Ross Gerber said nearly 1.5 million wallets lost money in Trump-linked crypto projects as TRUMP token plunged 97% from its peak

Wallet data raise concerns

Pointing to Wall Street Journal data, Gerber said that about two-thirds of the wallets holding the Official Trump (TRUMP) meme coin are currently showing losses on paper, representing roughly 1.48 million crypto wallets. According to the report, as many as 85% of those who bought World Liberty Financial’s WLFI token on the secondary market are also in the red.

Gerber referred to this situation as the “Trump crypto scam,” claiming that more than one million people have lost money.

Ross Gerber argued that Trump-linked crypto projects have harmed more than a million investors and eroded confidence in the market.

However, it’s important to note that the number of wallets does not correspond one-to-one with the number of individual investors. One person may control multiple wallets, and some wallets may be shared by several users. Therefore, the wallet figures should not be interpreted as a direct count of investors.

Sharp decline in the TRUMP token

Launched in January 2025, the Official Trump token experienced one of the most volatile boom and bust cycles in the crypto market. Driven by a surge of interest from retail investors, the token’s market capitalization briefly soared to about $15 billion. Following a sharp pullback, it lost approximately 97% of its value, dropping to a market cap of $404 million.

Gerber has previously described Trump’s crypto ventures as motivated by self-interest. He believes these initiatives not only harm the associated tokens but also undermine confidence in the broader digital assets market, including Bitcoin. According to Gerber, tokens launched with strong political connections reinforce perceptions of insider advantage and leave retail investors vulnerable to heavy losses.

Calls for tighter regulation intensify

US Senator Elizabeth Warren is also calling for stricter crypto regulations to prevent elected officials and their families from profiting from digital asset ventures while in office. Warren argues that politicians involved in crypto projects present potential conflicts of interest and that stronger safeguards are needed.

Elizabeth Warren maintains that tougher measures are necessary to prevent politicians and their families from earning income from digital asset projects while in office.

At the heart of the debate is the relationship between political influence and high-risk digital asset projects. Recent figures show that many investors purchasing tokens on secondary markets have suffered losses, increasing the likelihood that Washington will ramp up calls for greater regulation in the sector.