Jeff Zirlin, co-founder of Axie Infinity and Ronin, said it is difficult to use revenue to compare the success of altcoins and meme coins because regulatory clarity still hinders the potential of these tokens. He said it was an “inductive fallacy.”
Cryptocurrency trader and influencer Murad Makhmudov first gained attention for his Bitcoin analysis, but has recently shifted his focus to meme coins. He recently argued during a panel discussion at Token2049 in Singapore that meme coins are more attractive because they have lower returns than regular altcoins.
Zirlin, known as Jihoz on social media, said Murad's predictions suggesting that altcoin returns remain unattractive compared to meme coins overgeneralize current market conditions and suggest future possibilities. He claimed that he was denying his sexuality.
He also criticized the paper for overstating Uniswap, which he believes is a “sleeping giant” that has seen impressive growth over the past few years.
Uniswap as a proxy
According to data shared by Jihoz, Uniswap's trading volume is expected to increase significantly, growing from $6.42 billion in 2021 to a staggering $383.01 billion in 2024.
He highlighted that if Uniswap had enabled the fee switching mechanism, the DEX could have accumulated $314 million in treasuries controlled by token holders.
This funding could be used to buy back and burn approximately 43 million UNI tokens, which could have a significant impact on the circulating supply of major exchanges such as Binance and Coinbase.
According to Zikhoz,
“This won't happen today, but it could happen in the future, especially as regulatory clarity enters the token market.”
Utility as a rally driver
Jihoz also pointed to the 2021 success of Axie Infinity, a play-to-earn platform that generated over $1 billion in revenue.
He said the usefulness of the AXS token in Axie's “breeding” process caused a supply shortage that saw the token rise from $0.10 to $160 in less than a year, with a peak fully diluted valuation (FDV) of $40 billion. He emphasized that it had been reached.
The token AXS plays a role in the “breeding” process of new Axies, which are game assets needed to play combat. As more players interacted with Axie Infinity, the price of AXS jumped from $0.14 to nearly $165 in one year.
In his criticism, Zikhoz claimed that Murad ignores past events such as the Axis Rally and the potential future of altcoins such as Uniswap. He added:
“He's telling us what we already know, but the market is trying to predict where the puck is going, rather than summarizing the current and acting as if nothing has changed.” We are focusing on that.”
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