Elon Musk Teases Tesla Taking Dogecoin For Cars: DOGE To Skyrocket?

Elon Musk is keen to incorporate corporate choices within Tesla’s operational framework. Earlier, Tesla’s declaration of accepting Dogecoin for merchandise payments sparked a notable surge in the cryptocurrency’s valuation.

During an event at the Berlin Gigafactory on Mar 13, someone asked if you could buy a Tesla with Dogecoin. Elon Musk said yes, saying, “We should make that happen.” When the news got out, investors got excited, and Dogecoin’s value went up by 9%, from $0.172 to $0.186.

Musk Boosts Dogecoin For Daily Use

Elon Musk has supported DOGE, suggesting its use for transactions in his companies. For example, he announced that SpaceX, like Tesla, would soon accept Dogecoin for merchandise purchases.

While Musk backs Dogecoin, he’s cautious about his investment in cryptocurrencies, including DOGE, compared to his companies’ assets. Unlike Bitcoin, favoured by wealthier individuals, he prefers a cryptocurrency that appeals to the wider public.

However, Musk’s characterization of DOGE as a “hustle” on Saturday Night Live in May 2021 caused its price to plummet.

As of Jan 14, 2022, Tesla started letting people buy its branded stuff using Dogecoin. They made it clear that they’d only handle Dogecoin payments, and if you sent another digital currency by mistake, tough luck, no refunds.

Also, Elon Musk’s rebranded X app (which used to be called Twitter) set up an ‘XPayments’ account, which got folks talking about whether they’ll start accepting digital currencies for payments soon.

By mid-2024, the X app might introduce payment features. However, it is unclear whether it will support digital currencies like Dogecoin or prioritize traditional money. Some of Musk’s followers are hopeful he’ll boost Dogecoin for digital transactions.

Tesla’s Crypto Capers: Embrace To Environmental Fears

In 2021, Elon Musk announced Tesla’s pause on buying vehicles with Bitcoin due to worries about its environmental impact from fossil fuel-dependent mining. This led to a 5% drop in Bitcoin’s value and marked the end of the early 2021 bull market.

In Feb 2021, Tesla revealed a $1.5 billion investment in Bitcoin in a filing with the SEC, expressing openness to more investments in Bitcoin or other cryptocurrencies. The company also planned to accept Bitcoin payments for its products.

In the latest update, Tesla’s Bitcoin holdings have grown to about 11,509 BTC, up from 9,720 BTC in their previous earnings report, showing a significant increase of 1,789 BTC.

Related Reading | South Africa FSCA Grants Licenses To 60 Crypto Firms

Furthermore, the author’s views are for reference only and shall not constitute investment advice. Before purchasing, please ensure you fully understand and assess the products and associated risks.

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