30s Summary

Financial expert Omid Malekan suggests that if Donald Trump becomes president again, “memecoins” could lose popularity due to a return of sensible regulations. He believes a Republican win could revive initial coin offerings and free token giveaways, shifting the focus back to items of genuine importance. However, Murad Mahmudov, a memecoin enthusiast, argues that investors in these coins are unlikely to be influenced by politics. Crypto trader Jordan Fish (also known as “Cobie”) suggests that some crypto users may remain drawn to memecoins even if the SEC becomes friendlier to crypto.

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If Donald Trump takes the helm of the U.S., funny coins, or “memecoins,” might not do so hot. These types of currency have gotten pretty popular as a sort of middle finger to the unfair system, according to Omid Malekan, who teaches finances.

Omid posted on social media saying that memecoins really represent the common folk’s economics. They’re a way to rebel against the often swindling and unfair ways that big wigs and venture capitalists sometimes control coins.

In Omid’s view, sensible regulations in the U.S. wouldn’t be great for memecoins. That’s because it would shift the focus of crypto back to DApps and other things that are actually important, likely resulting in a slump where most people lose money on these coins.

Currently, these silly little tokens are worth around 61 billion dollars, according CoinGecko’s data.

The finance prof thinks that if the republicans land a win, it could bring back initial coin offerings and totally free token giveaways, along with other sound token strategies. This would be a comeback after tokens backed by venture capital were imposed on the crypto community thanks to pressure from the likes of Senator Elizabeth Warren and SEC Chair Gary Gensler.

Nic Carter, a partner at Castle Island Ventures, agrees with Omid’s take. He says on social media that memecoins are all about resisting the SEC’s heavy-handed approach. If the SEC were to lighten up, folks might not be as interested in memecoins, he says.

Despite this, there are some folks who disagree that a Trump presidency would hurt memecoins. For example, serious memecoin fan Murad Mahmudov says the folks investing in these coins don’t care about politics and might only care about the rising global money supply (which these coins are tied to), something that won’t stop under Trump.

Meanwhile, crypto trader Jordan Fish (also known as “Cobie”) says memecoins are popular simply because people want to invest in stuff that can increase in price.

Fish adds that if the SEC became friendlier to crypto under Trump, many crypto users might still stay away from non-memecoins listed on big exchanges where other folks had an early advantage. In his view, the only real shift that could happen with the SEC would be to create an exemption for decentralized token projects, similar to a crowdfunding campaign.

All of this is to say that we’ll have to wait and see what comes next for memecoins.

Source: Cointelegraph