Dogecoin, the cryptocurrency token, increased in value after Elon Musk showed that Tesla products can only be purchased with it.
In a tweet around 1:18 a. m. a. m. ET friday morning, Tesla boss Musk tweeted, “Tesla merchandise that can be purchased with Dogecoin. “
About two and a half hours later, the dog-themed coin rose 14. 8% at 3:45 a. m. m. (Eastern Time) in the last 24 hours, which raised its value to $0. 19, according to CoinMarketCap.
Tesla products that can be purchased with Dogecoin
In addition, the market capitalization of Dogecoin, the total of all tokens in flow, increased to $25. 9 billion.
Meanwhile, Musk’s tweet had proved popular, garnering more than 130,000 likes and 23,000 retweets in a matter of hours. In the past, Musk had scoffed that Tesla would settle for Dogecoin as a means of payment about a month ago.
In the past, experts warned Newsweek about the risks and dangers related to cryptocurrencies, adding notoriously volatile prices.
Newsweek may simply not determine whether Musk’s tweet was the increase in value. The head of Tesla and SpaceX is considered to be influential in cryptocurrency circles and his activities and tweets have coincided with price increases and falls in the past.
The price of Dogecoin had also seen a rise earlier this week before Musk said about Tesla’s products on Twitter.
The token has trended downward in recent months, from an October high of more than $0. 30 to less than $0. 15 last week.
Tesla’s acceptance of Dogecoin for goods adds to the small but growing number of examples where cryptocurrencies can be used in the real world. The electric car company had in the past allowed its consumers to buy cars with bitcoin, but stopped due to similar environmental considerations. to cryptocurrency mining, the energy-intensive procedure for creating new tokens.
Most brands and major retail outlets remain reluctant to settle for cryptocurrencies as a means of payment, even with tokens better known as bitcoin.
Still, cryptocurrency enthusiasts are pushing for further settlement. A petition for online shopping giant Amazon to settle for dogecoin because payment has been ongoing for about 4 years and, by Friday, had gained just over 240,000 signatures.
In early January, Adam Aron, CEO of AMC Theatres, said on Twitter that the company is “on track” to settle for Dogecoin, as well as the similar canine-themed cryptocurrency Shiba Inu, as a payment method on AMC’s online page and app. said the maximum time would likely be in March.
Dogecoin reached its all-time high on May 8, 2021 when it briefly reached less than $0. 73 according to cryptocurrency tracking CoinMarketCap, and then fell sharply.