I don’t own any Doge. I’ve never traded it before. Like many of you, I always thought it was a joke!
But from Hertz to meme stocks, GameStop, and now Dogecoin, maybe jokes are the next great trade. Find the most hilarious thing to do with your money and go for it.
Jk jk jk
Anyways, at one point today Dogecoin’s market cap nearly touched $50 billion. Take all the Dogecoins in existence and multiply that by the price of a single Dogecoin and it was collectively worth $50 billion.
For comparison, Twitter has a market cap of about $55 billion. So Dogecoin might soon be worth more than Twitter. The best part about that is Dogecoin gets promoted on Twitter. Elon Musk uses his Twitter account to tweet about Dogecoin. No company is better than Twitter at creating value for everything other than itself.
Now, before I bash Dogecoin too hard, I was surprised to learn that Dogecoin is actually an efficient and cheap way to move money. Cheaper than Bitcoin and faster than others. I actually had no idea the guy who coded it literally copied everything about Bitcoin except he made it proof of work and removed the supply constraint. So yes it was created as a joke, but also it’s kind of based on the exact same technology that the biggest cryptos are based on.
I should end by saying I still won’t go near Dogecoin with my money. It’s supply is just massive, adding 5 billion coins a year and there’s very little utility to build. Nonetheless, at the core, it’s surprisingly not all that different from any other crypto. So if you have time, I suggest reading about that as there’s more overlap than you may think.