Elon Musk has hinted that his support for Dogecoin stems from the fact that, unlike Bitcoin, the meme coin is powered by a disruptive grassroots community with its Wall Street establishment backers.
Tesla CEO was considering a Twitter discussion about who has power in the cryptocurrency world, led by bitcoin enthusiast Jack Dorsey & dogecoin creator Billy Markus, among others.
Dorsey explained why he criticizes the influence of venture capital on Web3, the next gen of the internet that underlies the likes of the metaverse.
The CEO of the Block & Twitter Cofounder stated that it is not against blockchain Enthérum, which is at the center of the decentralized applications in the Web3 vision, he is opposes to business control.
Meanwhile, Markus said, “I mean my goal is to build things, make money & have fun. I’m used to the corporate establishment & really don’t see any significant breakthrough: Bitcoin only makes the new rich people stronger.
To that, Musk replied, “That’s why I’m pro Doge.
Dogecoin, a memes-inspired cryptocurrency started as a joke in 2013 by software engineers Markus & Jackson Palmer, has soared in popularity & price this year. Its rise has been fueled by a carefree community that backs altcoin as a form of disruption to Wall Street established financial institutions.
It’s similar to the trading frenzy fueled by Reddit this year, which sparked heavily exposed stocks like GameStop to send a clear message to the financial elite: Power belongs to regular traders, too. Dogecoin is considered somewhat seen as crypto version of Game Stop.
Meanwhile, Bitcoin has received significant interest not only from traders but also from institutions & other corporate heavyweights, including names like BlackRock & BNY Mellon. Dogecoin did not receive any similar support.
Billionaire Musk, who made Newsweek Disruptor Hall of Fame earlier this year, has been a constant supporter of the Doges this year. In early December, Tesla announced that Tesla would accept Dogecoin as payment for some of its goods. In May, he first hinted that this could happen. .
But his support for the dog-related meme token, rather than Bitcoin, also seems to be rooted in its usefulness.
“Bitcoin can be a store of value, but it’s not a good substitute for transactional currency,” Musk told Time Magazine after it was named Person of the Year. “Although it was created as a silly joke, Dogecoin is more suitable for transactions.
He also joked that it could become the future of cryptocurrencies. “Fate loves irony,” she told celebrity news site TMZ in May. “What would be the most ironic result? that currency that was invented as a joke actually become real money.
Although he started tweeting it in 2019, Musk’s strong endorsements for his “favorite cryptocurrency” have resulted in the token’s price increasing this year. Dogecoin hit an all-time high of 73cents on May 8, according to data from CoinGecko. It was trading at 17 cents a coin when it was last checked on Thursday and is up 3.634% year-to-date.
Musk said his cryptocurrency wallet consists of bitcoin, ether, & dogecoin – “That’s it.
