Caitlyn Jenner’s recently launched Solana meme coin has plunged 66% in the past 24 hours. This sharp decline follows the former Olympian's announcement of a new token on the Ethereum network. It aims to donate some transaction fees to support Donald Trump’s presidential campaign efforts.
The sudden introduction of the Ethereum-based token has created uncertainty and scepticism among investors. Many view the dual-token strategy as potentially dilutive to the value of the original Solana meme coin. The decision to link the new token to a politically charged case has further fueled volatility, introducing an additional risk and controversy.
Jenner's move to support Trump through cryptocurrency represents an unconventional approach to political fundraising, highlighting the increasing intersection of politics and digital assets. However, the market reaction suggests that investors need to be more aware of the potential implications for the stability and long-term viability of the Solana-based meme coin.
As the situation unfolds, monitoring how the Ethereum token performs and whether it can attract a dedicated user base without further undermining confidence in Jenner’s initial Solana project will be crucial.
JENNER on Ethereum
Earlier this week, media personality Caitlyn Jenner announced the launch of her Solana meme coin, JENNER. Initially, many crypto observers assumed her account had been hacked, but it soon became clear that Jenner was genuinely behind the project, collaborating with crypto promoter Sahil Arora. Jenner claims she did not have custody of any of the tokens and alleges that Arora owes her a substantial amount of money after going "radio silent."
JENNER saw a rapid spike in value, sparking a trend of celebrity-backed meme coins, including those from rapper Iggy Azalea and musician Davido. However, Jenner's token experienced a sharp decline on Wednesday after she attempted to build on its initial success.
Late Wednesday, the decathlon gold medal winner launched a new version of the JENNER token on Ethereum with some modifications. Investors reacted negatively to this move, causing the Solana token's price to drop 58% within two hours of the announcement and 66% over the past 24 hours.
Arora, who has since launched other celebrity-themed tokens, confirmed to Decrypt that he had no involvement in the new Ethereum token. “She’s a greedy granny,” he remarked via Telegram DMs.
An hour later, Jenner took to Twitter Spaces to announce that her new coin includes a 3% transaction tax. Once the token reaches a $50 million market cap, the collected funds will be donated to support Donald Trump’s presidential campaign via a Super PAC.
According to DEX Screener, Jenner's previous Solana token peaked at a $42 million market cap amidst the initial excitement. However, her new Ethereum project reached only a $4.75 million market cap a few hours after its launch and now sits at $2.4 million—far from its $50 million goal inspired by Trump.
Jenner has significantly reduced her tweeting frequency since the peak of her Pump.fun token's popularity. When she does post, she often faces criticism and abuse, especially now that the Solana version of JENNER has plummeted 81% from its Tuesday peak.
Investor Caution
While the potential for high returns with meme coins is enticing, it's important to exercise caution. Meme coins are highly volatile and speculative investments. Prices can fluctuate dramatically, and there's a significant risk of losing your entire investment. Always do thorough research, consider your risk tolerance, and consult a financial advisor before investing in any cryptocurrency, especially those as unpredictable as meme coins. Investing in early-stage projects carries additional risks, so proceed cautiously and invest only what you can afford to lose.
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