Donald Trump has launched a meme coin called TRUMP, making him the first president to enter the meme coin market. However, the legality and tax implications of the coin are raising concerns. There are questions about whether TRUMP could be classified as a security, as cryptocurrencies from Initial Coin Offerings (ICOs) are usually treated as securities. Trump's team claims that the coin is not a security, but this may not prevent a potential SEC investigation. Another concern is the potential for political donation loopholes, as launching a meme coin could bypass traditional regulations. The tax issue surrounding TRUMP is also a point of discussion, as cryptocurrency profits are taxable according to the IRS. It is unclear whether unlocking the TRUMP coins will trigger a taxable event. However, there is speculation that Trump's crypto wealth could lead to tax reforms, such as eliminating capital gains on crypto or slashing income taxes on crypto sales.



Other News from Today