Elon Musk, CEO of Tesla and SpaceX, has consistently supported dogecoin, a meme-inspired cryptocurrency. He's invested in it, along with bitcoin and ether, he said in October.<\/p>\n
But to Musk, dogecoin has an advantage over bitcoin and other cryptocurrencies: He sees dogecoin as the best cryptocurrency to transact with.<\/p>\n
\"Fundamentally, bitcoin is not a good substitute for transactional currency,\" Musk told Time Magazine after being named Time's 2021 Person of the Year. \"Even though it was created as a silly joke, dogecoin is better suited for transactions.\"<\/p>\n
\"[T]he transaction volume of bitcoin is low, and the cost per transaction is high,\" he said. Musk added that bitcoin is more suitable as a store of value, which is why its investors want to hold onto it and not sell it or use it for transactions.<\/p>\n
Dogecoin, on the other hand, is a currency that \"encourages people to spend, rather than sort of hoard as a store of value,\" he said.<\/p>\n
However, while bitcoin supporters would agree that the asset is a store of value, they'd also argue that it's designed to be a sound peer-to-peer financial system and could be used for transactions, citing situations like El Salvador making bitcoin legal tender.<\/p>\n
And although Musk is clearly bullish on cryptocurrency, he doubts that it will replace fiat. \"I'm not a huge hater of fiat currency like many in the crypto world are,\" Musk told Time.<\/p>\n
But, according to Musk, \"there are advantages with crypto relative to fiat, in that fiat currency tends to get diluted by whatever government it is. It ends up being a pernicious tax on people, especially those who have cash savings with dilution of the money supply.\"<\/p>\n
Nonetheless, financial experts view cryptocurrency as a volatile, risky and speculative investment. In turn, it's recommended to only invest what you can afford to lose.<\/p>\n
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Don't miss: Elon Musk on his crypto portfolio: I only own bitcoin, ether and dogecoin<\/p>\n
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See original here: Elon Musk, CEO of Tesla and SpaceX, has consistently supported dogecoin, a meme-inspired cryptocurrency. He's invested in it, along with bitcoin and ether, he said in October. Continue reading
\nElon Musk says dogecoin is better to buy things with than bitcoin - CNBC<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"