Elon Musk Reveals Reason Behind Supporting Dogecoin

Elon Musk tweeted in response to the “Dogecoin millionaire” Glauber Contessoto that he sees Dogecoin as “the people’s crypto,” and explained why he supports the cryptocurrency. Musk’s tweets about his pet dog Floki generally have Shiba Inu (SHIB) prices soaring but the billionaire Tesla CEO has now set the record straight, revealing he doesn’t actually own any SHIB tokens, but Dogecoin (DOGE) does make it to his personal portfolio. Musk was all praise for the original memecoin on Twitter, clarifying that he supports Dogecoin because “it felt like the people’s crypto.” The celebrity entrepreneur generally likes to keep his crypto-related tweets short and open to interpretation, but in a rare switch, Musk decided to elaborate on his investment calls.

Musk praised DOGE while replying to a tweet about a survey stating that nearly 33 percent of cryptocurrency owners in the US own the crypto asset. “Lots of people I talked to on the production lines at Tesla or building rockets at SpaceX own Doge. They aren’t financial experts or Silicon Valley technologists. That’s why I decided to support Doge—it felt like the people’s crypto,” Musk said in a tweet.

While the survey in question here is a separate one, the metric does corroborate with findings from Australian research firm Finder who recently published a study where almost 30 percent of crypto holders in the US claimed to own Dogecoin.

The Tesla and SpaceX CEO, in a particularly rare, conversational mood, also commented on potential interactions with the Doge development team and whether he had any hints on upcoming improvements. “Not recently. What matters imo [in my opinion] is lowering fees, decreasing block time & increasing block size. A single layer network with exchanges as de facto layer 2 seems like the simplest solution for a medium of exchange,” Musk said.

Dogecoin co-creator Billy Markus was quick to respond to this tweet by Musk. “Imo [in my opinion] dogecoin being fast, scalable, and inexpensive to send around is all it needs to be, it doesn’t need to be yet another blockchain that hosts NFTs or other tokens or whatever the tech to get there is complex, but that utility is simple and needed—beauty in simplicity,” Markus said.

The series of tweets from Musk came shortly after he had confirmed that he currently holds only three cryptocurrencies — Bitcoin, Ether, and Dogecoin.