The wave of encryption driven by Trump's victory: Crypto-AI, Decentralized Finance, and RWA have ushered in a boom, and technology and narratives are hotly debated

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The recent victory of Trump has driven an upsurge in the encryption currency market, with BTC prices once breaking through the $93K mark. Looking back to 2018, when BTC was only worth $3,000, the market has undergone tremendous changes. Faced with such drastic changes, encryption entrepreneurs have shared their views on the future of the market.

Trump's policies are clear, helping Web3 practitioners usher in a super cycle

Many encryption operators have stated that a series of policies promoted by Trump in the future, as well as measures to relax regulations, will greatly unleash the innovation potential of the encryption industry. Although the Biden administration has previously carried out a series of 'devastating' law enforcement attacks on the encryption industry, Arianna Simpson, a partner at a16z crypto, said that with the new government in place, encryption operators and related entrepreneurs will have greater freedom, and a large number of new products will emerge like mushrooms after the rain.

There are also industry players who believe that after the relaxation of regulations in the future, entrepreneurs who have jumped out of traditional industries will be more willing to enter the Cryptocurrency market, thereby driving market development. Currently, some industry players are actively expanding their investment teams and concentrating resources to welcome this 'super cycle' in the encryption market.

encryption AI, Decentralized Finance, and RWA have become explosive focal points

The combination of Cryptocurrency with AI and DeFi (Decentralized Finance) is highly favored by many venture capital institutions, and it is believed that these technologies will experience explosive growth in the coming years. Ed Roman, co-founder of Hack VC, an encryption venture capital company, said that the combination of Cryptocurrency and AI (Crypto-AI) is currently the most followed area in the market.

Roman believes that the development of the Crypto-AI field largely depends on the health of the traditional Web2 AI field (OpenAI, Google), and considers NVIDIA's performance and market performance as important indicators of the health of the Web2 AI, and thus measures the future development of Crypto-AI.

In addition, Decentralized Finance is also considered the next explosive area. Some industry players say that Decentralized Finance could surpass TradFi tools in terms of yield and efficiency, and solve the pain points of TradFi through its efficient, transparent, and decentralized characteristics.

It is further pointed out that there are currently TradFi institutions that are starting to use Decentralizationexchange (DEX) as a medium to put real-world assets (RWA) on-chain. As for stablecoins and payments, some industry insiders have indicated that the barriers between banks and encryption payments will be reduced after Trump takes office, and the popularization of stablecoins will be accelerated.

The potential of consumer applications and infrastructure is huge, and the technology is still a hot topic of discussion.

In the encryption currency market, the "development of consumer applications and infrastructure" has become the core focus of investors' attention. In the past, due to the regulatory pressure of the Biden administration, the growth space was compressed, but with the gradual relaxation of policies, it is expected to usher in explosive growth in the future.

At the same time, there is also a divergence of opinions on the perspective of infrastructure investment. Some encryption operators are optimistic about the potential of restaking and zero knowledge (ZK), believing that these technologies are key elements for future infrastructure upgrades. However, some people believe that as technological bottlenecks continue to be overcome, investment opportunities in this field may gradually decrease and the market may become saturated. Some operators also believe that 'brand' and 'narrative' ability are the keys to success, rather than technical strength.

(a16z: Optimistic about the future of the encryption industry in the United States, will release DUNA guidelines to assist startups in landing in the United States)

This article, Trump's victory drives the encryption wave: Crypto-AI, Decentralized Finance, and RWA explode, and technology and narrative become hot topics, first appeared in Chain News ABMedia.

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