Business

Elon Musk Explains Why He Endorses Dogecoin Over Ethereum Despite Price Drops.

Elon Musk, the eccentric billionaire and Tesla owner, has a special fondness for Dogecoin. In a new twitter post, he stated why he favors Dogecoin over Ethereum or Bitcoin, according to Forbes. Elon Musk stated that Bitcoin is a cryptocurrency that empowers freshly wealthy individuals.

Elon Musk, the CEO of Tesla (TSLA), had previously this year pushed DOGE developers to enhance the meme-based cryptocurrency so that it could compete with the crypto industry’s behemoths, Bitcoin (BTC) and Ether (ETH). Elon Musk has also spoken out on the web3 dispute and explained why he supports DOGE.

Why has Musk labelled Bitcoin a pro-rich instrument?

Billy Markus, the co-founder of Dogecoin, stated on Twitter that his objective is to generate money while having pleasure. He did, nevertheless, state that he is accustomed to the business system. Musk also backed up Markus’ claim that Bitcoin is pro-rich. According to the most recent statistics, only 0.01 percent of bitcoin owners controlled about 27 percent of the Bitcoin in circulation.

Musk’s activities have a huge impact on cryptocurrency prices. Musk was also accountable for a significant increase in Bitcoin values after it was reported that the Tesla CEO had put $1.5 billion in bitcoin to Tesla’s coffers. Bitcoin prices soared from $4000 in March 2020 to $69,000 the previous month prior to actually plummeting and stabilizing at roughly $49,000 at the time of writing.

Nevertheless, Musk then cautioned investors to exercise prudence while investing in cryptocurrency. He also reversed his position and ordered Tesla to cease taking Bitcoin as payment for its electric vehicles. Musk claims that the massive energy requirements for bitcoin mining are hazardous to the environment. Nevertheless, he stated that Tesla will begin taking BTC after it began using eco-friendly forms of energy for 50% of its mining.

Can Dogecoin dethrone Bitcoin as the world’s most valuable cryptocurrency? Yes, Musk says if….

Musk has consistently favored Dogecoin before Bitcoin. He has stated on several occasions that if DOGE can allow faster transactions and lower costs, it has the capacity to dethrone Bitcoin and emerge as the number one crypto. The Tesla CEO has also backed a plan to allow Doge to collaborate with Ethereum to speed up transactions.

DOGE prices have been gradually falling since May, with Musk’s statements fuelling much of the surge. DOGE prices, on the other hand, have subsequently recovered and are now trading at 75% of their all-time high of 70 pence. Nonetheless, its value has increased by 5000% from last year.

Leave a Comment

Your email address will not be published. Required fields are marked *