The controversial MELANIA token has come under intense scrutiny after on-chain data revealed that its development team sold off more than $35 million worth of tokens over the last four months. The move has sparked questions about transparency and sustainability as the asset continues to lose value.

According to data from blockchain analytics firm Lookonchain, the team behind MELANIA distributed over 82.18 million tokens, amounting to 8.22% of the total token supply, across 44 wallets. The tokens were then sold in small batches using strategic liquidity management—rather than large open market orders—raising eyebrows among on-chain analysts.

Token Sales Conducted Through 44 Wallets

Rather than dump the tokens in obvious bulk transactions, the MELANIA team allegedly used a coordinated strategy of adding and removing liquidity across exchanges to obscure the selling. This method allowed the team to gradually exit positions without triggering large red flags immediately visible to the public.

In total, these sales generated approximately 244,934 SOL, which at current prices (about $145.68 per SOL) amounts to $35.68 million. While not an illegal tactic, such activity has sparked concerns about tokenomics transparency and the fairness of insider actions.

MELANIA Lacks Utility and Roadmap

Perhaps more troubling to investors is the lack of any development roadmap or product utility behind the MELANIA token. According to its own documentation, MELANIA has no planned use cases, ecosystem expansion, or reinvestment strategies. The token is explicitly positioned as a speculative asset with no functionality.

Despite this, MELANIA still holds a market capitalization of $127 million, largely driven by viral marketing and political branding. However, as sell-offs continue and price weakness persists, the project’s long-term viability is increasingly being questioned.

Wintermute Partnership Boosted Liquidity—But Not Confidence

Earlier in June, MELANIA attempted to calm the market by a liquidity partnership with Wintermute, one of the leading crypto market makers. As part of this deal, 150 million MELANIA tokens—worth around $50 million at the time—were transferred from the community wallet to multiple addresses, including 20 million tokens sent directly to Wintermute.

The intent was to improve liquidity, minimize slippage, and provide a more stable trading environment. However, the partnership appears to have had limited success in reversing market sentiment.

According to CoinGecko, MELANIA is now trading at $0.2069, down 7% in the past 24 hours and down 59% over the past 60 days. These figures represent an all-time low for the asset since its January 19 start.

Community Reactions Turn Skeptical

Community sentiment has cooled significantly, particularly among early traders who were initially drawn to the project’s viral appeal. Critics have pointed out that while the token succeeded in grabbing attention, its lack of innovation or transparency has made it hard to justify ongoing support.

One user put it bluntly:

“The Trump token diverted attention during a strong market phase, and then insiders cashed out. Now MELANIA seems like the encore performance.”

There’s a growing perception that MELANIA’s recent sell-offs represent opportunistic profit-taking rather than steps toward ecosystem growth. And with no product development or technical innovation, some argue that MELANIA is becoming a case study in top-heavy token control.

Institutional Interest vs. Retail Risk

Interestingly, MELANIA’s ability to secure a partnership with Wintermute has reignited a separate debate about the role of market makers in the crypto space. While some view firms like Wintermute as stabilizers that add liquidity, others warn that their involvement can lead to unfair advantages and price manipulation—especially when paired with insider-controlled tokens.

Without a clear roadmap or governance structure, MELANIA’s fate now appears to be tied to market sentiment, rather than fundamentals or development milestones.

Final Thoughts

The MELANIA token’s recent $35 million sell-off, combined with a 59% price drop over two months and a lack of utility, has shaken investor confidence. Despite liquidity support from Wintermute, the asset’s sharp decline continues, highlighting the risks of speculative crypto assets without clear development goals.

Unless the project introduces transparent governance, product utility, or long-term incentives for holders, MELANIA may continue to face headwinds. For now, the token remains volatile, and its future appears to hinge more on viral momentum than on lasting value.