The history of Dogecoin is inextricably linked to the figure of Elon Musk, CEO of Tesla and SpaceX. His active support, tweets, and even jokes have had an unprecedented impact on the price and public perception of Dogecoin, transforming it from a "meme" cryptocurrency into a serious player, at least in the eyes of millions.
The beginning of the "Romance" with DOGE
Elon Musk began to take a keen interest in Dogecoin in 2020, and in 2021, his support became particularly noticeable. He regularly posted memes featuring the Shiba Inu dog and mentions of DOGE on Twitter, which each time led to sharp price spikes. These tweets were part of his broader interest in cryptocurrencies and his tendency for informal, often humorous communication with millions of his followers.
Musk has often referred to himself as the "Dogefather" (a nod to "The Godfather") and stated that Dogecoin is the "people's cryptocurrency" that could become the "currency of Earth" or even an "interplanetary currency."
Key Moments of Influence:
Tweets, Tweets, Tweets: The most direct and frequent way Musk influences. A simple mention of Dogecoin in a tweet often triggered an instant price surge of tens of percent.
"Saturday Night Live" (SNL): Musk's appearance on SNL in May 2021, where he referred to Dogecoin as a "hype" in a sketch, caused the expected but sharp price drop. This demonstrated how strongly the market reacts to his words.
Acceptance of DOGE at Tesla and SpaceX:
Tesla Merch: In early 2022, Tesla began accepting Dogecoin as payment for some merchandise in its online store. This was a significant step as it added real utility to DOGE.
SpaceX and the "DOGE-1 Mission to the Moon": In 2021, SpaceX announced that it would accept Dogecoin as payment for a lunar mission called the "DOGE-1 Mission to the Moon." This was the first instance of cryptocurrency being accepted as full payment for a commercial lunar mission, giving DOGE considerable legitimacy and promotional value.
X (formerly Twitter): After acquiring Twitter (now X), Elon Musk has often hinted at integrating payments into X, and many speculate that Dogecoin might become one of the supported cryptocurrencies for tips or micropayments on the platform.
Elon Musk's motives
Musk's motives for supporting Dogecoin are debated. Some believe he is just having fun and manipulating the market for a joke. Others think he genuinely believes in the potential of Dogecoin as the "people's currency" and sees it as a tool to lower barriers to entry into cryptocurrency due to its low fees and friendly image. Musk himself has stated that Dogecoin has "superior transaction throughput" compared to Bitcoin and Ethereum for use as a currency.
The Future of Influence and the Role of Dogecoin
Elon Musk's influence on Dogecoin is likely to continue. His statements and actions may still trigger short-term price fluctuations. However, more importantly, his support has pushed Dogecoin to seek real utility. If DOGE is widely integrated into payment systems at Tesla, X, or other Musk projects, it could significantly strengthen its position as a medium of exchange and give it long-term value beyond just a meme.
The history of Dogecoin and Elon Musk is a unique example of how a combination of internet culture, celebrity influence, and real technological integrations can shape the future of cryptocurrency.