The cryptocurrency market is experiencing a significant surge, particularly with the introduction of Donald Trump’s memecoin project, TRUMP. This initiative has propelled the total value locked (TVL) in the Solana 
$265 (SOL) network beyond $10 billion, marking the highest level since the collapse of the FTX exchange. Following the launch of TRUMP, Solana’s TVL soared to approximately $12 billion, indicating a revival of activity, especially in the decentralized finance (DeFi) sector. Data from DefiLlama reveals that the amount of SOL locked in the network has surpassed 45 million, a level not seen since August 2022.
Trump’s Memecoin Project Benefits Solana Network
Trump opted for Solana for the TRUMP coin associated with his presidential campaign. The memecoin, developed by Trump-backed CIC Digital LLC, holds 80% of the total supply set to be released over the next three years.
This development has led to a 23% increase in SOL’s price. The launch of TRUMP sparked heightened trading activity on decentralized exchanges (DEXs) within Solana. For instance, the Raydium protocol surpassed Tether (USDT) in producing transaction fees over a 24-hour period.
Moreover, the memecoin trading platform Moonshot hosted transactions worth $400 million within the first 12 hours post-launch, attracting 200,000 new users to the Solana network during the same timeframe.
Signals of Potential Changes in U.S. Crypto Policy
Trump’s memecoin is viewed as a pivotal moment for the U.S. cryptocurrency market. Erik Voorhees interpreted this development as a signal for a more innovative approach in U.S. fintech policy.
The increased interest generated by the memecoin poses a significant test for Solana’s future. If the network can successfully manage this heightened traffic, it may see further influxes of new users and capital. Additionally, the probability of a major Solana-based Exchange-Traded Fund (ETF) launching has increased, with Polymarket data indicating a 61% chance of approval by the end of July.
