Social media refers to Elon Musk as the father of Dogecoin. The reason for this reference is his association with Dogecoin cryptocurrency. He hinted that his company Tesla would be accepting Dogecoin as a payment method for the purchase of its automobiles. The company has already started taking payments in Bitcoin for its cars, and it is possible that soon it will be adding Dogecoin as another cryptocurrency payment method. Tesla has Bitcoin in its reserves.
Elon Musk Hint on Making Dogecoin Payments Acceptable
The CEO of SpaceX and Tesla, Elon Musk, has hinted that the company can accept Dogecoin as payment for its cars. Elon Musk created a Twitter poll in which he asked his followers if Tesla should accept Dogecoin as payment for its vehicles or not. The results came as expected as 78.2% of the users have pooled in favour of it.
Elon Musk’ Contribution in the Cryptocurrency Growth
People already know that Elon Musk is one of the leading investors of cryptocurrency. Bitcoin has already been established by Tesla as a legitimate way of payment. People can make purchases on the company’s website while paying through Bitcoin. Dogecoin, on the other hand, is an unstable currency because of its price fluctuation. This is why it is still unclear how the company will set the price of Dogecoin if it decides to start accepting payment in this cryptocurrency. In February of 2020, Tesla bought Bitcoin worth $1.5 Billion. The company has already announced that Bitcoin can be used to make payments for its vehicles. Tesla sold 10% of its total Bitcoin assets to prove that the cryptocurrency is an excellent alternative to cash with high value.
Is It Possible?
Elon Musk is known to make ‘troll’ statements on social media. In the past, his bluffs on Twitter have already caused Tesla financial losses. For instance, Elon Musk said on his Twitter account that the stock price of Tesla is ‘too high’. Because of his statement, the stock price of Tesla dropped down by 12%, which was quite a loss for its shareholders. This is not the only example of Elon Musk bluffing on Social Media platforms. Elon Musk published this on his Twitter account that he has finances to make Tesla Private, and he will do that. This put Elon Musk in trouble as the SEC filed a lawsuit against him that his statements on Twitter can be perceived as stock manipulation to increase the stock prices. In reality, the stock price was $420 less than the price which was announced.
However, it won’t be a surprise if Tesla announces that the company accepts dogecoin payments because SpaceX, whose founder is also Elon Musk, has announced already that it will be launching a Dogecoin-paid DOGE-1 Mission. The objective of this mission is to carry a commercial payload to the moon.
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Luke Handt is a seasoned cryptocurrency investor and advisor with over 7 years of experience in the blockchain and digital asset space. His passion for crypto began while studying computer science and economics at Stanford University in the early 2010s.
Since 2016, Luke has been an active cryptocurrency trader, strategically investing in major coins as well as up-and-coming altcoins. He is knowledgeable about advanced crypto trading strategies, market analysis, and the nuances of blockchain protocols.
In addition to managing his own crypto portfolio, Luke shares his expertise with others as a crypto writer and analyst for leading finance publications. He enjoys educating retail traders about digital assets and is a sought-after voice at fintech conferences worldwide.
When he's not glued to price charts or researching promising new projects, Luke enjoys surfing, travel, and fine wine. He currently resides in Newport Beach, California where he continues to follow crypto markets closely and connect with other industry leaders.