The Reason Elon Musk Loves Dogecoin

If you’re an alive being and know who Elon Musk is, you probably know how crazy of a person he is. He built underground transportation to electric cars and now planning to inhabit the entire population on Mars. Musk is always in the news for his crazy ideas and innovation. 

If we were to summarise this year in one word, it would be Cryptocurrency. This year is dedicated to crypto enthusiasts as crypto saw a huge boom, and so many people invested in them.

How come Musk can stay behind? 

He invested in only three coins Bitcoin, Ethereum, and Dogecoin. And as Musk bought Dogecoin, it got a lot of people interested. Musk is himself a big fan and supporter of the Doge.

Let’s understand Dogecoin and why Musk is so obsessed with it.

What Is Dogecoin?

Dogecoin is an open-source altcoin created by engineers Jackson Palmer and Billy Markus. Their idea of creating this crypto initiated with a joke revolving around a dog. Soon it got a mass following on social media and became a popular cryptocurrency. Dogecoin has the image of a Shiba Inu dog as its logo. Initially, Doge was used to tip creators/users on Twitter and Reddit. Later many merchants started accepting it as a form of payment. The entire crypto market saw a boom in 2021. With Musk’s obsession flowing out of his tweets, Dogecoin soon became a fan favorite crypto.

How We Know About Musk’s Obsession With Dogecoin?

  • Musk’s obsession with Dogecoin reflects in his Twitter account. He even changed his Twitter bio to ‘Former CEO of Doge coin’. 
  • Many of his tweets are around Doge. His tweets like ‘Doge is people’s crypto’ got Doge the attention of many small investors. 
  • In one of his tweets, Musk mentioned that his company Tesla will accept Doge as a form of payment in the future. Elon’s this tweet got viral, and it skyrocketed Doge’s price overnight.

Why Musk Loves Doge?

  • The idea behind Doge is to make Defi(Decentralized finance) more accessible to small investors. How? The gas fee per transaction for Ethereum is around $51.25. While for Doge, it averages about $0.65 per transaction.
  • Musk wants to support every investor out there. He talked to a lot of employees in his company, and he finds out that a lot of his employees own Dogecoin. They are neither financial experts nor Silicon Valley technologists. So, he decided to support Dogecoin to help every investor out there.
  • The world is selfish, and so do Elon Musk. Don’t get offended on this one. He uses his influence and power to affect the crypto market and increase the price of Dogecoin for his profit.

Should You Invest?

Well, the answer to this question depends on you. If we look at history, we can see anything that got popular as a meme on the internet skyrocketed for a few years. But soon people forget about such things. And this is the reason I don’t invest in Dogecoin even after being supported by people like Elon Musk.

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