Meme coins associated with Donald Trump exhibited significant volatility following the conclusion of the legal proceedings against the former U.S. president.
On May 30, a jury found Trump guilty on 34 counts of falsifying business records. The charges were related to lawyer Michael Cohen, who paid for the silence of the politician’s alleged mistresses.
Following the verdict, the MAGA token plummeted by 20% — from $16.8 to $13.5. Its market capitalization fell by more than $150 million.
The prosecution claimed that in 2006, Trump met adult film actress Stephanie Clifford. In 2011, she spoke about her relationship with the businessman in an interview with In Touch magazine, but the article was never published due to Cohen’s legal threats.
During the 2016 presidential election, the Clifford story resurfaced, and Cohen offered her a non-disclosure agreement for $130,000.
Cohen also “handled” another of Trump’s mistresses. He proposed that Playboy model Karen McDougal sell exclusive rights to her story to American Media Inc. for $150,000, a company linked to the politician. She signed the contract, but the story was never published.
After being elected, Trump promised to reimburse his lawyer for all expenses. The total debt amounted to about $420,000. To settle with Cohen, the businessman divided this sum into 12 checks, disguising them as payments for legal services.
In 2018, the Clifford story emerged, leading to Cohen’s three-year prison sentence. In April 2023, the Manhattan District Attorney charged Trump with falsifying Trump Organization’s financial records.
The politician denies the charges, claiming he is a victim of extortion. He declared his innocence and called the trial outcome a “disgrace.”
“This was a rigged trial conducted by a controversial corrupt judge. The [President] Joe Biden administration is behind this to harm a political opponent. […] The real trial will take place on November 5 among the people,” Trump stated.
The court’s sentencing in the case is scheduled for July 11. Four days later, Trump is set to officially announce his candidacy at the Republican Party convention.
Each count carries a potential four-year prison sentence, meaning the politician faces up to 136 years in prison.
Reuters noted that a real prison term for Trump is unlikely, as he is being charged for the first time with non-violent offenses. He is likely to receive a fine or probation.
The election candidate can appeal, but it is unlikely to be heard before the November 5 election day. Formally, neither a conviction nor even a prison term prevents Trump from running for president.
Speaking after the verdict, another candidate, Robert Francis Kennedy Jr., criticized the prosecution’s stance, stating that the trial and its results only increased Trump’s appeal to some voters.
He also welcomed his opponent’s pivot to crypto policy.
In March, Trump stated that he does not plan to interfere with the use of Bitcoin or other digital assets if he wins the November election.
He called the first cryptocurrency an “additional form of currency” that will require appropriate regulation by authorities. According to the politician, Bitcoin has already “taken on a life of its own.”
According to a Paradigm survey, about 48% of voters who own digital assets plan to vote for Trump in the upcoming U.S. presidential election. Another 38% support Biden, while 13% remain undecided.
