Why President Trump's meme coin is raising alarm bells

The launch of President Trump's meme token was met with mixed reactions among the crypto community. On one hand, Trump allied with crypto backers on the campaign trail, promising to cut back on legal challenges brought against crypto businesses and promote innovation in the United States. His launch of a meme coin was a sign he still cared about crypto. On the other hand, the crypto community just recovered from the implosion of 2022, including the collapse of the centralized exchange FTX. Since then, there have been major developments in mainstream adoption, like the launch of spot bitcoin ETFs in U.S. markets. Trump's new cryptocurrency sparked fears it could stall the recovery of crypto's image, and concerns about how the president might get richer as investors poured into Trump's coin.