Massive Liquidity Drain Spotted on TRUMP – Another Rug Pull?

In Brief

• On-chain data shows large liquidity withdrawals from the TRUMP memecoin’s team wallet.
• The withdrawal has aroused allegations of a rug pull fueled by recent whale sell-offs.
• The project team has not publicly addressed the withdrawals, further fueling the allegation.

Shedrach Kongvong 2025-12-31

The TRUMP memecoin has continued to decline in value since its launch, but something more serious could be going on with the project. Data shows huge withdrawal of liquidity from the memecoin, arousing fresh suspicion of a possible rug pull.

Transaction details obtained from the team wallet shows that they withdrew $33 million in USDC as part of a total of $94 million withdrawn and deposited on Coinbase this month. This has stirred up speculation that the team may be “cashing out”, implying a rug pull may be going on.

$TRUMP team wallet withdrew $33,000,000 USDC from the liquidity pool and deposited it into Coinbase.

In the past month, they have withdrawn $94,000,000 $USDC and deposited it into Coinbase.

It seems like they are cashing out. pic.twitter.com/ryTaefhHns

— Ted (@TedPillows) December 31, 2025

TRUMP Reputation Worsens

The TRUMP memecoin named after President Donald Trump of the United States was launched shortly after his inauguration in January this year. Since then, the token rose sharply in value to surpass $70 before plummeting fast without recovery till this day. Many critics warned against buying the token at the time, as celebrity cryptocurrencies have never done well.

Just last week, whales started dumping the memecoin as there seems to be no hope of recovery in sight. One of such whales dumped 3 million TRUMP at a loss of $7 million after holding it for 50 days. This development is probably fueling the current allegations of a rug pull engineered by the developer team, but it’s not the first time.

A similar allegation had arisen in September after the team withdrew $4 million in liquidity and deposited it to OKX. At the time, fans of the coin criticized the president for allegedly rugging his supporters to enrich himself. With a much larger amount of liquidity withdrawn this time, there is also more panic than the first time.

This is a disgrace to crypto. $TRUMP rugs near $4M liquidity and deposits to OKX.

Imagine being the president and so poor you need to rug your supporters

Fuck this coin https://t.co/x0GPjipPAu

— Crypto Bitlord (@crypto_bitlord7) September 18, 2025

Meanwhile, Democrat lawmakers have since criticized the president for associating with cryptocurrencies and especially for launching a memecoin in his name. This liquidity event will likely also worsen the criticism coming from political opponents who have proposed a law to ban the president from dealing with crypto.

TRUMP Devs Keep Mute

While allegations are flying around that TRUMP devs may be withdrawing liquidity in a rug pull, the team has remained mute. A look at its official X account shows that they last reposted on 25 December.

With the silence, the public and the project’s supporters may start to believe that the allegations are true, otherwise the team should have offered an explanation for the withdrawal and deposit of such a large amount of USDC on a centralized exchange.