A joke on the shoulders of two giants, will it remain a joke?

Recently Elon Musk and Mark Cuban are simultaneously pushing Dogecoin as a payment tool, and the data from BitPay confirms their efforts

A joke on the shoulders of two giants, will it remain a joke?

Earlier today, Tesla CEO Elon Musk and Maverick owner Mark Cuban both replied to a tweet that was a video interview about Dogecoin, in which Bitpay CEO Stephen Pair explained Dogecoin’s recent performance as a payment tool, but the video’s hosts expressed doubts and ridicule about The host of the video expresses skepticism and derision towards Dogecoin. The account that published the tweet called it “a mockery of Doge’s distrust by inexperienced journalists”.

Recently Elon Musk and Mark Cuban have been simultaneously pushing Dogecoin as a payment tool, and BitPay’s numbers back up their efforts, with Bitpay CEO Stephen Pair saying in an interview with coindesk, “Dogecoin has been on Bitpay since the beginning of March. from the beginning of March when it went live on Bitpay to now, generating 13,000 transactions , an explosive growth that we didn’t anticipate.”

Throughout 2021, Dogecoin’s price rise has been accompanied by an equally outlandish increase in the volume of transactions on its blockchain. on May 5, DOGE daily trading volume peaked at nearly $82 billion, surpassing Bitcoin’s $35 billion and Ether’s $12 billion. To put this in perspective, Dogecoin was processing daily totals as low as $10 million in December 2020.

A joke on the shoulders of two giants, will it remain a joke?

The largest medium between Dogecoin and the physical world today is BitPay, a crypto payments company that aims to enable merchants to accept cryptocurrency payments, and according to data published on the site, Dogecoin is now its fourth most popular cryptocurrency payment (after Bitcoin, Bitcoin Cash and Ether) and has swelled to 12.6% of Bitpay’s transaction volume. Just two months ago, in March, DOGE transactions accounted for only 3.3% of total volume, while in April they rose to 7.8%.

There are already a number of well-known global companies using BitPay, including Microsoft, AT&T, Camping World and WeWork.

Elon Musk and Mark Cuban are two of Dogecoin’s most famous “Goliath” fans, and they have been spreading the word in public and on social media that the meme token is becoming a legitimate payment tool.

A joke on the shoulders of two giants, will it remain a joke?

Musk recently revealed on Twitter that he has been talking to the developers of Dogecoin, and Dogecoin developer Ross Nicoll has revealed to Decrypt that Musk’s goal is to make Dogecoin simple enough to use to buy a cup of coffee.

Meanwhile, Cuban said earlier this month at the Ethereal Virtual Summit that Dogecoin “is becoming more practical in terms of being used as a currency.” He added that there has been “a lot of talk with BitPay” and that the cryptocurrency payment provider is getting more providers to accept the currency. “There are more and more people who want to become retailers or merchants of Dogecoin.”

Bill Zielke, BitPay CMO, said, “Dogecoin could soon become a significant cryptocurrency for us. That’s because it’s really growing at a phenomenal rate. The fact that merchants are seeing thousands of Dogecoin transactions is proof enough that it has utility. It also has an advantage that bitcoin or ethereum don’t necessarily have right now. dogecoin’s transaction fees are low. When you combine a strong community with low fees, it has an unlimited future. I expect it to continue to grow and become more and more useful.”

A joke on the shoulders of two giants, will it remain a joke?

But before DOGE holders conclude that these big names are crazy about Dogecoin, BitPay still has two major issues to contend with. Every merchant that accesses BitPay is defaulted to accept all 11 cryptocurrencies supported by BitPay, which means many merchants that accept DOGE didn’t specifically choose to accept it; Zielke says most BitPay merchants still choose to convert their cryptocurrencies to fiat currency as soon as possible. ( BitPay sends them the fiat currency equivalent, mostly in U.S. dollars or euros, within one business day).

“These are big companies, and it’s normal that they choose to receive fiat currency instead of cryptocurrency,” Zielke said. “Most of them don’t want to hold an unstable asset on their balance sheet. Now, for smaller brands, especially those in areas where fiat currency may not necessarily be as stable, cryptocurrency is a popular choice.”

Despite these issues, Zielke said that after BitPay makes Cuban’s Mavericks the first to accept Dogecoin through BitPay, more BitPay merchants will be able to accept Dogecoin as well.

As of right now, BitPay hasn’t seen any company suddenly increase their cryptocurrency holdings.” I certainly hope that there has been a shift in that direction,” Zielke said, “but for now, it seems to be staying largely the same.”

Actually, the celebrity halo effect aside, Dogecoin’s daily trading volume was just $5 billion on Wednesday, down nearly 93 percent from its all-time high of $82 billion on May 5. This unusual rise and fall in trading volume is evidence that the market may truly be manipulated by whale users. Dogecoin still has a long way to go before it is truly accepted by people.

A joke on the shoulders of two giants, will it remain a joke?

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/a-joke-on-the-shoulders-of-two-giants-will-it-remain-a-joke/
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