all a pyramid scam, and almost all driven by a pyramid model. If you stay in the cryptocurrency world long enough, you will remember that people really believed that most of these things would make a difference. Maybe they will indeed be useful in the end-as long as enough money is invested and enough government regulatory support is obtained. Blockchain and other distributed ledger technologies (DLTs) do have certain applications in the financial sector. But in my opinion, the amount of capital and wealth generated so far is not enough to justify it. I worry, and I have expressed that concern publicly, about what this means for our economic success in the long run. If we put all our effort and capital into an area of the economy that can only generate limited returns, what are we doing? China people don’t do this.
All politicians should own memoin
Arthur Hayes, chief investment officer at Maelstrom, takes a more positive view of $TRUMP. In his recent article, he explains how memin has brought us into a new political era-a more competitive and dynamic era. In this era, emerging political leaders can raise money for their campaigns by issuing memein, both entering public office and getting rich at the same time. The price of memein will reflect the political destiny of relevant politicians.
Like Dmitry and Grant, Arthur raised the corruption issue of Hunter Biden, but explained that memin actually improved the situation, allowing politicians to profit from public office in a more transparent way.
“This is much better than filling their pockets by collecting secret fees from a series of foreign businesses to various super-secret corporate entities. Of course, if the person passing the cash wasn’t an addict, these would have been super secret.”
Arthur’s view is certainly technically correct. Transparency is a good thing, so transparent grassroots corruption is better than covert top-down corruption from large corporations or Ukraine gas companies. But with the emergence of memein,”the veil has been lifted.” With Biden’s corruption, probably half the country can pretend that everything makes sense. Now, everyone knows that the system is corrupt, and everyone knows that everyone else knows. This could lead to more political instability. This is undoubtedly a bad thing! No matter how obvious you once thought it was that a certain “junkie” in the United States knew nothing about the energy industry in Eastern Europe, some people just couldn’t see it. Whether Twitter blocks private messages on the topic or simply ignores it, some people are able to pretend that the government is serving the people. Now, everyone knows, and everyone knows, and everyone else knows. To some extent, the rules of the game have changed.
Trump allocated 80% of Trump dollars to himself, a point that critics see as a symbol of corruption. However, as Arthur mentioned, for other politicians, the problem is solvable.
“The easiest way is to allocate 100% of the tokens at issue. Then, if politicians want to believe in themselves, they can enter the market at the same price as everyone else.”
Conservative views on the price of memoin
As for whether the price of political memoin should reflect the career or popularity of politicians, Arthur’s view is simple:
“People buy $TRUMP because they want to be part of the Trump supporter community, or because they believe Trump will be more popular in the future. That’s all. There is no complex economic or financial theory to understand here. You don’t need to understand algebra, basic calculus, statistics or probability theory. You just need to think and feel like a passionate human being. So anyone can understand what gives political memes value.”
We tend to take an old-school, boring, traditionalist, value investor-type view that may be closer to Grant and Demetri’s stance. Why should the price of memoin follow the popularity of a certain politician? Isn’t this just a stupid game of speculation? Prices are bound to deviate significantly from political reality.
“Vote for me, I don’t have memein”
Rest assured, we believe that a dystopian political future is unlikely. In a future like this, every politician will need to own a memecoin to have a chance of winning elections. A new generation of politicians can rise and use “no memoin” as a unique selling point. Such politicians can claim that they are running for the right reasons, not to get rich, but to help the people.
Trump and his supporters are hyping up DEI (Diversity, Fairness and Tolerance). Today, criticizing DEI has become the easiest path to gain support and the most obvious entry point. But is DEI really widespread enough to cause lasting damage to economic productivity? We believe this is not the case. Perhaps a bigger economic problem is that people dream of getting rich quickly by speculating on financial instruments such as memin. Why do we still work hard from 9 to 5, while we can make a fortune by speculating at home and misallocating capital to PoliFi?
Trump’s Economic Recovery Plan
In addition to launching memo, Trump also plans to launch a series of exchange-traded funds (ETFs), including two bitcoin-related ETFs:
- Truth.Fi Bitcoin Plus ETF
- Truth.Fi Bitcoin Plus SMA
This is another obvious opportunity for corruption. What will Trump discuss next time he meets Sheikh Mohammed bin Zayed of Abu Dhabi? Trump may ask him to redeem his $437 million investment in BlackRock’s $IBIT and invest in Trump’s Bitcoin ETF instead. This is the so-called art of trading.
Time will tell as to whether the optimism Trump has successfully inspired, and the strategies he has developed by making corruption more open and transparent, will really “make America great again.” However, call us cynics who believe Trump’s memoin or other cryptocurrency-related plans could be an obstacle rather than a boost.
