Dragonfly Partner: TRUMP is launched through DeFi, which can help attract more users and capital to the chain

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ODAILY
01-27
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Odaily reported that regarding Trump's launch of the meme coin TRUMP, Dragonfly general partner Rob Hadick said: "If he or his organization actually sells a large position, aside from those who profit from it, there are hardly any industry insiders or people in Washington DC who would support him. This will only reinforce the view that this is a serious breach of ethics, and will lead to more crypto partisan disputes. So for all our sakes, I hope he doesn't do that." Industry insiders believe Trump is unlikely to sell his position in the short term. "If it's seen as 'market manipulation,' the reputational damage is likely to far outweigh the financial gains," said Tribe Capital general partner and managing director Boris Revsin. In addition to market dynamics, this meme coin may also complicate crypto regulation. Hadick pointed out that its launch opens an important avenue for potential government corruption or foreign influence, or at least creates this phenomenon, making reasonable legislation more difficult to pass. He added that it disrupts the efforts of entrepreneurs focused on technological innovation by attracting liquidity and attention to other areas of crypto. Nevertheless, this release also demonstrates the power of DeFi. "This release is on DeFi rather than CeFi, which is significant and frankly very cool," Hadick said, noting that it can help attract more users and capital to the chain. Other venture capital firms see both opportunities and risks. Hack VC co-founder and managing partner Ed Roman called TRUMP a "double-edged sword." While the meme coin legitimizes and drives mainstream adoption, its high FDV will pose "significant risks" if the token collapses. He added that meme coins are beneficial for crypto if investors understand the risks. They "have no fundamental tangible value, so it's more like a casino than a stable asset, and those who don't understand this will inevitably suffer losses."

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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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