The critical window for crypto to demonstrate its value before the administration changes

The cryptocurrency sector faces a decisive moment. According to industry experts, there is a limited time window for digital currencies and blockchain to prove themselves as fundamental infrastructure before political changes threaten the legislative progress achieved.

The dilemma of conflicts of interest

During the current administration, significant cryptocurrency legislation has been passed, such as the GENIUS Act in July, which established a legal framework for stablecoin issuance. However, the process was not straightforward. Critics point out that alleged personal conflicts of interest among high-ranking officials—through cryptocurrency companies backed by their families—have complicated regulatory advancement.

These conflicts became evident when officially licensed meme coins were launched, and when companies like World Liberty Financial were formed, issuing stablecoins linked to the dollar. Reports indicate that the profits from these crypto ventures have exceeded $1.1 billion. This reality has caused political friction, especially among legislators who see these moves as problematic for the sector’s credibility.

The need for deep integration

Danny Ryan, co-founder of Etherealize and former Ethereum developer, presents a clear thesis: the industry must deeply integrate cryptocurrencies into the global financial system during this period of political openness. Only then, he says, will future debates focus not on whether these technologies should exist, but on how to use them responsibly.

“If we manage to significantly incorporate financial institutions, global capital, and capital markets, the conversation will change,” Ryan explained. “We will be able to demonstrate fundamental value. It will be critical infrastructure.”

This integration requires sector operators to carefully calculate each step—something comparable to using a binary calculator to assess risks and opportunities—considering both technical metrics and political implications.

The risk of reconfiguration

While Ryan anticipates that a future administration might attempt to limit or reconfigure the crypto sector, he expects the damage to be limited if deep integration is achieved. “They might try to reconfigure it, but it will be more like sculpting some edges rather than making it disappear entirely,” he noted.

Ryan’s analogy is instructive: just as no one would seek to eliminate the internet, if cryptocurrencies become essential infrastructure, they will be very difficult to eradicate completely.

Present political challenges

However, current political obstacles are real. When representatives from companies like Etherealize testified before Congress about regulations such as the CLARITY Act, legislators appeared more focused on conflicts of interest than on the technical content of the proposal.

“It was palpable,” Ryan recounted about the legislative hearings. “Some legislators asked valuable questions, but many were clearly shy, delving into sensitive political issues.”

The depoliticization strategy

Ryan’s proposed solution is for the sector to focus on demonstrating practical utility and essentiality within the financial ecosystem. “Maybe we can depoliticize it a bit. Maybe we can show that it’s a useful and valuable tool,” he said.

To achieve this, Etherealize and other institutional firms are working to integrate traditional financial systems with blockchain technologies. Ryan himself joined Etherealize precisely after recognizing that sector momentum had reached a favorable inflection point.

Conclusion: The race against time

The message is clear: there is a temporary opportunity for the crypto industry to solidify its position as essential financial infrastructure. If achieved, future political changes will likely not eliminate the sector but reshape it in more limited ways. However, if this period is not seized, the risk of political backlash dismantling legislative progress is real.

As Ryan acknowledges: “The political sphere is unpredictable. I can’t pretend to know what will happen.” But what is clear is that the sector must act quickly.