A potential Donald Trump presidency could negatively impact the memecoin market, which has thrived as a form of economic populism, according to finance professor Omid Malekan. He argues that memecoins are a response to perceived injustices in the crypto world, particularly against venture capital-backed tokens. Malekan asserts that increased regulation would shift the focus of cryptocurrency towards decentralized applications (DApps), fostering a prolonged bear market for memecoins where many investors could lose money. The market capitalization of memecoins currently stands at $61 billion. Nic Carter, a partner at Castle Island Ventures, echoes this sentiment, linking the rise of memecoins to an oppressive SEC regime. However, opinions vary; some traders and analysts believe that the popularity of memecoins is largely independent of political shifts and tied instead to broader economic factors, like the increasing global money supply. Crypto trader Jordan Fish emphasizes that memecos are sought after for potential price increases, regardless of regulatory changes. As the Nov. 5 elections approach, voting trends among crypto owners show a split between Trump and his Democratic opponent, highlighting the complex interplay between politics and the crypto market.

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