That's a good doge-y!

I think the short term gains have a very real chance at making some people very wealthy, but overall I agree with Robbie and the article that aircooled posted. 

I can't figure out what service or product this is providing. Sure, blockchain technology, but I don't see that being adopted from Dogecoin or similar coins - the banks and major companies that would use it, I would think, would be developing their own behind closed doors. 

So I'm back to... why? Or what? And the only thing I can come up with is illicit transactions. Even if Elon starts accepting it as payment for a Model 3 - and as a TSLA investor, I'd be super nervous about that as the value could drop in a single day, what does that mean for supposed cash flow? - it really isn't any better than Venmo or an EFT or wire, or using a credit card. 

I don't see the value, long term. Short term, some crazy money to be made. 

It's the ultimate in fiat currency.  And so it has the ultimate volatility of fiat currency.

Robbie (Forum Supporter) said:

Here's what I'm so confused about ideologically with ANY alternate "money".....

Yeah, currency and money alone are very strange and tenuous from a realistic perspective, and it's probably a very good thing that the vast majority of people do not realize this.

It a rather complex area, that I will not pretend to understand fully.  One note you did make about the US dollar though:  it is generally considered the most "standard" currency in the world because it is the most stable and least manipulated.  It certainly isn't perfect (e.g. the US printing more), but I think the best way to look at it is it way better than most alternatives (e.g. yuan).  When you think about the concerns with countries currencies, then you look at crypto currencies, the level of "what?" is at a whole new extreme.

The only "real" use for crypto currencies beyond standard currency is the security / anonymity, which of course can be a very bad thing also. Having a way to completely anonymously pay someone creates a HUGE service for illegal activities (e.g. ransom attacks on computer systems).  You want to make a crypto currency that will really take off?  Figure out one that is optimized for drug and gun trafficking (heck throw in human trafficking)... you will make a killing...  Or figure out which one they will eventually start using (and you know they will), that one will take off at some point.

Will it go to 69 cents today??

Elon really should've taken tesla private at $420/share... (it's about 10x that right now, lol)

1 person (.0000382%) owns more than 28% of all Dogecoin.

10 people (0.000382%) own nearly 46% of all Dogecoin.

100 people (0.00382%) own nearly 67% (more than 2/3) of all Dogecoin.

98.88% own just 5.77% of all Dogecoin

That's an awful lot of market control in extremely few hands.

bgkast said:

Will it go to 69 cents today??

Doesn't look like it- it's down to just over $0.30.  

And when I look at the massive number of crypto currencies- how could you tell which one will have value in the future as something useful?  If I count them right, there are 45 of them.

If one is going to be of any real value, traded for actual items, like a dollar- one needs to stand out.  And there must be some real good technical and economical reasons that one of these become useful.  To me, the smaller number of Bitcoins seems to make it not a realistic way to trade value- too few to have a small enough value for trade.

Driven5 said:

1 person (.0000382%) owns more than 28% of all Dogecoin....

I have heard that one person (or a few people) also holds a very large percentage of Bitcoin.

In reply to aircooled :

No individual owns more than 1% of Bitcoin.

2 people own just over 1.5% of Bitcoin

87 people own nearly 14% of Bitcoin

2247 people own nearly 42% of Bitcoin

Dogeday in a single meme:

mtn said:

So I'm back to... why? Or what? And the only thing I can come up with is illicit transactions. Even if Elon starts accepting it as payment for a Model 3 - and as a TSLA investor, I'd be super nervous about that as the value could drop in a single day, what does that mean for supposed cash flow? - it really isn't any better than Venmo or an EFT or wire, or using a credit card. 

These might be useful for international money transfers as well; these typically end up with a lot of fees with normal payment methods.

But I find it pretty telling if Elon is hyping these but you can't buy a Tesla with them. That's probably a good reflection of how well he actually believes they work as currency.

MadScientistMatt said:

mtn said:

So I'm back to... why? Or what? And the only thing I can come up with is illicit transactions. Even if Elon starts accepting it as payment for a Model 3 - and as a TSLA investor, I'd be super nervous about that as the value could drop in a single day, what does that mean for supposed cash flow? - it really isn't any better than Venmo or an EFT or wire, or using a credit card. 

These might be useful for international money transfers as well; these typically end up with a lot of fees with normal payment methods.

But I find it pretty telling if Elon is hyping these but you can't buy a Tesla with them. That's probably a good reflection of how well he actually believes they work as currency.

FX fees aren't bad enough that I'd take the risk in something with this much volitility, especially when you consider the transaction fees within crypto itself.

As for Elon not accepting them... Is he planning on it?

Dog money

Doge is at 53 cents currently.  Pretty wild. 

I think it'll hit $1.00.  I will be pleasantly surprised if it maintains that price, but I do think it'll hit it.

So SNL has Elon hosting this weekend.  As a result Doge is going up stupid fast.

Currently at 67 cents.  I fully expect it to be at 75 by tomorrow noon.

I really need to look at the pros and cons of selling at $0.95 or so and buying back in after the inevitable dip. 

In reply to Mr_Asa :

Pros: make some decent money

Cons: short term gains tax

Wait for it... wait for it... (and crash!)

fake money, in a fake reality, with fake statistics. the fleeting desires of man are only as real as the thoughts in his head. 

bgkast said:

In reply to Mr_Asa :

Pros: make some decent money

Cons: short term gains tax

Are cryptos covered under Capital Gains?

In reply to Mr_Asa :

Unfortunately

In reply to bgkast :

Boooooooo.  Stupid laws.

In reply to Mr_Asa :

Why is paying tax a bad thing?

It means you made money. 

I started a thread about investing in cryptos in 2017. It became a pretty long thread. 
 

The gist of it was very similar to this thread- it's all voodoo.  I didn't buy any. 
 

At that time BitCoin was $16,500. It seemed completely insane.
 

Today, it's $55,779. 

Like I said... I didn't buy any. 

Buying dogecoin is pretty much exactly the same thing as buying gold shovels on FarmVille. Its a joke. There is nothing real there. 
 

But people do spend real money on gold shovels. So why not. 
 

Elon pushes it because he loves the joke, and thinks it would be a riot if a joke crypto became semi-legit. But he won't let you by a Tesla with it, because he understands the joke. 
 

Elon can afford to make a joke out of your money. 

bgkast said:

In reply to Mr_Asa :

Unfortunately

So if you use Bitcoin to buy your new Tesla do you pay capital gains on the Bitcoin "sold" when paying Tesla  and sales tax on the vehicle?

Seems like an expensive transaction if that's the case. 

In reply to No Time :

Why is that worse than buying a car with after tax dollars?

You pay income tax on the dollars earned, then pay sales tax on the car purchased with after tax dollars.