A dinner event linked to US President Donald Trump's memecoin has sparked a formal investigation by three US senators, raising concerns over a potential "pay-to-play" scheme. Analyst Simon Dedic highlighted that the Trump-linked token allegedly siphoned $4.3 billion from retail investors, with $1.2 billion ending up in insider wallets and $320 million reportedly connected to the Trump family. The token has plummeted 95% from its peak, leaving approximately 2 million holders with significant losses. The situation has drawn comparisons to past crypto failures like FTX and Terra Luna, but critics argue this case is distinct due to its political ties and alleged intent to benefit a select few. The investigation underscores growing scrutiny on the crypto industry, as lawmakers consider whether tighter regulations are necessary. The outcome could have significant implications for the sector's credibility and regulatory landscape.