Hong Kong Singularity Finance reported on January 16. On January 14, the cryptocurrency Dogecoin rose sharply due to the latest statement of Tesla CEO Elon Musk. Musk said Tesla will accept Dogecoin as a payment tool for purchases.
Dogecoin is favored by the world's richest man, and to some extent, it is quite a bit of a "dog" luck, this cryptocurrency has always been one of the most unstable cryptocurrencies. On December 6, 2013, Jackson Palmer, a software engineer at Adobe, and Billy Markus, a software engineer at IBM, jointly launched Dogecoin, based on the Shiba Inu model, which was born to satirize the cryptocurrency culture of the time.
Although Dogecoin started out as a prank, like other mainstream cryptocurrencies, it has become increasingly popular with investors as the number of institutions involved has increased and the cryptocurrency ecosystem has expanded. As of January 13, 2022, each Dogecoin was priced at approximately $0.16, ranking twelfth in market capitalization.
Previously, Musk also called himself the "Godfather of Dogecoin", and he also once called Dogecoin "the people's cryptocurrency", and did not skimp on his love for Dogecoin.
Musk said in a tweet on the morning of Friday, January 14, "Tesla merchandise can be purchased with Dogecoin."
On that day, some of the goods on Tesla's North American official website can already be paid for with Dogecoin. These include "Cyberwhistle Whistle", "Cyberquad for Kids Kids Moto", "Giga Texas Belt Buckle", etc. Prices range from 300 Doge to 12020 Doge. However, tesla does not currently support the use of Dogecoin to purchase car products.
After Musk's tweet, Dogecoin surged 18% to more than $0.20. According to CoinDesk's quotation data, as of 4:06 p.m. on January 14, Dogecoin rose 14% to 19.376 cents.
In the purchase rules, Tesla particularly emphasized that Tesla only accepts Dogecoin, a cryptocurrency, and cannot receive or detect any other digital assets. The Company reminds users that before making payments, please make sure to make purchases with Dogecoin, and the use of any other digital assets may result in the loss or destruction of assets. Also, non-Dogecoin digital assets paid to Tesla will not be refunded to the purchaser.
Tesla said that if it needs to use Dogecoin to pay for Tesla peripheral products, it needs to be connected through the wallet, and the order will "not be canceled", and all goods paid for with Dogecoin will not support returns, exchanges or cancellations.
Judging from the above details, users who buy Tesla products with Dogecoin do not seem to enjoy the various preferential treatment for customers under the modern business culture of the United States. Still, this doesn't stop Dogecoin from skyrocketing.
This isn't the first time Musk has tweeted about Dogecoin, and on December 14, 2021, he announced on Twitter: "Tesla will launch some products that can be purchased with Dogecoin and see how it goes." ”
However, it is difficult to say what the prospects of Dogecoin are, because not long ago, before supporting Dogecoin, Tesla also supported Bitcoin payments. On March 24, 2021, Musk announced on Twitter: "You can now use Bitcoin to buy Tesla. ”
But in less than two months, on May 13, 2021, Musk announced on social media: "Tesla will stop using Bitcoin to buy car products." ”
This time Tesla launched Dogecoin payment, many people also have a more optimistic outlook on the future of Dogecoin, they believe that Dogecoin has a real value, and may be used to pay more products in the future. Some even argue that access to Tesla payments is just the first step toward Dogecoin's global mobile payments, which will likely reach the same status as PayPal in the next five decades. PayPal is currently the world's largest online payment provider.
But who can guarantee that Dogecoin will not repeat the fate of Bitcoin?