TRUMP Coin Plunges Over 15% to Record Low as Democrats' Midterm Win Clears Path for Crypto Probes
Key Takeaways
- •The Official Trump (TRUMP) token dropped more than 15% in 24 hours and hit a fresh all-time low of $1.22 after Democrats won control of both chambers of Congress in the US midterm elections.
- •Incoming committee chairs in both chambers, including Reps. Jamie Raskin and Robert Garcia and Sen. Elizabeth Warren, announced plans to investigate the Trump family's crypto business.
- •Trump-linked assets sold off sharply—WLFI fell about 6%, MELANIA nearly 13%, and the DJTU leveraged ETF 32%—while Bitcoin climbed back above $80,000 and total crypto market capitalization rose more than 3%.
- •A Reuters investigation found the Trump family has earned at least $2.3 billion from crypto since the inauguration, with World Liberty accounting for more than $1.4 billion and the memecoin another $616 million.
- •Committee chairs gain subpoena authority when the 120th Congress convenes in January 2027, and Democrats plan to bypass expected White House executive privilege claims by subpoenaing private entities such as World Liberty and Fight Fight Fight directly.
The Official Trump (TRUMP) token has fallen more than 15% over the past 24 hours and is trading near $1.27. According to CoinGecko, the token sank to a fresh all-time low of $1.22 after Democrats won control of both chambers of Congress in the US midterm elections.
Selling pressure accelerated as the results came in. Within hours, the Democrats positioned to take over key committees said they would investigate the Trump family's crypto business, and traders began pricing in what such probes could mean.
Trump-Linked Assets Slide While Bitcoin Climbs Past $80K
The election outcome and the subsequent probe announcements weighed heavily on other assets tied to the Trump family. World Liberty Financial's WLFI token dropped roughly 6%, while the MELANIA token fell nearly 13%. Trump Media & Technology Group, the parent company of Truth Social, hit an all-time low of $5.03, and DJTU, a leveraged ETF tracking the stock, plunged 32%.
The broader market moved in the opposite direction: Bitcoin climbed back above $80,000 and the total crypto market capitalization rose by more than 3%, a split indicating that the pressure was concentrated in Trump-linked assets rather than a market-wide selloff. The results have set off a contagion across Trump-linked assets even as the rest of the market moved higher.
Democrats Prepare Probes in Both Chambers
Rep. Jamie Raskin, set to lead the House Judiciary Committee, has said he plans to examine alleged self-dealing in Trump's crypto ventures as well as presidential pardons granted to specific donors and law firms. Rep. Robert Garcia, expected to chair the House Oversight Committee, also intends to investigate Trump's crypto businesses and associates. On election night he kept his message brief with a two-word statement: “Lawyer up.”
In the Senate, Sen. Elizabeth Warren, who is in line to chair the Banking Committee, said she would thoroughly investigate the family's crypto business as well. With allies set to chair committees in both chambers, the scrutiny of Trump's crypto ventures is positioned to run on parallel House and Senate tracks.
World Liberty Financial Sits at the Center
In January 2025, Aryam Investment 1, an Abu Dhabi entity backed by Sheikh Tahnoon bin Zayed Al Nahyan, agreed to buy an undisclosed 49% stake in World Liberty Financial for $500 million. Executives from G42 took seats on the company's board as part of the deal, making Aryam its largest outside shareholder.
Weeks before the US and UAE announced their AI chip framework, MGX, another Tahnoon-led firm, used World Liberty's dollar-pegged USD1 stablecoin to complete a $2 billion investment into Binance. Democrats view that sequence as a national security concern. The pardon of Binance founder Changpeng Zhao is also on their list.
TRUMP carries baggage of its own. Sen. Richard Blumenthal's 2025 letter pointed to pump-and-dump-style price swings and alleged that a small group of insiders profited heavily from the token's launch. That letter followed Fight Fight Fight's promotion of a private dinner with the president for top holders.
According to a Reuters investigation, the Trump family has made at least $2.3 billion from crypto since the inauguration. World Liberty accounts for more than $1.4 billion of that total, and the memecoin another $616 million. Investor losses come to roughly the same amount.
Subpoena Power Arrives in January
For two years, Democrats have written letters that carried no legal weight. That changes when the 120th Congress convenes in January 2027 and committee chairs gain the authority to compel testimony and documents. The first move is expected to be an oversight hearing into the full extent of Trump's crypto dealings.
Democrats expect the administration to lean on executive privilege, as it did during Trump's first term. Their plan is to bypass the White House and subpoena the private entities instead. World Liberty, Fight Fight Fight, and other family-linked companies would be the ones handing over records.
Price swings have always been part of holding TRUMP or WLFI. Documents showing who bought these tokens, and when, could soon become public as well.
