Billionaire Elon Musk, who was named as Time magazine’s Person of the Year for 2021, said cryptocurrency Dogecoin is better for transactions as compared to Bitcoin.
Musk, known for his cryptocurrency endorsements, had in October, reiterated his holdings which are limited to Bitcoin, Ethereum and Dogecoin. He closely watches the cryptocurrency space and tweets his observations regularly.
In an interview with Time, the Tesla and SpaceX chief said when it comes to transactions per day, Dogecoin is a better currency.
“The transaction value of Bitcoin is low and the cost per transaction is high. At least at a space level, it is suitable as a store of value. But fundamentally, Bitcoin is not a good substitute for transactional currency,” Elon Musk told the magazine.
“Even though it was created as a silly joke, Dogecoin is better suited for transactions. The total transaction flow that you do with Dogecoin is… transactions per day has much higher potential than Bitcoin.”
The entrepreneur, who overtook Amazon founder Jeff Bezos this year to become the world's wealthiest person, said while Dogecoin could be inflationary, at least it is a fixed number as opposed to Bitcoin. “And that’s actually good because it encourages people to spend, rather than sort of hoard as a store of value,” he said.
Naming Musk as its person of the year, Time cited his embodiment of the technological shifts but also troubling trends reshaping people's lives.
"Musk's rise coincides with broader trends of which he and his fellow technology magnates are part cause and part effect," Time editor-in-chief Edward Felsenthal wrote.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
