Episode 9: Circle Hits $121, Trump Wallet Scandal, and Pump.Fun Madness

00:00

Hey everyone, good afternoon. This is JR, founder and CEO of Social Market, and this is my partner, Leon Hitchens from Social Market. He’s the CMO, and this is Social Ledger Report. Another episode, what, last week I was in Cancun, so I’m back into the normal grind of stuff and a lot, I say it every week, but a lot has happened in the crypto world. Got point at what, 103 right now, 103.7, $103,762.

00:29

Ethereum’s sitting at 2400 as always but a lot of other stuff. You want to talk the first one? The Circle stuff? Yeah, so I noticed you’re a little bit darker from the tan you got but while you were in Cancun we actually got some pretty good stories this week. So the first one we’re going to kick it off is with Circle actually IPO-ing as of Thursday, June 5th of this week and they actually broke an all-time high the day…

00:59

not all time high really if it’s the day they launch,  like, you know, it surpassed what was the initial IPO offer, which would have been $31, but it went over over 95 or something.  So the second story, I think it was 95 and then it closed at 87. So it was one of like the biggest like opens for  any crypto ever. Yeah. Yeah. So it’s insane. It was, it was  huge. So

01:25

Our next story after that, it’s Magic Eden, a Solano based wallet that  lied about partnering with the Trump organization to release Trump wallet. And now they’re getting,  they got a cease and desist from the Trump organization as a result.  But you know, they saw their tweets live. I don’t know if they’re going to go back on it, but we’ll see what happens. More on that in a bit.  The next story is Pumped Up Fun, releasing a one billion talk,  a racing for a $1 billion token.

01:53

had a 4 billion dollar valuation.  I’m not sure what they’re trying to raise for. Maybe they’re seeing all the hype with crypto getting into traditional markets now, such as, you know, circles IPO, but they’re trying to raise for money.  More on that in a bit as well. Next, we got the French crypto kidnapper actually arrested. So if you remember last month  in May, about May 14 or so, there was an attempted kidnapping in France.  Well, the kidnapper got arrested or

02:23

alleged kidnapper. He was actually in Morocco where this happened.  And the last story we got to save the best for last  is Trump and Elon break up  and  us, America being the children, we’re kind of stuck in the middle of it. The markets were tanking for a moment. This impacted Bitcoin, it’s actually right now closer  to 100,000. Will it even fall below 100,000? That yet remains to be seen.  So  more on that in a moment.

02:52

Do you any thoughts for that Leon as far as we’ve said? No, let’s jump in and let’s start talking some of them. Yeah, so but before we get into it guys, please subscribe  to the channel. Give it a like. It costs you nothing. It helps us spread the word and create more content for you and for anyone who wants to  stay updated as far as the crypto news, the top crypto news that happened in every week.  So let’s start with with Circle.  Justin, USDC issuer Circle stock rises 200,000.

03:20

Percent to $94 and 41 cents from 31 IPO price. So this is what I was talking about earlier how even I believe Circle themselves came out saying that the projected stock price would have been $31, but instead it went out of the water with $94 as of this tweets time which was 11 57 a.m. So a lot happened. It’s kind of expected. I think

03:48

The overarching thing is, you know, there’s explosive demand.  It’s showing that, you know,  they’re the second largest stable coin,  you know, brings their IPO  crypto closer to like traditional finance. And then it’s also like a milestone for digital dollars.  Like  it’s just,  I think that this is going to, you know, fuel a crypto hype.  And we’re just going to see a lot of,

04:17

companies going public. know Kraken’s looking at it, but  I think that this is a good  signal for the market. And then it’s also good for stable coins becoming a core pillar of the financial system. It’s no longer just like DeFi and all of this like  kind of  nascent technology. It’s actually a core like upgrade to the financial system.  Yeah. Yeah. So,  so  Circle was actually launched in 2013.

04:46

more on the founder in a moment but they started off by doing like traditional well they wanted to do more crypto wallet but a lot I actually have an article that kind of talks about their story here in a moment but yesterday they closed at $95 or at $87 but their all-time high of yesterday was $8 was $95 according to Yahoo Finance they’re they surpassed I believe $120 it was $121 being the all-time high as of

05:16

this video is recording. And right now on Friday it’s closing right about 107 maybe so we’ll see if anything happens by then. This is Wood Circle. Oh wow, they that high? They did. So it’s CRCL and again the all time highest of this video was $121 and right now they’re about 107 as of right now. So yeah.

05:45

People see the hype.  If you look at this chart, it actually kind of sees the  historical  data since yesterday.  And you can just see it  going  haywire, just  making insane returns for all investors and anyone who backed Circle.  I think Coinbase made a lot of money just from this alone because they do own  a  good amount of  equity on Circle.

06:14

still  all on paper like  not for six months till can they do anything  yeah so everyone’s locked up right now  yeah you got a good point there  so  here’s the founder Jeremy Allaire I think I pronounced it right yesterday he was just tweeting the whole day  about like what happened you can  look at his profile on on Twitter here and you can see kind of like everything that he talked about  so this is where they ranked Bell  and

06:42

it was officially listed i think that’s how it goes uh… this the headquarters they had i’m not sure what the headquarters is but they have this video kind of playing here in the in the building it’s actually new york my bad so the headquarters is in new york so that’s the one trade center uh… well that makes sense that’s interesting yes so you should know it it’s it’s like i a replacement to the skylight

07:10

Yeah, Circle, everyone was celebrating and there’s a story from CNBC where they kind of talk a little bit more about this stablecoin, you know, the stock itself reaching 168 % in the day of the IPO. So here’s actually a really good story that I’m only going to cover a couple of things. So kind of talks about here, you know, the state of the IPO, like as far as the price and then

07:38

This is a little bit more on the background on Circle.  To realize our vision, we needed to forge relationships with the government. We needed to work with  policymakers because if you want this to work for mainstream, it’s going to work  in mainstream society and you need to have those rules off the road.  CEO Jeremy Allaire told CNBC Money Movers on Thursday.  We’ve been on the most licensed, regulated, compliant, transparent companies  in the entire history of this industry and that served us well.  So

08:07

Everyone trusts USDC as a result. There’s this graph that happens here that is shown here that kind of tells you the state of all other stable coins in the market. So Tether, USDT is actually the market leader with a market cap of 153.4 billion. And Circle is just under half being 61.5

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billion.  So  even though it is the most trusted, they are certainly not the number one in the market.  And any other stablecoin  have a total market cap of 12.8 billion.  Those would be like  the latest  Ripple,  Ripple, stablecoin,  RL, USD, and among others.  So  including EURC as well. So  USDC is the second leader here.  Yeah, so

09:05

We’ll see what happens with with USDC.  We’ll see what happens with Circle right now. They are kind of like the main talking point. We’ve been covering USDC for a long time now and  the Circle IPO finally went through. So  that’s exciting. That’s good on everyone’s end. So  if you’re an investor, just, you know, do your due diligence.  Meanwhile, I’m probably going to be stacking up some USDC or some Circle stock. So, you know, we’ll see what happens.  So.

09:33

On to our next story, Trump Wallet. It’s not happening and it’s certainly not happening with Magic Eden. But it almost seems like they’re doubling down because their tweet history is just, they’re not taking anything down. They haven’t come out and said, hey, we apologize to the Trump Organization or whatever. You know, they haven’t come out and said, hey, yeah, we had our sources wrong. And as a result, the Trump Organization is coming with a cease and desist.

10:01

We have an article here from CoinDesk that we’ll link in the bio  and you can look at it on your own.  But  let’s look at some tweets. Let’s see what we got going on right now. So big news says Magic Eden. official Trump wallet is coming soon. The first and only crypto wallet for true Trump fans. Join the free waitlist for a chance to get a share of one million dollars in Trump rewards. Go to TrumpWallet.com now.  The Trump  wallet is powered by Magic Eden. So they got fact check or  community.

10:31

Note, saying the Trump Organization has zero involvement with this wallet product. Donald Trump Jr. and Eric Trump know nothing about it. So this came out as of June 3rd  at 12.35 p.m.  and maybe later that day, a couple hours later.  First comes Eric Trump saying, this project is not authorized by Trump. Magic Eden, I would be extremely careful using our name in a project that has not been approved  and is unknown to anyone in our organization.

11:00

And then Donald Trump Jr. comes out and says, well, actually, looks like based on the timeline, it was first Donald Trump Jr. and then Eric Trump. But first,  Donald Trump Jr. says, the Trump organization has zero involvement with this wallet product. Eric Trump and I know nothing about it. Stay tuned. World Liberty Financial, which we have been working tirelessly on, will be launching our official wallet soon. So it looks like  any Trump product or wallet is not going to be associated with any other

11:30

product like  Magic Eden, Metamask, Phantom Wallet, you name it. They are pretty much building their own line of products from the ground up and they started with World Liberty Financial and then American Bitcoin,  you name it. So maybe just keep that in mind  in case you are anywhere in the internet and you see some company like Magic Eden coming out and saying, hey, yeah, we’re going to partner with the Trump Organization because clearly not.  I’m not surprised. Like people do this all the time. There’s like court cases on

12:01

Somebody didn’t endorse a serial, but they’re using their name.  This happens all the time. I do think that there should be some sort of like verification system  in the chains to like know, hey, this was actually endorsed by somebody, whether it’s a wallet or something. And then  the other part is just like, it really damages the trust of like this  crypto and  the market as a whole.

12:28

Yeah, that makes sense.  So in this case,  we actually had the Trump organization pull out and give  Magic Eden  a cease and desist.  So we have this article here from  CoinDesk. Now, I’m not I’m not subscribed or at least logged in here, so I’m not able to pull out the full article, but we’ll leave it in the description for you.  And just based on the headline, it says Trump family hits Magic Eden with cease and desist over crypto wallet plants Bloomberg. All three of US President

12:56

Trump’s sons have denied being involved with Magic  Eden’s plan for a Trump wallet. So yeah, just be careful what you read on the internet as usual. That’s what we try to do in this  podcast. So we have this article from Coinisk, but we have this other article from Cointelegraph. Trump meme coin wallet in absolute chaos as family organization unaware of launch. So it kind of just talks a little bit more about what we’ve said, what we’ve covered right now with just based on the tweets and the timelines and everything.

13:25

Um, yeah, so that’s pretty much it for this story. It looks like based  on anything that is going to happen,  um, with any product that is coming from the Trump organization,  I would probably just  follow them  just so that way you don’t listen to from someone else  making a sponsorship or any kind of announcement on the Trump organization’s behalf. Now, this is not an endorsement to Trump or anything. It’s just telling you the facts.  Just be careful where you get your sources from.  Always do your due diligence.

13:54

with research and everything.  And  yeah, we’ll see what happens with the Trump organization and with Magic Gidden.  Will they listen?  We’ll find out.  So for our next story, we got  the pump.fun  application or platform planning to release a $1 billion token at a $4 billion valuation.  It looks like they’re raising $1 billion for this  for this token.  No, well,  so yeah, like,  it’s just like an IPO, like a token launches an IPO.

14:24

many ways.  so this will be a ICO or initial point offer.  Yeah, exactly. So they’ll generate a billion dollars to get a $4 billion valuation, interesting valuation, like  set up there. I’m not sure  why it’s like that, but,  um,  I just love that  the meme coins are  still spawning more money.  Yeah. I mean, it’s

14:50

Honestly,  to the credit of Pump.Fun and all the people involved with them, they’ve actually kind of changed the trajectory  of the crypto industry from being NFT based to now being memecoin  based. well, with Solana being the number one leading blockchain for this,  it wasn’t that long ago where everybody was launching an NFT project.  And in my opinion, I think a lot more people were losing money with NFTs than they are with memecoins.

15:20

So not financial advice, but  meme coins at least have a more sticky  experience than with NFTs. You buy something and you hope people will buy from you.  But here, you know, it’s kind of like based on the markets.  Excuse me.  I feel like  the meme coins have no value, whereas at least an NFT you could sign  an artistic value to it.  this,  this is trying to like put.

15:47

a meme into like a token and you’re speculating on  nothing.  I don’t know. see this whole thing as like,  there’s that guy, it’s Wizards of Soho  on Twitter.  He was right. was like selling  literal vapor well at a $4 billion valuation. This industry is so unserious.  This whole thing just really  gives it to me because it’s like,

16:16

It just highlights the irony of it. It’s like a platform built on irony and,  and parody is selling  real tokens for billions of dollars. And those tokens don’t have any  utility because it’s just like  the coins are just all speckled, speckled to tibs.  Wow. I pronounce that.  It’s showing. Yeah, there you go. Um, it just shows that, you know, like  there, there is nothing that’s backing it. Like memes are remote. I get it. But like,

16:45

the liquidity  that it’s creating, like the UX is sticky, but  I’m like,  it just gives me that this is another ICO bubble.  Is it gonna create this big bubble that does it? And then also on top of this,  I really think this is gonna  trigger some regulatory heat. There’s just no way that  such a large token sale wouldn’t get picked up even by the SEC  or  the FTC, anybody at some point and go like,

17:16

a billion dollars with a four billion dollar valuation like  there’s  this this is almost a security at this point.  Yeah. So  I like to think  that NFTs

17:32

You know, for a while I used to like NFTs.  I do like the  art aspect of it, but I think what kind of killed my appreciation for NFTs is that at the end of the day, they’re not images that are stored on the blockchain.  If you know how the blockchain operates, it’s just a ledger  of receipts  of time-stamped money transactions.  So  when you own an NFT,  really you own a receipt to  a  transaction that

18:02

is piece of data that contains a link to the image, which is the NFT itself. So at the end of the day, that’s all that an NFT is. And with tokens, at least it has an easier way for you to exit because with NFTs, you need a buyer if you need to exit an investment from an NFT. Now, of course, it’s not always about NFT. I’m sorry. It’s not always about making money out of like trading NFTs, but

18:31

I think it’s just generally easier to approach meme coins than it is with NFTs because, you know, ever since 2021, 2022 market, it just kind of left a bad taste to a lot of people and they see a image of an ape or of any other NFT they’re going to just generally disassociate and just dislike it. Now this is from the point of view of Normies. I see it as a net negative. Like also

18:58

There was a few chains for NFTs that allowed images to be stored. believe it was like LUTE and then Chainrunners where they fully coded and put the image on the chain. Those are kind of cool projects, but yeah, like most of them just didn’t have the scalability to do it. I think the problem here is that this is way more accessible to everybody. Donald Trump, you could buy his coin and buy it at $40 a pop.

19:25

and then it’s at $12, know, weeks later.  More people are gonna lose money at volume here  than NFTs. NFTs were just a bunch of goofballs like me, you,  who kind  of understood it also that  saw the speculativeness of art  and were like, okay, this is gonna be it. Whereas  people are gonna see this. Kanye talked about selling a meme coin. All these people  are gonna very quickly  jump onto this and it’s gonna ruin a lot of money for people.

19:55

And I think it’s just much easier for them to jump in when it’s $10 a token versus an NFT that’s costing one, two, three, ETH. And you have to really think about that in a different way. Can I burn this money? Whereas people are like, oh, it’s a hundred dollars. I’m not really too worried about it. And then when they really want that a hundred dollars, it became $12. it’s like, oh. So I just see a lot more problems with tokens that are meme-based like this and don’t have a utility other than just being a speculative.

20:25

Asset  really and then because there’s nothing backing it. It’s not like the meme gets better Yeah, people are just trying to make money off of  trends and memes. So  I agree with you for the most part It’s just I don’t know. I I like the accessibility that meme coins have  but before we  Go off topic here a little bit more  so based on  the the story here from pop that fun some people have been posting about it  and the posts are parabolic, so

20:55

Again, sharing the same news. Hey, you know, they’re raising $1 billion for this token at a $4 billion valuation. You know, you look at the threads here and the posts people are kind of just speculating on like, oh, hey, you know,  what does this mean for any meme coins here on? know, are we going to  trade with  pump token? Are we going to trade with Solana?  Because  historically the problem with Solana right now is  if you’re active trading in Solana,

21:24

The  token Solana has actually lost a lot of its value because  the organization pump that fun actually  liquidates their Solana holdings because whenever whenever people  Make any purchase or any transaction on the platform. It’s with Solana.  So  pump the fun gets a large cut from it  and  over time they’ve been  dumping the token to liquidate it so  as a result that’s  where a lot of people are mad about the state of Solana and especially

21:53

how it’s due to pump the fun.  For the most part, they’re liquidating it just for cash on hand.  Yeah, just cash on hand. just, they just liquidate because  they got to pay bills or their employees or something.  So that’s generally what some of my friends who trade on someone have been saying. And from what I’ve seen as far as what people are saying here on Twitter as well.  So you’re probably going to find some of those conversations here on the threats  or  on, the comment section,  all the speculation.

22:22

But anyways,  this post here it says which I think it’s a very interesting insight.  So good morning. My entire timeline is losing it’s  losing it over the pump fun token  sells and yes, I get it.  If you’ve been using the platform and now realize there’s no airdrop for you, that stinks.  Totally for to be annoyed. But let’s be real pump.fun revolutionized the game. It made it possible to buy into coins from day zero with tiny market caps and fair launches.

22:49

For the first time, people with small capital can actually grow something meaningful.  This isn’t just meme culture. It’s a new model for capital formation. You’re mad? Fine. But don’t miss this actually. I’m sorry. Don’t miss what’s actually happening here.  Mask on, keep moving. So he’s just  spreading fun or  glazing a token that’s called mask.  But yeah, I mean, this kind of just  gives you a general summary of how people are responding.  And

23:17

One more thing I want to share about this is  a very interesting insight as to how people really perform in the pump fun ecosystem.  So this post it’s from Wizards of Soho. I think that’s the one that you mentioned earlier. Yeah. He’s a big like  anti pump.fun  like  service in general.  Yeah. It makes sense. I mean,  I have mixed feelings with the platform. I think this

23:44

Data here is very interesting for anyone who is speculating or is on a platform just as an insight.  So this is a query result on this month’s trades, profits and loss on pump fund tokens.  This month being May. So  if you look at the chart, it looks like you have from top down as far as  gains. So the top most you’re looking at people who’ve made  anywhere between  50K and  100K  and the bottom being people have lost

24:14

just under a million dollars, which, you know, very interesting data. It looks like less than 50 % of people actually make any kind of money in this platform. Most people being 43 % actually make less than $500. Is, okay, is that zero to 500? Where’s the, realized. Yeah, so. I see that. $500 or less.

24:42

Yeah, it’s kind of weird the way this chart is laid out, about 142,000 say 143,000 if you round it have actually made any kind of money from zero to $500 or less than $500 and people over 51 % of anyone who’s used pump fun in the last month have actually lost less than $500, but someone actually lost close to a million dollars. So that’s actually concerning just

25:11

Be careful where you put your money guys. That’s  the moral of the story. This is showing that it’s a  net bad.  Like,  yes,  this many people losing money is just a net bad.  And it’s going to give a bad taste. Like  the stock market’s appealing to everyone because it goes up.  This guy and it’s more trusted and then crashes  like this.  Again, there’s no there’s nothing behind it. Like  I understand like a theory and proof of stake that there’s utilities is not.

25:40

You know  World coin has a utility  bitcoins a store of gold  like  a lot of the like diesel was a  social network It was a utility  but when you do this stuff what you’re speculating on is that more people are gonna buy it than sell it and  You’re essentially just  Gambling like  oh, yeah, it’s  a naked gamble like it’s it’s literally you’re playing dice and you’re just gambling  this does the number six hit  like

26:10

Yup. It’s bad overall as a perspective. Look, you said it.  NFTs are  for most part objectively bad to most people. Like there’s a bad rap to it.  This is what’s going to cause the next bad rap.  Like it is on its path to do it. Cause most mainstream people are going to go,  Oh,  over 60 % of people probably lose their shit on their money.  Like

26:35

in the end, know, somewhere along the path. Like  if 60 % of people on these platforms are losing their money,  sooner or later, they’re going to be like, oh, just all a scam. And then,  you know, kind of  do, do the same thing and tell everybody else that, you know, it’s, it’s just like a network effect. Yeah, I agree. I mean,  I mean, I hate to say it because I actually do like meme coins more than NFTs,  but I mean, yeah, I mean, you think about the average user, they’re going to be  very, um,

27:05

I guess for lack better word, just not gonna like it. They’re going to be very worried and even more skeptical than NFTs because,  you know, people are just gonna be gassing all  the hype behind getting on board. But at the end of the day, this is gaveling. And yeah, mean, more people lose money. Even here in the post that says  even the worst casino games has much better odds than pump fun memes.  So  statistically, you’ll more times than not lose money in this platform. So.

27:34

I’ve also lost a good amount of money just by using it, so I’ll be honest. But that’s pretty much the story as far as pump.fund goes. We kind of just wanted to highlight some of the speculation on its user base, what the market is saying, them trying to raise $1 billion on their token. So we’ll see what happens.