Trump's Truth Social will launch a utility Token and loyalty program, raising regulatory concerns.

1. Loyalty Program and Utility Token: Use "Gems" to Incentivize User Engagement The social media platform Truth Social, founded by former US President Donald Trump, announced that it will launch a utility Token as the core of its new loyalty program. This program is linked to its "Patriot Package" subscription service.

The platform states: "In the near future, based on user engagement on the platform, 'Patriot Package' subscribers will be able to accumulate 'gems' in their Truth Social accounts. These 'gems' will eventually be linked to a utility Token on the Truth Social and Truth+ platforms." This marks the official establishment of the Token economic model and user incentive mechanism for Truth Social.

2. "Patriot Package" details: $9.99 monthly fee for "non-awakened" content The "Patriot Package" currently in public beta has a monthly fee of $9.99, and subscribers will receive:

• Access 12 "high-quality, non-woke news channels"
• Expanded video-on-demand content library
• Red verification checkmark on the Truth Social platform
• Truth+Badge

It is worth noting that the platform has a free tier that offers more channels (27 channels, which is 15 more than the paid version), including Euronews and a Spanish channel.

3. The parent company TMTG's cryptocurrency ambitions: wallet, Token and the denial of launching Meme coin The parent company of Truth Social, Trump Media & Technology Group (TMTG), is not new to cryptocurrency asset initiatives:

• April: Inform shareholders that we are exploring the development of a utility Token for the "Truth Digital Wallet". This Token will initially be used for paying the Truth+ subscription fee, with plans to expand to other services within the Truth ecosystem in the future, building a crypto payment solution.
• May: Denied rumors about the launch of Truth Social Meme coin.
• This week: A registration statement for the "Truth Social Crypto Blue Chip ETF" has been submitted to the U.S. Securities and Exchange Commission (SEC). This cryptocurrency ETF plans to invest in mainstream crypto assets such as Bitcoin (BTC), Ethereum (ETH), Solana (SOL), XRP, and Cronos (CRO).

4. The Close Ties Between the Trump Family and Crypto: NFTs, Meme Coins, and Controversies Truth Social's crypto initiative is the latest example of Trump-associated enterprises embracing the broader trend of digital asset investment. In recent years, Trump and his wife Melania have actively promoted multiple NFT series and Meme Tokens.

• May: Trump hosted major holders of the TRUMP (MAGA) Token at private dinners and receptions, an action that drew strong criticism from ethics oversight agencies.
• The advocacy organization Accountable. US strongly condemns this behavior as "the most blatant corruption self-enrichment scheme in American history."
• The Trump family is also associated with other crypto-related businesses including World Liberty Financial and American Bitcoin.

5. Regulatory Pressure and Legislative Challenges: Concerns Arise as President Engages in Crypto Some members of Congress, such as Democratic Senator Elizabeth Warren (Massachusetts), are calling for stricter laws to prevent the current president and his family from profiting through cryptocurrency venture capital. However, the legislative progress on cryptocurrency asset regulation is slow.

6. Controversies in Cryptocurrency Legislation: Republican Lawmakers Raise Sharp Questions Even some Republicans have expressed concern about this. During the Senate Banking Committee hearing on Wednesday, Republican Senator John Kennedy (Louisiana) questioned why the crypto industry seems to be leading the drafting of its own legislation (referring to the market structure bill) and pointed out that the proposal would significantly weaken regulation.

• Kennedy stated to a panel of crypto industry leaders, including Ripple CEO Brad Garlinghouse, "To what extent should we allow you to draft (these rules)?... I’ve heard some of you say that digital assets represent the next generation of the internet."
• He sharply criticized: "Well, we let the current generation of internet (companies) set their own rules, and frankly, the result looks like someone spilled a urine sample." This reflects the huge controversy between cryptocurrency compliance and industry self-discipline.
• (Source: Decrypt)