Is the Party Over for Political Meme Coins?

cryptonews.com:

Connor Sephton is a journalist based in London, who also works for Sky News and the BBC as a radio newsreader and online reporter. He has covered crypto since 2018 — reporting from major conferences...

Elena is the Features Lead at Cryptonews.com. With a Master's degree in science journalism from City University, London, she is passionate about exploring complex topics in the world of technology.

Political meme coins and prediction markets have had a defining role in this crypto bull market — driven by the dramatic U.S. election and Donald Trump’s pro-Bitcoin policies.

Coins like TRUMP and MAGA have become vehicles for speculation, rising and falling based on the fortunes of candidates.

Most of the biggest PolitiFi tokens in terms of market cap are linked to the Republican nominee, with those named after Kamala Harris typically having much smaller valuations.

And investing in one certainly isn’t for the faint of heart. “Jeo Boden” hit an all-time high of $1.07 in April but has now plunged by 99.6% after the president abandoned his re-election campaign.

November’s election has also been huge business for Polymarket, where users can place cryptocurrency bets on a wide range of issues.

A staggering $986.2 million has been wagered on whether Harris or Trump will pick up the keys to the Oval Office in about six weeks’ time, and the race remains on a knife edge.

But once the winner emerges, there’s a bigger question to ask: will political meme coins implode in value, and will prediction markets suffer a sudden and sharp decline in revenues?

Data from @rchen8 on Dune Analytics shows that Polymarket is on track to smash records for monthly trading volume in September — beating last month’s haul of $472.8 million.

But data shows that most