Dogecoin Surges As Elon Musk Revealed Plans For Twitter 2.0
Dogecoin investors remain optimistic that Musk’s idea for Twitter 2.0 would include DOGE in some capacity.
Elon Musk has revealed that he aims to incorporate payments into what he calls Twitter 2.0 — “The Everything App” — causing a temporary 19.4% price increase for the meme-inspired cryptocurrency Dogecoin (DOGE).
In a November 27 tweet to his 119.2 million followers, the new Twitter CEO shared many slides from a recent “Twitter company talk” with them.
While Musk did not mention DOGE in the tweet or the accompanying slides, this did not deter some investors from speculating that Dogecoin might be involved.
According to statistics from CoinGecko, the price of Dogecoin rose 19.4% from $0.089 to $0.107 over several hours after the tweet before settling around $0.096 at the time of writing.
Other plans listed as part of Musk’s vision for Twitter 2.0 included “Advertising as Entertainment,” “Video,” “Encrypted DMs,” “Longform Tweets”, and “Relaunch Blue Verified.”
The data also indicates that Musk’s takeover of the company has already had an effect, with the social media platform reaching an all-time high in terms of “new user signups” and “user active minutes,” which were up 86% and 30% respectively over the last week compared to the same seven day period in 2021.
Jane Manchun Wong, a prominent tech writer, tweeted on October 27 that Twitter has already begun developing a wallet prototype that accepts cryptocurrency deposits and withdrawals. This resulted in a 40% increase in the price of DOGE.
Lior Yaffe, the co-founder of Switzerland-based blockchain software startup Jelurida, recently said that even if Elon Musk incorporated Dogecoin into Twitter, it would not be a good move.
“Even if they do manage to build a payment system around Twitter, there are much better blockchain solutions than Dogecoin to choose from with regards to security, privacy, smart contracts and scaling.”
Daniel Elsawey, CEO and co-founder of decentralized exchange (DEX) TideFi, recently said that although the integration is technically feasible, its value on Twitter would be restricted to payments only.
“Given that DOGE cannot directly interact with smart contracts as part of its original design, I would say that unless it’s specifically used as an option for payment, the use cases associated will continue to remain speculative.”
