PoliFi tokens, a new frontier where politics, finance and cryptocurrency converge, have taken a significant hit, plummeting by double digits. This sudden downturn is attributed to unconfirmed reports that former U.S. President Donald Trump is backing a new cryptocurrency token, DJT. The DJT token, created two months ago on the Solana blockchain, experienced a remarkable surge of 180% on Monday, sparking widespread interest and speculation.

If the reports are true, this would mark a historic milestone as the first time a major political party's presidential candidate has launched a cryptocurrency. However, as of now, this remains a big "if." The rumors gained traction when Pirate Wires, a media outlet known for its critical reporting and optimistic stance on technology, tweeted about the development. Mike Solana, the Chief Marketing Officer of venture capital firm Founders Fund and editor-in-chief of Pirate Wires, posted a smart contract address, further fueling the speculation.

The PoliFi tokens, which share the former president's name, have been severely impacted by the news. The Trump token, with a market capitalization of over $370 million, dropped by 30%, while Tremp, a token that combines the former President with Doland Duck, a parody of Donald Duck, plummeted by over 40%. The Joe Biden-themed Boden token also experienced a 30% decline. Steven Steele, marketing director of the PoliFi Trump token, expressed his concerns, stating that the situation seems like a "greedy psy op."

The crypto community has reacted with skepticism to the reports. Ryan Selkis, founder of data provider Messari and a vocal Trump supporter, believes the odds of the token being legitimate or a deceitful act are 50-50. On Polymarket, a crypto-based prediction market platform, bettors have given only a 7% chance that Trump would launch a token by Friday.

The Trump campaign has not responded to requests for comment, and Trump has not mentioned the token on his TruthSocial platform. The situation remains unclear, with many questions surrounding the authenticity of the DJT token and its connection to the former President. As the crypto community continues to speculate and react to these developments, one thing is certain – the intersection of politics and cryptocurrency has never been more intriguing.