Experts Discuss Impact of US Election on Meme Coins’ Future

As the US election approaches, experts are debating its potential effects on the meme coin market. While many anticipate that a Trump win would benefit the broader crypto sector, opinions remain divided on how it would influence meme coins specifically.

Columbia Business School professor Omid Malekan suggests meme coins could lose appeal under a Trump administration. Malekan argues that the popularity of meme coins reflects dissatisfaction with traditional tokenomics that favor venture-backed projects. If Trump wins, his policies might ease restrictions, opening the door for fee adjustments and token dividends that would directly benefit investors. Malekan believes this shift could draw interest away from meme coins.

Investor Nic Carter supports Malekan’s view, adding that meme coins have become a protest against what he calls the “heavy-handed” approach of the SEC. Carter points to a marked increase in SEC actions under Gary Gensler, with heightened legal pressure on the industry.

However, not everyone agrees. Analyst Murad argues that meme coins thrive on factors beyond politics. He suggests their rise is mainly tied to the expanding global money supply. The M2 money supply has now reached $107.1 trillion. This marks a 7% increase from the previous year. Murad believes that inflation is the true force behind meme coins’ growth.

Solana Labs co-founder Toly also disagrees with Malekan’s view. Toly sees trading psychology as a bigger factor than politics in the meme coin market. Meme coins now have a combined market cap exceeding $56 billion. This valuation has remained stable above $50 billion through October. Interest remains high in meme coins tied to Solana and AI, especially as Bitcoin’s market dominance hovers near 59.7%.