Business

Dogecoin Jumps 50% After Tip by Elon Musk

Dogecoin has jumped in value by 50% after inventor Elon Musk dubbed it “the people’s crypto”.

Cryptocurrencies such as Dogecoin and Bitcoin are generated by computers. Their supposed value comes from the finite number that can be computed.

Dogecoin, a cryptocurrency which started off as a joke, uses a Shiba Inu dog as its mascot and is based on a meme featuring the animal.

The currency has risen more than 800% in the year so far.

After reaching a high of $0.058, each dogecoin is currently changing hands for about $0.046, suggesting a total value for all 128 billion coins of about $5.89 billion.

According to an interview with Vice, dogecoin was created in 2013 by a pair of software workers after one of them made a joke about the next big cryptocurrency.

However, with no intrinsic value like gold or land, and no ability to generate an income like a company or bond, cryptocurrencies are extremely volatile and can crash as fast as they rise.

This makes them hard to value and makes their prices susceptible to tips from backers or sudden panics.

Critics point out that while any given cryptocurrency may have a finite supply of units, the number of cryptocurrencies is ever-growing and potentially limitless.

People have lost large amounts of money in steep drops in the value of cryptocurrencies and in hacks and corrupted or lost hard drives.

Petro: Venezuela Launches Ethereum-Based Cryptocurrency

Bitwalking Dollar: New Crypto-Currency Generated by Human Movement

Bitcoin’s value dropped by $5,000 on January4 to about $29,000 before recovering the lost ground. On January 11, it dropped $9,000 to $32,000.

Because the cryptocurrencies can pass international borders quickly and are not regulated like cash or regular investments, investigating thefts is hard.

Last month, the Financial Conduct Authority (FCA) issued a stark warning to investors in so-called cryptoassets.

The financial watchdog said investors should be “prepared to lose all their money” should their investment’s value collapse.

Clyde K. Valle

Clyde is a business graduate interested in writing about latest news in politics and business. He enjoys writing and is about to publish his first book. He’s a pet lover and likes to spend time with family. When the time allows he likes to go fishing waiting for the muse to come.

Recent Posts

Donald Trump and Elon Musk Celebrate Election Victory at UFC 309

Image source: Wikimedia Commons President-elect Donald Trump celebrated his election victory at the Ultimate Fighting…

5 days ago

White House 2024: Donald Trump Wins, Kamala Harris Calls Him to Concede Election

Millions of voters across the US chose to return Donald Trump to the White House…

2 weeks ago

Who Won? Donald Trump Declares Victory as He Addresses Jubilant Supporters in Florida

Donald Trump declares victory in the US election as he addresses jubilant supporters in Florida.…

2 weeks ago

Stocks Soaring as Donald Trump Closes in on US Victory

Stocks around the world are rising as Donald Trump appears to be on the cusp…

2 weeks ago

Who Won? Kamala Harris Cancels Election Night Party as Path to Victory Narrows

Donald Trump has won Pennsylvania, North Carolina and Georgia and taken a lead over Kamala…

2 weeks ago

Quincy Jones Dead at 91

Quincy Jones, the celebrated musician and producer who worked with Michael Jackson, Frank Sinatra, Ray…

2 weeks ago