Coinbase Sees $94M Influx from Trump Meme Coin Liquidity Withdrawals
The team behind the $TRUMP meme coin has withdrawn an additional $33 million in USDC from its liquidity pool and deposited the funds into Coinbase, bringing the total extracted over the past month to a staggering $94 million. According to on-chain data tracked by blockchain analytics firms LookOnChain and Arkham Intelligence, the official wallet managing the cryptocurrency executed a series of transactions, moving USDC in batches from the liquidity pool directly to the major exchange. This significant capital movement highlights a major shift in the asset's treasury management and raises questions about the team's strategy and the coin's future liquidity. For investors and observers in the crypto space, such large-scale withdrawals from a meme coin's liquidity pool—especially one tied to a high-profile political figure—signal a critical moment. The move to consolidate nearly $100 million on a centralized exchange like Coinbase could indicate preparations for treasury diversification, operational funding, or even profit-taking by the development team. This activity underscores the volatile and often opaque nature of meme coin ecosystems, where substantial value can be moved rapidly, impacting market stability and investor confidence. As of early 2026, this event serves as a stark reminder of the importance of monitoring on-chain activity and understanding the treasury management practices of even the most viral digital assets.
Trump Meme Coin Team Withdraws $33M More From Liquidity, Totaling $94M in a Month
The wallet managing the official $TRUMP meme coin has withdrawn another $33 million in USDC from its liquidity pool, depositing the funds into Coinbase. Over the past 30 days, the team has extracted a total of $94 million from the pool, according to blockchain analytics firm LookOnChain.
On-chain data from Arkham Intelligence reveals the wallet executed multiple transactions, pulling USDC in batches ranging from $2 million to $17.2 million from Meteora’s liquidity pools. The funds were consolidated and transferred to Fireblocks custody addresses linked to Coinbase.
This follows a pattern established three weeks ago, when the team conducted similar operations, withdrawing $33 million in two separate transfers. The systematic removal of liquidity coincides with heightened scrutiny of President Trump’s crypto ventures.
Bitcoin Consolidates Below $90K Amid Thin Holiday Liquidity
Bitcoin's price action remains constrained within a narrow $86,500–$90,000 range as year-end trading volumes dwindle. The cryptocurrency briefly touched $89,000 on December 30 before facing rejection NEAR the $90,000 psychological barrier—a move driven more by short covering than genuine buying interest.
Market depth appears fragile with holiday-thinned order books amplifying price movements. Spot volumes across U.S. venues have halved from October's $70 billion peak when BTC achieved its $126,279 all-time high. That period also witnessed a violent liquidation event on October 10 that reset Leveraged positions across derivatives markets.
ETF flows mirror the cautious sentiment. Digital asset products bled $446 million last week, with Bitcoin-specific outflows accounting for $443 million. The bleeding paused momentarily on December 31 when U.S. spot Bitcoin ETFs recorded a $355 million net inflow—snapping a seven-day redemption streak—led by BlackRock's IBIT and Ark's ARKB products.
Coinbase Warns U.S. Stablecoin Restrictions Could Cede Ground to China's Digital Yuan
Coinbase's chief policy officer Faryar Shirzad has raised alarms about proposed U.S. legislation that WOULD ban rewards on stablecoins, arguing it could undermine dollar dominance in digital payments. The warning comes as China's central bank prepares to pay interest on digital yuan holdings starting January 2026.
The People's Bank of China's MOVE to sweeten its CBDC offering contrasts sharply with Washington's restrictive approach. "Tokenization is the future," Shirzad tweeted, highlighting how competitive dynamics in digital currencies are evolving faster than U.S. policymakers appear to recognize.
This regulatory divergence occurs amid intensifying global competition in blockchain-based payment systems. While no specific cryptocurrencies are named in the debate, the implications could Ripple across stablecoin-adjacent assets and trading platforms.
Coinbase Foresees Crypto Maturation by 2026 Amid Regulatory Shifts and Institutional Adoption
David Duong of Coinbase identifies regulatory policy evolution as the primary catalyst for crypto's growth in 2025, describing it as an "extraordinary" phase for the ecosystem despite subdued price movements. Institutional adoption continues to accelerate, diversifying the investor base beyond early adopters to include allocators and end-users.
Tokenization and stablecoins are increasingly embedded in Core financial workflows. Coinbase anticipates these trends will intensify in 2026, with stablecoins playing a pivotal role in delivery-vs-payment systems and tokenized collateral gaining traction in traditional finance.
The market's demand drivers have fragmented into a complex interplay of macroeconomics, technology, and geopolitics. Success hinges on delivering superior products, regulatory clarity, and user-centric design to democratize the next wave of innovation.
