Amended Suit Alleges Racketeering in Melania Memecoin

An amended federal class-action lawsuit alleges backers of the $MELANIA memecoin used First Lady Melania Trump's name and likeness—promoted around her husband's January inauguration—to lend legitimacy to a broader crypto fraud. Plaintiffs say Benjamin Chow (Meteora) and partners at Kelsier Labs ran a repeatable six-step “playbook” that launched and promoted at least 15 memecoins, including one tied to Argentina’s Javier Milei, then coordinated pump-and-dump sales. The filing alleges insiders controlled roughly one-third of $MELANIA’s supply before its public launch and used paid promotions, influencers and an “official” label to inflate demand before selling, inflicting millions in investor losses. According to the complaint, $MELANIA briefly reached $13.73 and a market cap above $2 billion before plunging to under a dime (about $84.8 million market cap). Plaintiffs cite whistleblower information and are seeking to add racketeering allegations; the suit does not accuse Melania Trump of participating and describes her as unwitting “window dressing.” Neither the White House nor the defendants have responded, and the case has drawn attention from regulators and the crypto industry.