David Edwards
Decentralized finance (DeFi) and blockchain gaming stand to gain the most from a pro-crypto stance in Washington, according to Jeffrey Zirlin, co-founder of Sky Mavis, the firm behind the popular blockchain game Axie Infinity. Zirlin’s comments, made at the YGG Play Summit in the Philippines on Nov. 21, underscore the potential regulatory and innovation tailwinds for the crypto industry under Donald Trump’s presidency.
Token Innovation to Flourish
Zirlin pointed out that the outgoing administration, led by Democrats and SEC Chair Gary Gensler, posed significant hurdles for blockchain innovation, particularly in token design. With Trump’s anticipated crypto-friendly policies, Zirlin predicts a renewed era of experimentation in token utility.
“You want to experiment with all these ways of adding utility to tokens so that you can distribute tokens via games and create value for those who want to use and spend them,” he said.
Zirlin emphasized that the loosening of regulatory constraints would particularly benefit DeFi and gaming, two sectors he described as having “the most long-term substantive value” in the blockchain ecosystem.
Memecoins as Catalysts for Adoption
While memecoins have faced criticism for their speculative nature, Zirlin sees their rise as a gateway for attracting new users to blockchain games.
“Memecoins draw in those focused on speculation and short-term gains. This makes them ideal early adopters for new blockchain gaming projects,” Zirlin argued, suggesting that the speculative mindset could help bootstrap user engagement.
Despite memecoins dominating attention, Zirlin remains optimistic about legitimate blockchain gaming projects seeing significant adoption in the near future.
Broader Crypto Industry Outlook
Zirlin’s optimism aligns with other crypto leaders like Consensys CEO Joe Lubin, who has lauded Trump’s anticipated crypto-friendly approach. Lubin recently noted that Ethereum, alongside other mature blockchain ecosystems, could benefit immensely from a more accommodating regulatory environment.
“The ecosystem of utility-focused crypto projects, particularly Ethereum, stands to gain more than any other protocol aside from Bitcoin,” Lubin told Cointelegraph on Nov. 13.
Looking Ahead
The prospect of regulatory reform under the new administration is expected to unlock growth opportunities for DeFi and gaming sectors. Zirlin remains bullish on these areas, predicting they will drive the next wave of innovation and value creation in the blockchain space.
