I first thought these figures were fish heads and had something to do with marines. But after all these interesting responses I think dragon is also a possibility. Whatever its origin, east or west, there should be some mythical and religious meaning as well as its artistic value.
In janissary insignias one can come across both figures (fish/dragon). These drawings from an early 18th century book and i think these insignias had been in use for some time when this book was first published. Sorry for the low quality of the picture.
But you can still see the dragon head pommels of the swords on the top. Fish figures are more obvious.