Elon Musk: Dogecoin Is Money

Elon Musk shared his bullish theory about Dogecoin early this week. Tesla’s chief executive officer posted his fresh viewpoint about the altcoin on his official Twitter page.

We are quite eager to share this cryptocurrency news with our readers. We think it demonstrates how keen Mr. Musk is about Dogecoin that he has rhapsodized about it often in recent months.

We also believe it is worthy to follow his virtual currency investment journey, consisting of Dogecoin, Bitcoin, and other major cryptocurrencies. According to the news posted online by international media firm Forbes, which focuses on delivering the latest business and finance updates, Musk proclaimed that the meme coin is money.

He argued that it is not a speculative asset. Musk’s tweet comes as Dogecoin’s trading price is now approaching 20 cents per Doge token, after crashing below the psychological level earlier this month.

Dogecoin’s trading price at the time of writing is US$0.1952, per the information posted on Coinmarketcap.com. The SpaceX and Tesla CEO’s tweet he shared on his official Twitter page is reportedly a twist on a well-known quotation from “The Matrix” film.

It queried whether Dogecoin could make someone considerable sums of money. Coinbase is the popular US cryptocurrency exchange that added Dogecoin support just last month.

In this platform, the cryptocurrency’s trading price briefly reached over 20 cents per token in light of Musk’s Twitter message, but it fell back fast. Dogecoin then traded in line with today’s more-or-less-flat Bitcoin and digital currency market.

Tesla’s head elaborated on insights floated previously this week when he spoke during the Crypto Council for Innovation’s B Word convention.

Musk remarked that there might be some merit in meshing Dogecoin and Ethereum. He reasoned that Bitcoin merely could not scale to become the monetary system for the world at the base layer by itself.

Moreover, the world’s second-richest person per Forbes as of July 2021, with a real-time net worth of US$160.1 billion, said that Bitcoin would grapple with becoming peer-to-peer cash without the adoption of a second-layer network. Musk said there is some merit in considering Dogecoin, which has a higher maximum transaction rate and lower transaction cost.

He added that there is some merit in witnessing how far one can take a single-layer network with exchanges serving as a de facto second layer. Musk remarked that one could take his idea further than people realize and that latency dwindles as bandwidth surges over time.

We think it is highly noticeable that Mr. Musk is tremendously influential in the cryptocurrency scene that he affects Dogecoin’s trading price. Therefore, we believe that the Tesla CEO’s viewpoint, affirming that Dogecoin is “money,” should be taken seriously by cryptocurrency enthusiasts, including those who support the somewhat satirical cryptocurrency that was created in 2013 as a “joke.”

Mr. Musk recently revealed that he owns Bitcoin, Dogecoin, and some Ethereum tokens. We think Dogecoin has a good future and will survive for as long as Mr. Musk raves about it.

Our belief can bring fortune to the virtual currency’s backers, too. Thus, we recommend our readers and Dogecoin supporters hold on to their cryptocurrency units and regularly monitor Mr. Musk’s perspectives and the latest updates.