Elon Musk, CEO of Tesla & SpaceX, is a longtime supporter of Dogecoin, a cryptocurrency inspired by memes. He has invested in it personally, along with Bitcoin & Ether, and has gone so far as to say that he considers dogecoin the best cryptocurrency to use for trading.
Now Elon Musk tweeted on Tuesday that Tesla will be making some of its products purchasable with Dogecoin on a trial basis, adding that “he will see how it goes.”
The price of dogecoin rose by up to 25% within minutes of Musk’s new announcement, once again demonstrating how he can shake the markets with a simple tweet.
The Doge Father
At this point, Musk is widely regarded as the unofficial CEO of Dogecoin and was instrumental in pushing the currency even to an all-time high of $ 0.7376. However, since reaching an all-time high in May, altcoin has seen a rapid decline, and even Musk’s rigorous push hasn’t helped the currency even recover, at least before-now, even though the price is long-way from the peaks reached in May.
Earlier this week, Musk was named Person of the Year by Time magazine and said in an interview that dogecoin worked better than bitcoin as a payment method because it could handle higher transaction volumes & didn’t have fixed supply.
“Basically, Bitcoin is not a good substitute for transaction currency,” musk told time. “Although it was created as a silly joke, Dogecoin is more suitable for transactions.
In addition to his lastest announcement, it could mean that you intend to accept cryptocurrencies as payment for electric vehicles. Tesla had previously done this with Bitcoin, but announced earlier this year that it was reverse that decision due to concerns about its environmental impact.
However, he also said that if the bulk of Bitcoin mining goes green, he will eventually reintroduce Bitcoin payment option. Until then, we’ll see Tesla’s merchandise ranging from apparel & belt buckles to small models of its vehicles sold with dogecoin, possibly making the memes-based cryptocurrency one of the most popular cryptocurrencies perform better in the future, thanks to Musk strong social advocacy.