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      in US Politics

      Outcry after Boston teen arrested by Ice agents on way to volleyball practice

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      Trump administration officials sparked a huge protest on Sunday in a Boston suburb after immigration agents detained a high school student on his way to volleyball practice while they were seeking his father.The high schooler in question, 18-year-old Marcelo Gomes Da Silva, entered the United States on a student visa, according to a lawsuit filed on his behalf after his arrest. While his student visa status has lapsed, he is eligible for and intends to apply for asylum.Nonetheless, the head of US Immigration and Customs Enforcement (Ice) on Monday defended his agency’s actions, saying the teen in question was “in this country illegally and we’re not going to walk away from anybody”.Gomes was arrested on Saturday in Milford, Massachusetts, where he lives.Ice’s acting director, Todd Lyons, and Patricia Hyde – who directs the agency’s enforcement and removal operations in Boston – acknowledged Gomes was not the target of the immigration investigation that led to his arrest and that authorities instead were seeking his father, who remains at large.But the Milford high school student had been driving his father’s vehicle when he was arrested following a traffic stop, Lyons said. Lyons said that when authorities encounter someone in the country illegally, “we will take action on that”.“We’re doing the job that Ice should have been doing all along,” he said. “We enforce all immigration laws.”The state’s Democratic governor, Maura Healey, said she was “disturbed and outraged” by Gomes’s arrest. And hundreds rallied in Milford on Sunday to protest against Gomes’s detention.A federal judge issued an emergency order on Sunday preventing authorities from transferring Gomes out of Massachusetts for at least 72 hours in response to his lawsuit arguing that he was unlawfully detained.Reuters contributed to this report More

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      in US Politics

      How ‘a man with a blow torch’ turned a rally in Colorado into a scene of horror

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      The first 911 calls reporting the Colorado flamethrower attack were as horrific as they were unbelievable.“There is a male with a blow torch setting people on fire,” a dispatcher advised the city’s police department, passing on the account of an eyewitness. Another official reported: “Multiple burns, potential terror attack.”What had been a peaceful rally at the Boulder’s Pearl Street Mall on Sunday in solidarity with hostages still held by Hamas in Gaza quickly turned into a scene of horror, with medical crews arriving to find victims lying or sitting on the ground with their legs and bodies burned – and police holding a suspect face down with a gun at his back.Members of the public raced from local restaurants with buckets and jugs of water to pour over those who were injured.The attack by a man hurling molotov cocktails and shouting “Free Palestine” struck at the heart of one of Colorado’s largest Jewish communities, just 10 days after two Israeli embassy staffers were shot dead in Washington DC by a man yelling the same statement. It also came weeks after an arson attack on the home of Josh Shapiro, the Jewish governor of Pennsylvania, by a pro-Palestinian activist.“Make no mistake: if and when Jews are targeted to protest Israel’s actions, it should clearly and unequivocally be understood and condemned as antisemitism,” Amy Spitalnick, chief executive of the Jewish Council for Public Affairs, said in a statement.“These attacks come alongside a broader rise in antisemitism, from hate crimes targeting Jews walking down the street, to efforts to marginalize, isolate, and discriminate against Jews, to antisemitic and white supremacist mass violence targeting synagogues and other spaces.”Boulder county, where Sunday’s attack took place, had long been considered a safe, “dream community” for Jewish families drawn there over the last decade. Numbers have doubled to represent more than 10% of the county’s 330,000 population.The eight victims – four men and four women, including an 88-year-old Holocaust survivor, and a mother and daughter – represented a cross-section of a vibrant diaspora in a city with numerous Jewish community centers, schools and businesses.“What happened here in our local community in Boulder is shameful, and I think people really need to have a sense of accountability,” Fred Greene, rabbi of Boulder’s Har HaShem congregation, told CNN on Monday.“If we want peace, if we want dignity for people, there have to be other ways than this kind of violence.”Another expert, University of Boulder Hillel executive director Elyana Funk, told the network that the assault was especially shocking because it targeted a “quiet and respectful” assembly of residents who were taking part in a solidarity walk, which has become popular in numerous Jewish communities around the world since the Hamas terror attack on Israel and taking of hostages on 7 October 2023.“This wasn’t a pro-Israel rally or some sort of political statement on the war,” she said. “These are peaceful people who’ve been walking for nearly 20 months weekly to bring awareness for the hostages.”The attack came on the same day as the start of Shavuot, a two-day Jewish festival to celebrate the 50th day after the Passover holiday. Several events were postponed or canceled after the attack, but Funk said resilience would shine through.“The antidote for antisemitism can be Jewish joy, and Jewish community and Jewish connection,” she said.Meanwhile, the Boulder police chief, Stephen Redfearn, recalled the community reaction to the 2021 mass shooting at a supermarket in the city that left 10 people dead.“Boulder is not immune to tragedy sadly and I know a lot of people are scared right now and questioning how this happened and why,” he said at a press conference on Sunday night.“Boulder has recovered from acts of violence before and we will again recover. I urge this community to come together. Now is not the time to be divisive.”The attack took place on Pearl Street Mall, a popular pedestrian area of downtown Boulder laced with stores and restaurants, overlooked by the University of Colorado, and a regular venue for the event supporting Run for Their Lives, an organization calling for the immediate release of the Gaza hostages.Eyewitnesses said the suspect, 45-year-old Mohamed Sabry Soliman, appeared out of nowhere and seemingly singled out individuals taking part in the rally.“It was easily the most horrific thing I’ve ever seen in my life,” Brian Horowitz, 37, told CNN.The Denver resident said he was in a cafe with his family when he heard screams and raced to confront the suspect, who was shouting profanities at his victims.“‘Fuck you Zionists,” Horowitz said the man yelled. “‘You’re killing my people so I kill you.’”Horowitz added: “There’s someone who is outraged enough to go and attack these elderly people who are doing absolutely nothing to provoke it other than walk in silence and meet in a courtyard peacefully. It’s unbelievable.” More

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      White House insists Trump tariffs to stay despite court ruling – US politics live

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      Hello and welcome to the US politics live blog. I’m Tom Ambrose and I will be bringing you the latest news lines over the next few hours.We start with news that president Trump’s top economic advisers have said they would not be deterred by a court ruling that declared many of the administration’s tariffs illegal.They cited other legal options the White House could use to pressure China and other countries into trade talks.They also indicated that Trump had no plans to extend a 90-day pause on some of the highest tariffs, making it more likely those duties will take effect in July.“Rest assured, tariffs are not going away,” Commerce Secretary Howard Lutnick said on Fox News Sunday.Asked about the future of the suspended reciprocal tariffs first announced in April, Lutnick added: “I don’t see today that an extension is coming.”It comes as China accused the US of “seriously violating” the fragile US-China detente that has been in place for less than a month since the two countries agreed to pause the trade war that risked upending the global economy.China and the US agreed on 12 May to pause for 90 days the skyrocketing “reciprocal” tariffs that both countries had placed on the others goods in a frenzied trade war that started a few weeks earlier.Tariffs had reached 125% on each side, which officials feared amounted to virtual embargo on trade between the world’s two biggest economies.In other news:

      The US veterans agency has ordered scientists not to publish in journals without clearance. The edict, laid down in emails on Friday by Curt Cashour, the VA’s assistant secretary for public and intergovernmental affairs, and John Bartrum, a senior adviser to VA secretary Doug Collins, came hours after the article published in the New England Journal of Medicine.

      Russell Vought, the director of the office of management and budget (OMB), on Sunday cast doubt on the constitutional obligation of the White House to ask Congress to sign off on Donald Trump’s massive cuts to the federal workforce spearheaded by Elon Musk. Vought indicated the White House preferred to rely on “executive tools” for all but a “necessary” fraction of the cuts instead of submitting the whole package of jobs and agency slashing that took place via the so-called “department of government efficiency” (Doge), to the congressional branch for its official approval.

      The US Department of Homeland Security (DHS) removed a list of “sanctuary” states, cities and counties from its website following sharp criticism from a sheriffs’ association that said a list of “noncompliant” sheriffs could severely damage the relationship between the Trump administration and law enforcement.

      The White House budget director Russ Vought on Sunday dismissed as “totally ridiculous” fears expressed by voters that cuts to benefits in the huge spending bill passed by the House will lead to premature deaths in America. Donald Trump’s One Big Beautiful Bill Act, now awaiting debate in the US Senate, will slash two major federal safety net programs, Medicaid, which provides healthcare to poor and disabled Americans, and the Supplemental Nutrition Assistance Program (Snap), which helps people afford groceries, which will affect millions of people if it becomes law. More

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      in US Politics

      He is the strongman who inspired Trump – but is Viktor Orbán losing his grip on power?

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      Trump announces 50% steel tariffs and hails ‘blockbuster’ deal with Japan

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      Donald Trump announced on Friday he was doubling foreign tariffs on steel imports to 50%, as the president celebrated a “blockbuster” agreement for Japan-based Nippon Steel to invest in US Steel during a rally in Pennsylvania.Surrounded by men in orange hardhats at a US Steel plant in West Mifflin, Trump unveiled the new levies, declaring that the dramatic rate increase would “even further secure the steel industry in the United States”.“Nobody is going to get around that,” Trump said, of the tariff rate hike from what was 25%.In a social media post after the conclusion of his remarks, Trump announced that the 50% tariffs on steel would also apply to imported aluminum and would take effect on 4 June.“This will be yet another BIG jolt of great news for our wonderful steel and aluminum workers,” he declared in the post.It was not immediately clear how the announcement would affect the trade deal negotiated earlier this month that saw tariffs on UK steel and aluminum reduced to zero.Trump’s Friday tariffs announcement came a day after a federal appeals court temporarily allowed his tariffs to remain in effect staying a decision by a US trade court that blocked the president from imposing the duties.The trade court ruling, however, does not impede the president’s ability to unilaterally raise tariffs on steel imports, an authority granted under a national security provision called section 232 of the Trade Expansion Act.The precise relationship between Nippon Steel and US Steel raised questions on Friday, even for some of Trump’s allies. The president has thrown his full support behind the deal, months after insisting he was “totally against” a $14.9bn bid by Nippon Steel for its US rival.The United Steelworkers union had previously urged Trump to reject Nippon’s bid, dismissing the Japanese firm’s commitments to invest in the US as “flashy promises” and claiming it was “simply seeking to undercut our domestic industry from the inside”.Speaking to steelworkers, Trump insisted that US Steel would “stay an American company” after what he is now calling “a partnership” with Nippon.But US Steel’s website links to a standalone site with the combined branding of the two companies that features a statement describing the transaction as “US Steel’s agreement to be acquired by NSC”.On the website touting the deal, there were also multiple references to “Nippon Steel’s acquisition of US Steel” and the “potential sale of US Steel to Nippon Steel”.Even pro-Trump commentators on Fox expressed bafflement over the exact nature of the deal.“This is being described as ‘a partnership’, this deal between Nippon and US Steel – but then it’s described as an acquisition on the US Steel website,” Fox host Laura Ingraham pointed out on her Friday night show.She asked a guest from another pro-Trump outlet, Breitbart: “Who owns the majority stake in this company?”When the guest said he did not know, Ingraham suggested Trump might not be aware of the details. “I don’t know if he was fully informed about the terms of the deal. We just don’t know.”Trump’s predecessor, Joe Biden, had blocked Nippon’s acquisition, citing national security concerns, during his final weeks in office.During his remarks at the rally, Trump gloated that the Nippon investment would once again make the American steelmaker “synonymous with greatness”. He said protections were included to “ensure that all steel workers will keep their jobs and all facilities in the United States will remain open and thriving” and said Nippon had committed to maintaining all of US Steel’s currently operating blast furnaces for the next decade.The president also promised that every US steel worker would soon receive a $5,000 bonus – prompting the crowd to start a round of “U-S-A!” chants.Trump told the steelworkers in attendance that there was “a lot of money coming your way”.“We won’t be able to call this section a rust belt any more,” Trump said. “It’ll be a golden belt.”During the event, Trump invited local members of United Steelworkers on to the stage to promote the Nippon deal, which saw its leader break with the union to support it. Praising the president, Jason Zugai, vice-president of Irvin local 2227, said he believed the investments would be “life-changing”.But the powerful United Steelworkers union remained wary.“Our primary concern remains with the impact that this merger of US Steel into a foreign competitor will have on national security, our members and the communities where we live and work,” United Steelworkers president David McCall said in a statement.“Issuing press releases and making political speeches is easy. Binding commitments are hard.”Trump framed the administration’s drive to boost domestic steel production as “not just a matter of dignity or prosperity or pride” but as “above all, a matter of national security”.He blamed “decades of Washington betrayals and incompetence and stupidity and corruption” for hollowing out the once-dominant American steel industry, as the jobs “melted away, just like butter”.“We don’t want America’s future to be built with shoddy steel from Shanghai. We want it built with the strength and the pride of Pittsburgh,” he said.In his remarks at a US steel plant, Trump also repeated many of the false claims that have become a feature of his rallies including the lie that the 2020 election was stolen from him. He gloated over his 2024 victory and, gesturing toward his ear that was grazed by a would-be assassin’s bullet last year at a rally in Butler, Pennsylvania, said it was proof that a higher power was watching over him.He also called on congressional Republicans to align behind his “one big, beautiful bill,” urging attendees to lobby their representatives and senators to support the measure.Lois Beckett and Callum Jones contributed reporting More

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      in US Politics

      Supreme court allows White House to revoke temporary protected status of many migrants

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      The US supreme court on Friday announced it would allow the Trump administration to revoke the temporary legal status of hundreds of thousands of Venezuelan, Cuban, Haitian and Nicaraguan migrants living in the United States, bolstering the Republican president’s drive to step up deportations.The court put on hold Boston-based US district judge Indira Talwani’s order halting the administration’s move to end the immigration humanitarian “parole” protections granted to 532,000 people by Trump’s predecessor, Joe Biden, potentially exposing many of them to rapid removal from the country, while the detailed case plays out in lower courts.As with many of the court’s emergency orders – after rapid appeals brought the case to their bench – the decision issued on Friday was unsigned and gave no reasoning. However two of the court’s three liberal-leaning justices, Ketanji Brown Jackson and Sonia Sotomayor, publicly dissented.The court “botched” its assessment of whether the administration was entitled to freeze Talwani’s decision pending the litigation, Jackson wrote in an accompanying opinion.The outcome, Jackson wrote, “undervalues the devastating consequences of allowing the government to precipitously upend the lives and livelihoods of nearly half a million noncitizens while their legal claims are pending”.Jackson also said that “it is apparent that the government seeks a stay to enable it to inflict maximum pre-decision damage.”She added that those living under parole protections in this case now face “two unbearable options”.One option is to “elect to leave the United States and thereby, confront ‘dangers in their native countries,’ experience destructive ‘family separation’ and possibly ‘forfeit any opportunity to obtain a remedy based on their … claims”, Jackson wrote.The other option is that they could remain in the US after parole termination and “risk imminent removal at the hands of government agents, along with its serious attendant consequences”.To Jackson, “either choice creates significant problems for respondents that far exceed any harm to the government … At a minimum, granting the stay would facilitate needless human suffering before the courts have reached a final judgement regarding the legal arguments at issue, while denying the government’s application would not have anything close to the kind of practical impact.”Immigration parole is a form of temporary permission under American law to be in the country for “urgent humanitarian reasons or significant public benefit”, allowing recipients to live and work in the US. Biden, a Democrat, used parole as part of his administration’s approach to handling migrants entering at the US-Mexico border.Such a status does not offer immigrants a long-term path towards citizenship but it can typically be renewed multiple times. A report from the American Immigration Council found that halting the program would, apart from the humanitarian effect, be a blow to the US economy, as households in the US where the breadwinners have temporary protected status (TPS) collectively earned more than $10bn in total income in 2021 while paying nearly $1.3bn in federal taxes.Trump called for ending humanitarian parole programs in an executive order signed on 20 January, his first day back in office. The Department of Homeland Security (DHS) subsequently moved to terminate them in March, cutting short the two-year parole grants. The administration said revoking the parole status would make it easier to place migrants in a fast-track deportation process called “expedited removal”.The case is one of many that the Trump administration has brought in an emergency fashion to the nation’s highest judicial body seeking to undo decisions by judges impeding the president’s sweeping policies, including several targeting immigrants.The supreme court on 19 May also let Trump end TPS that had been granted under Biden to about 350,000 additional Venezuelans living in the United States, while that legal dispute plays out.Jackson was the only justice to publicly dissent then, while House Democrats condemned the supreme court’s decision.In a bid to reduce unauthorized border crossings, Biden starting in 2022 offering limited extra pathways to come to the US legally, allowing Venezuelans who entered the US by air to request a two-year parole if they passed security checks and had a US financial sponsor. Biden expanded that eligibility process to Cubans, Haitians and Nicaraguans in 2023 as his administration grappled with high levels of illegal immigration from those countries.The plaintiffs in this case, a group of migrants granted parole and Americans who serve as their sponsors, sued administration officials claiming they violated federal law governing the actions of government agencies.Talwani in April found that the law governing such parole did not allow for the program’s blanket termination, instead requiring a case-by-case review. The Boston-based first US circuit court of appeals declined to put the judge’s decision on hold and the government appealed.The justice department told the supreme court that Talwani’s order had upended “critical immigration policies that are carefully calibrated to deter illegal entry”, effectively “undoing democratically approved policies that featured heavily in the November election” that returned Trump to the presidency.The plaintiffs told the supreme court they would face grave harm if their parole is cut short given that the administration has indefinitely suspended processing their pending applications for asylum and other immigration relief.They said they would be separated from their families and immediately subject to expedited deportation “to the same despotic and unstable countries from which they fled, where many will face serious risks of danger, persecution and even death”.Speaking at the White House on Friday afternoon, Donald Trump praised the decision, saying “a couple of hours ago we had a great decision from the supreme court that’s very important”.Reuters contributed reporting More

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      in US Politics

      Google and Home Depot drop Pride Toronto sponsorship amid Trump’s DEI war

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      In another blow to one of the largest celebrations of LGTBQ+ people in North America, Pride Toronto has unexpectedly lost two more major corporate sponsors, just weeks before the festival in a setback the festival’s organizer says is direct result of Donald Trump’s campaign to eradicate diversity, equity and inclusion (DEI) initiatives in the US.Google and Home Depot both announced their plans to abandon the festival in the form of one-line emails, said Kojo Modeste, the executive director of the Canadian event.Organizers have warned that the loss of sponsors will pose operational challenges for Pride Toronto that attracts 3 million attendees annually. Other organisations, including local trade unions, have stepped in to help make up the shortfall, but Modeste told the Guardian he was deeply worried about the celebration’s future.“Am I going to have to drastically cut what the festival looks like for 2026? This is not the place that I want to be in,” he said.Home Depot told the Guardian it continually reviews its non-profit giving and decided not to contribute this year. Google told the newspaper it would be supporting “Toronto Googlers” marching in the parade and “community moments” from Pride.The sudden exit of Google and Home Depot follows the departure in February of three other prominent sponsors. At the time, Modeste did not name them, but on Friday he revealed that they were Nissan, Adidas and Clorox.Nissan Canada said it was unable to sponsor Pride in Toronto due to a “local decision” that it says was based on a reevaluation of marketing and media activities. Adidas and Clorox have been approached for comment.“These are American companies and they are showing their true colours,” said Modeste. “We thought they were with the community, but clearly, they’re not.”Corporate sponsorship not only goes towards paying staff, but hundreds of local artists and to keep Pride as a free event.Modeste said he grew up in a period before widespread Pride celebrations – and did not want that to be the experience of current younger generations. “I don’t want to be the one to have to make that decision, to take Pride away from the community,” he said.The White House’s condemnation of diversity and inclusion efforts has resulted in corporations shirking away from festivals that they once loudly supported, said Sui Sui, a professor at Toronto Metropolitan University whose research focuses on DEI initiatives.Sui said that the move also signals that commitments large sponsors made in the past were tenuous and motivated not because of genuine support, but because of the perceived profitability of aligning with such causes.The months-long purge of US federal government workers by the Trump administration has resulted in the firings of tens of thousands of people, including those who worked in forwarding diversity and equity initiatives.Sui said that the chill around sponsors for pride events has also affected New York City and Philadelphia. Mastercard, Nissan, Pepsi, Garnier and more major backers have abandoned the New York celebration, while Target and Philadelphia Union exited Philly Pride 365.“Canada is following suit,” she said.For the future, Pride Toronto and other pride events may need to rely more significantly on grassroots efforts to keep events going, she said.“It’s for them to see who truly believes the importance of Pride.” More

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      in US Politics

      Is every memecoin just a scam? Experts on whether Andrew Tate and Trump are fleecing their followers

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      In November last year, I was turned into a memecoin. Several, in fact.Someone alerted me that a memecoin called Dork Nerd Geek ($DNG) had been minted with a picture of my face, and it already had a market cap (the total value of all coins in circulation) of $29,000. Twenty minutes later it was $100,000. An hour later it was $800,000.I had no idea what was going on, but I did know that “Dork Nerd Geek” was the nickname Andrew Tate gave me because I’ve spent much of my journalistic career investigating allegations of human trafficking made against him.I noticed he was currently livestreaming to his followers. I opened up his live stream and, for the first time, bore witness to the insane volatility of the memecoin market.In the space of 10 minutes, dozens of new me-related memecoins were being minted, including “Disgraced News Gatherer”, “Matt Shea is a faggot,” and “Take My Wife Tate (CUCK),” the latter of which included a picture of my fiancee taken from Instagram. Tate was pumping some of these memecoins in value merely by talking about them, with market fluctuations happening in real time on the order of millions, based on his every word.Two seconds after he said the words “Fuck Matt Shea,” a coin called “FUCK MATT SHAE [sic]” soared in value. Twenty minutes later, he uttered the words “Fuck Matt Shea … ” again and it went even higher, only to drop back down to nothing when he finished his sentence with “… is not a generational asset”. He then said he would pump the coin after taking a piss. He walked offscreen to urinate. It rocketed.View image in fullscreenSoon, there were hundreds more Matt Shea memecoins with similar names, as his followers tried to trick people into thinking that their Matt Shea memecoin was the one Tate was pumping. His words became memecoins, those memecoins shot up in value, and then the value disappeared instantaneously.All in all, about $2m was spent by people on memecoins making fun of me in the span of a few hours, and hundreds of millions more on other coins he mentioned during the stream.By the end of his live stream, the value of all the coins he pumped was back to near zero. All the fans who had invested at his behest collectively would have lost hundreds of millions of dollars.His followers may have felt they were in on the joke, but in the end they mostly lost their money. Only a tiny number of wallets actually profited from the coin including one crypto that made a profit of $240,000.A number of online crypto investigators including Coffeezilla, bored2boar, StarPlatinum and others have found that Tate has manipulated memecoin markets using “pump and dump”-like schemes, leading to large profits for those within his inner circle. We put the allegations in these investigations to Tate’s team, who said they had no comment.What happened on Tate’s stream that day felt bizarre but I didn’t completely understand what I was witnessing. I thought I basically understood bitcoin, but how do memecoins differ, and why do they continue to be popular when so many people have lost money on them?Is every memecoin a scam?According to David Gerard, author of Attack of the 50 Foot Blockchain: “Basically, literally, yes.”“All of this is like a big game of pretend with made-up financial instruments,” he said. “It’s printing your own made-up money. You print your own Monopoly money and then people buy it from you for real money.”The best thing you could possibly say about memecoins is that they initially felt like a funny, countercultural way to participate in internet culture. They satirised a financial system that increasingly looked like a silly game to those on the outside. They encapsulated a humorous generational nihilism.According to Sander Lutz, the nation’s first crypto-focused White House correspondent: “You could consider a memecoin to be a stock in a cultural phenomenon – like Dogecoin and the Doge meme.”“Another way of defining a memecoin,” Lutz said, “is a cryptocurrency token that has an acknowledged inherent lack of value. The crypto world, outside of memecoins, is full of so many people who are trying to pitch you on tokens that are ‘actually really profound’ or ‘represent a stake’ in some kind of ‘useful network’, but are equally worthless. What makes memecoins different is that there’s none of that noise.”In other words, all crypto is bullshit, but memecoins are consciously bullshit.In their essence, memecoins distill the attention economy into a tradable asset, monetising the ebb and flow of viral internet hype. This has created a system in which the biggest attention-seekers on the planet – Logan Paul, Andrew Tate, Elon Musk, Donald Trump – can bleed their followers for profit. The more controversial they are, the more viral they are; and the more viral they are, the more their memecoins increase in value. Last year, some developers performed attention-seeking stunts on livestreams to pump their tokens, leading to animal abuse and a faked suicide.Chase Herro, the co-founder of Trump’s main crypto venture, World Liberty Financial, said about crypto: “You can literally sell shit in a can, wrapped in piss, covered in human skin, for a billion dollars if the story’s right, because people will buy it.”Most memecoins end up making money for the person who makes them as a “rug pull” or a “pump and dump”. The term “rug pull” was actually invented by the crypto community, and it works like this:First, you mint a memecoin, and make sure that you and your mates own most of the liquidity pool (the total number of coins in circulation). The size of the liquidity pool – the amount of that memecoin that “exists” – is, like everything else in memecoins, a totally made-up number.Second, you generate hype around the coin by convincing people it will “moon” (shoot up in value). This usually involves getting a celebrity, influencer or the president of the US, to promote it. People then buy the coin, thinking it will be a good investment. Law of demand means that as people buy it, the “value” of the coin goes up, and since you and your mates own the lion’s share, you get richer.Then, at a time known only to you, the creator of the coin, and other insiders, you “pull the rug”, selling off all your stock at the newly high price. You make money, and the value of the coins bought by the masses you manipulated shoots back down to zero. It’s basically a way to just trick people into giving you money, dressed up as an “investment”.A “pump and dump” is pretty much the same thing, but with the slight caveat that you’re doing it with a coin that already exists, rather than creating your own. You buy a cheap coin, “pump” its value by hyping it so others invest, then “dump” all your stock, selling it off at a huge profit and causing everyone else to lose their money.“It’s provably negative sum,” Gerard told me. “The only way you get money is by other people losing money.”The only people really getting rich off memecoins are influencers and their crypto enablers (people like Herro, or Hayden Davis, the guy who helped launch Argentinian president Javier Milei’s memecoin and was involved in Melania Trump’s memecoin).View image in fullscreenDespite this, the idea that trading memecoins is a good way to get rich persists on the internet. Is it theoretically possible for someone like you or me to invest at just the right time and get rich off a coin?Just as with traditional gambling, there are a tiny number of success stories, such as people like the “Moo Deng whale”, who turned $800 of Moo Deng coin (a memecoin referencing the viral pygmy hippo of the same name), into $10m.But only 0.4% of Pump.fun (the main memecoin trading platform) traders have made more than $10,000. About 0.002% have made more than $1m.Lutz told me: “There are a select number of people who’ve made quite a lot of money on these tokens, but they tend to be the same people. They tend to be people who are very well-connected, who are in specific group chats, and who have a lot of existing capital.”“You’ll always have more people losing than amounts of winners,” according to Gerard. “And the winners never shut up, so you think it’s a winning environment.”One of the main reasons people keep falling for these coins is that they think they’ve figured out the scam and invested early, before the rug pull or the dump. But this is never really the case.According to Gerard: “Crypto has been an ever-escalating series of get-rich-quick schemes, where a whole bunch of people think that they’re smarter operators than the previous operator, and generally they’re not.”Memecoin traders will often be invited to Discord and Telegram chats that are sold as “insider channels” where, according to Gerard, “they think they’ll hear about these scams before the rug is pulled – but actually they’re the suckers. Crypto is full of people who think they’re the scammer, not the sucker.”Young gullible menDespite all this, many people – especially young men – continue to invest in memecoins.Forty-two percent of men and 17% of women aged 18 to 29 have invested in, traded or used crypto, according to a 2024 Pew Research Center study, compared to only 11% of men and 5% of women over 50.“It’s no accident that memecoins are such a phenomenon among young people who have grown immensely frustrated with a financial system that, I think it’s fair to say, has failed them,” Lutz explained, “and where supposedly sure investments aren’t likely to give them returns that would give them the quality of life their parents had. Memecoins are nakedly meaningless, but there are many financial products, both in crypto and in the world of traditional finance, that may profess to have meaning, but at their core may be nearly as meaningless to young people.”This, too, is why memecoins have become popular with far-right, manosphere influencers and their fans.“It’s undeniable,” Lutz said, “that the trend in memecoin popularity among younger people – in particular young men – is part of the same trend where you’re seeing a loss of trust in institutions and a loss of confidence that traditional paths to success work out.”“These are the same tenets that have brought young men into the fold of the Maga-verse or to influencers like Andrew Tate. There’s overlap between them because they both stem from the same frustrations affecting so many young people, in particular young men, who feel more anger, bitterness, disillusionment and nihilism than a generation ago.”Some people don’t even seem to care that they’re being scammed, according to Lutz. “It’s remarkable to see the culture in these ecosystems, because someone will rug-pull a project – what you would consider to be a scam in that they’re running you out of the money – but that’s kind of an accepted practice and people are like, ‘Hey, good for them, I got screwed over, on to the next one.’”“There are too many cases to count of people who’ve lost their entire savings gambling on new coins. If you’re a gambler at a casino, there’s Gamblers Anonymous and an existing infrastructure to deal with people who are addicted to gambling. At casinos you have ‘no play’ lists in compliance with existing laws. There’s no existing infrastructure to aid people who lose all of their savings on memecoins.”Some memecoins try to claim that they’re more than just high-stakes gambling, in order to ensnare more willing buyers. These coins are often accompanied by the false promise of some kind of utility, be it “roadmaps”, “airdrops” ( free tokens given out for marketing purposes), off-chain value mechanisms, games where you can “spend” the coins, and various incomprehensible frameworks using the coin to vote or create some sort of ecosystem. The utility almost never materialises. $Batman coin promised to integrate “entertainment, gaming, and real-world utility”. Logan Paul’s $ZooToken supposedly allowed buyers to play a Pokemon-like game which never worked.The exception, the one memecoin to offer a tangible benefit in the real world, is the one sold by the president.President MemeOn 17 January, three days before his second inauguration, Trump launched his own memecoin, $Trump. At the time of writing, the coin’s market cap is over $2.5bn, spurred on by Trump offering a dinner and White House tour to the top owners of the coin, which took place last weekend.Unlike other memecoins, it offered something concrete: access to the president. This made its value soar.View image in fullscreenRight now, only 20% of the token’s total “supply” is currently in circulation. The remaining 80% is supposedly held by Trump and his business partners.Trump and his business partners are supposedly only allowed to sell off their holdings in $Trump when they are “unlocked” in tranches over time, according to their own made-up rules. As Gerard puts it: “They own the fake money, but they can’t sell it until it’s unlocked in tranches. Note that the limits are artificial. I mean, they could just ‘print’ more.”But already, “58 wallets have made over $10m each from President Donald Trump’s meme coin, totaling $1.1bn in profits”, while “764,000 wallets of mostly small holders have lost money on $TRUMP”, according to CNBC.Gerard said: “A lot of his own fans bought the coin. They thought it would be a fabulous success because Trump is a ‘business genius’. He ripped off his own fans.“The coins’ creators and original sponsors get free $Trump coins and they can dump those on the market at will every time a tranche is released. And they do. And are people ever going to make money on those $Trump coins they bought? Probably not. The money goes to the Trump family, and that’s the direction it was created to make it go in. So yeah, it’s a memecoin dump. He’s just dumping the coins on the suckers and it’s a textbook case.”Trump and his business partners also profit in transaction fees every time $Trump is traded, so far earning $100m.Whether this is all legal or not is up for debate, but soon after launching his own memecoin, Trump replaced the head of the regulator responsible for memecoins, the SEC, with a pro-crypto appointee.Lutz said: “In the last few months, the SEC has either dismissed or withdrawn all of its crypto-related lawsuits against every big crypto company in the United States and closed all of its investigations. I mean, the SEC is hosting roundtables almost every week with crypto companies, asking how it can be more helpful to the industry.”Trump has also enthusiastically supported a legal framework for stablecoins. Stablecoins are theoretically stabilised in value by being “pegged” to the value of another asset like the US dollar, but in reality have often become “de-pegged” and therefore unstable.Right now, the Stable Bill and the Genius Bill, which reference Trump calling himself a “stable genius” in 2018, are trying to make their way through Congress. They pave the way for the US government to use stablecoins to pay everything from housing grants to social security payments. And Trump himself just so happens to have a stablecoin of his own – through the World Liberty Financial company – which would shoot up in value if these bills pass, earning his family trust potential billions.The Trump family has a claim on 75% of net revenues from World Liberty’s token sales.“It is absolutely the government’s job to stop mis-selling of investments – that’s why ordinary retail mums and dads cannot buy into binary options,” Gerard said. “It’s absolutely open slather for crypto in the US now. This is really bad. A lot of people are going to get skinned. It’s going to be terrible.”The advice? Stay awayIs there any cause for hope? According to Gerard, while it may appear everyone is investing in memecoins, this is mainly exaggerated by the media. Sure, lots of young people have dabbled, but only the real crypto geeks are actually buying the things.“The good news is most people are not falling for it. And our evidence for this is the retail dollar trading volumes at Coinbase, the largest crypto dollar exchange. Coinbase happens to be a public company so that means they have to give accurate numbers to the SEC. So they disclosed their retail trading volumes. They’re down 17% in the first quarter of 2025 from where they were in December 2024. They’ve gone down with the Trump coin regime. That gives hope.”As far as my own memecoins go, even the Tate fans who invested appear to have become aware of the scam they fell for.Shortly after the stream went dead, I received an email from a Tate follower titled: “MATT SHAE WE NEED YOUR HELP.” He, along with other Tate fans, claimed they were victims of Tate rug-pulling them. They wanted me to help spread awareness of their community’s plight – by publicizing a new memecoin they had minted called $RRT (Real Rugger Tate).I didn’t write back. More