What is the whole deal with dogecoin? Why is it fluctuating with Elon Musk? To begin with, Dogecoin was created in 2012 by software developers at Adobe and IBM; it was supposed to be a caricature of cryptocurrencies, such as bitcoin.
What is Cryptocurrency?
Cryptocurrencies are a kind of digital currency that can be utilized for online payment. As a nickname after a Shiba Inu dog that is a meme trend online, cryptocurrency fans and online pranksters started trading dogecoins for worthless money. The first dogecoin that actually costs something was in early 2014 and was worth $0.001540753. Today, that same dogecoin is worth 50 cents, which is more than 32,000% higher. Even though Dogecoin isn’t as big as Bitcoin, however, it is not as secure as the latter.
Elon Musk and Dogecoin
Elon Musk is an enthusiast of cryptocurrency. Starting as a joke, Musk started his dogecoin journey last year. His excessive comments and tweets about dogecoin gave it immense credibility. One of his first dogecoin tweets was in April 2019, where he claimed it to be his favorite cryptocurrency.
Elon Musk hosted NBC’s Saturday Night Livelast weekend. Of course, viewers were expecting Musk to discuss dogecoin live on TV. In an SNL sketch, Musk appeared as a fictional cryptocurrency professional and was asked to talk about what dogecoin is exactly. After beating around the bush, Musk’s character reveals that the whole dogecoin craze is nothing but a “hustle.”
In Elon’s fictional character sketch, he said that dogecoin is “the future of currency” and “an unstoppable financial vehicle is going to take over the world.” The currency sold off right after the sketch was aired and went low around 40 cents per doge the very next day.
A market analyst, however, said that huge blocks of doge started selling really fast.
Dogecoin Going to the Moon
What started as a joke got pretty serious when Musk tweeted about his next mission with SpaceX.
Shortly after, news came in a media release from Geometric Energy Corporation, Canadian manufacturing, and logistics company. They reported it would launch a 40 kg satellite into orbit on one of SpaceX’s rockets. The media release also said that SpaceX would be paying for the mission in dogecoin. SpaceX’s vice president Ochinero said that this mission will portray the application of cryptocurrency beyond Earth’s orbit and set the foundation for interplanetary commerce. He added, “we’re excited to launch Doge-1 to the moon!” Nevertheless, it is yet unknown how many dogecoin they are planning to pay.
So what now? Ardent dogecoin trading has pushed the total cryptocurrency value above $65 billion! That puts dogecoin in the fifth most prizable cryptocurrency across the globe.
With Musk’s utter wealth, who knows where dogecoin might reach. At the moment, the epitome of dogecoin’s trend is Elon Musk, and he has an army of followers. It seems like the sky’s the limit. By default, Musk believes that doge will be the currency of the future. Let’s wait and see if what started as a joke and continues to grow popular online as endless memes, will keep growing and growing. What do you think? Let us know in the comment box! For more news about Musk, dogecoin, and much more, check out our website frequently.