In a year where the broader memecoin sector saw modest gains, a niche corner of the crypto market has outperformed all expectations. The Political Finance or “PolitiFi” tokens have emerged as the biggest winners, with their market cap soaring by an astonishing 667% in 2024. As of August 27, CoinGecko data shows that the PolitiFi sector boasts a market cap of $592.4 million—a seven-fold increase since the beginning of the year.
This surge is particularly striking when compared to the overall memecoin market, which includes well-known tokens like Dogecoin (DOGE) and Shiba Inu (SHIB). These popular tokens have only seen a 73% rise in the same period, making PolitiFi tokens the undisputed champions of 2024’s memecoin landscape.
The Rise of PolitiFi – MAGA and ConstitutionDAO Lead the Pack
It may come as little surprise that most of the top PolitiFi tokens are associated with former U.S. President Donald Trump. Leading the pack are tokens like MAGA (TRUMP), MAGA HAT (MAGA), Super Trump (STRUMP), and Doland Tremp (TREMP), all of which rank among the top five PolitiFi tokens by market cap. However, the crown jewel of the sector is ConstitutionDAO (PEOPLE), which currently boasts a market cap of $334.6 million, dwarfing its peers.
ConstitutionDAO was originally created as a decentralized autonomous organization with a single mission: to purchase a first-edition copy of the United States Constitution in November 2021. Although the DAO lost the auction to billionaire Kenneth Griffith, who bid $43.2 million, its token has continued to trade and thrive in the market.
MAGA (TRUMP), inspired by Trump’s famous “Make America Great Again” slogan, holds the second-largest market cap at $149.7 million. Despite having no official affiliation with Donald Trump, the token has seen its value closely tied to significant political events, reflecting the broader trend within the PolitiFi sector.
Political Events Fuel PolitiFi Token Volatility
CoinGecko Research Analyst Shaun Paul Lee highlighted in an August 27 research note that the prices of PolitiFi tokens, including MAGA, are highly sensitive to political events. For instance, MAGA surged nearly 80% in a single day following Trump’s landslide victory at the 2024 Iowa Republican presidential caucuses. The token also jumped 22% after Trump was found guilty of 34 counts of hush money payments and rose another 41% after an assassination attempt during a rally in Pennsylvania.
Also Read: Solciety’s PolitiFi Meme Coin Presale Raises $600K+ in First Two Weeks
Trump’s NFT Venture But A New Frontier
Adding to the intrigue, Donald Trump has recently launched his largest non-fungible token (NFT) collection to date, the “America First Collection.” With 360,000 potential NFTs minted on the Polygon network, this collection offers perks such as dinner with Trump or a piece of the suit he wore during a debate with President Joe Biden. Despite bearing Trump’s likeness, the collection was created by NFT INL LCC under a paid license, with no funds going toward Trump’s presidential campaign.
As PolitiFi tokens continue to defy market expectations, their close ties to political events make them one of the most volatile and intriguing sectors in the cryptocurrency market. With significant gains already in 2024, the future of PolitiFi tokens remains closely intertwined with the unpredictable world of politics.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
About The Author
