Trump, Tariffs and Utility Tokens: Animoca’s Yat Siu Says Crypto Has to Grow Up

• Crypto mispriced Trump’s impact in 2025
• Tariffs and macro pressure hurt risk assets
• Memecoin cycle burned out retail liquidity
• 2026 shifts focus to compliance and utility
• Animoca plans IPO as an altcoin proxy
• Utility tokens set to dominate the next cycle

Animoca Brands co-founder Yat Siu believes 2025 will be remembered as the moment crypto was forced to confront reality. The industry bet heavily on Donald Trump being a decisive catalyst for markets, but that assumption proved costly.

Rather than prioritizing crypto, Trump focused on tariffs, trade disputes and battles with the Federal Reserve — policies that weighed heavily on risk assets. Bitcoin ended the year under pressure, and the so-called “Trump trade” failed to deliver the upside many had priced in.

Siu graded the year a B-/C+, saying traders acted as if crypto was Trump’s top concern. In practice, it ranked far lower on his list of priorities. When tariffs escalate or trade wars dominate headlines, Bitcoin price action simply isn’t part of the calculation.

That misalignment exposed a broader issue: crypto leaned too hard on political narratives instead of fundamentals.

The speculative excess of the cycle culminated in the memecoin frenzy, particularly with politically branded tokens like TRUMP and MELANIA. Both collapsed sharply from their peaks, leaving hundreds of thousands of retail wallets underwater. Siu described the episode as a “vampire attack” on the meme economy, draining liquidity and confidence from the broader market.

As capital exited speculation-heavy corners, it became clear that narrative alone was no longer enough. Builders who once launched tokens without worrying about customers are now facing a harder environment — one that demands real products, real users and sustainable economics.

Animoca’s IPO and the Altcoin Proxy Thesis

Looking to 2026, Siu sees opportunity in public markets. Animoca plans to go public via a reverse merger with Nasdaq-listed Currenc Group, retaining control of 95% of the combined entity. His goal is to create something crypto markets lack: a liquid, public altcoin proxy.

Bitcoin already has MicroStrategy as a leveraged public vehicle. What’s missing, Siu argues, is a similar gateway for the long tail of Web3, gaming and infrastructure tokens. Animoca aims to fill that gap by offering diversified exposure through its massive portfolio rather than forcing investors to pick individual winners.

The company has backed more than 620 projects, invested in around 100 new ventures last year, reported $314 million in unaudited bookings for 2024, and has remained EBITDA-positive for four consecutive years. Over time, Siu expects Animoca itself to become fully tokenized, acting as a bridge between traditional equity markets and onchain ownership.

Regulatory Clarity Changes Everything

Siu views upcoming US legislation — particularly the Clarity Act and GENIUS Act — as transformational. Instead of threatening crypto, clear rules finally give established companies the confidence to participate without regulatory risk.

He points to stablecoins as a preview of what’s coming. Once Washington clarified the rules, large brands moved quickly after years of hesitation. Siu expects the same pattern for utility tokens, tokenized securities and real-world assets.

Animoca has already begun positioning itself for that shift, including partnerships focused on tokenization with traditional asset managers in Asia. In Siu’s view, once legal certainty exists, established firms will launch tokens tied directly to real businesses rather than speculation.

2026: The Year of the Utility Token

Siu believes the next cycle will look fundamentally different. Instead of tokens launched for traders, the focus will shift toward products built for gamers, creators and brands — users who don’t think of themselves as crypto-native at all.

The memecoin era proved that narrative without utility burns out quickly. Now, market conditions are forcing builders to grow up, designing tokens that actually do something and fit within compliant frameworks.

With regulation providing guardrails and speculation fading, Siu argues that 2026 will be the year of the utility token — not because it’s trendy, but because it’s necessary.

Crypto companies, he says, no longer have a choice.

“They have to grow up.”