Cryptomania: Dogecoin Creator Unloads on Meme Currency’s Success [VIDEO]
Someone sent me a bunch of Dogecoins once but I can't even find them anymore and now it's actually worth something. The “parody” coin based on the popular meme featuring a Shiba Inu, has surpassed a two billion-dollar market cap. No joke!
First created in 2014, the cryptocurrency was largely forgotten until it made a stunning return over the past few weeks, spiking by over 400 percent in value and rising to an all-new high of $0.01 per unit.
As reported by CNBC, the surge pushed the token's market value to $2 billion just days after breaking $1 billion. The coin’s creator, Jackson Palmer, sees the excessive valuation as indicative of underlying issues with crypto speculation.
Sounding more like a realist than a dreamer, Palmer warned that recent hype has turned the current market into a “bubble.”
https://www.facebook.com/DollarVigilante/videos/1860085250670563/
He sounded off:
“While it’s great to see mainstream enthusiasm for cryptocurrency, I think the high valuations and inflated market caps serve more to distract from the real goal of these projects than anything. The fact that most conversations happening in the media and between peers focus on the investment potential is worrying, as it draws attention away from the underlying technology and goals this movement was based. As a result, we’re seeing even highly centralized assets such as Ripple achieve extremely high valuations, despite their lack of technological innovation and misalignment with the original vision of Bitcoin.
I haven’t held a substantial amount of Dogecoin since early-2015 so the market cap doesn’t mean a lot to me – it does however act as my barometer for crypto mania and speculation. I have a lot of faith in the Dogecoin Core development team to keep the software stable and secure, but I think it says a lot about the state of cryptocurrency s pace in general that a currency with a dog on it hasn’t released a software update in over 2 years has a $1b+ market cap.
I think it’s relatively safe to label the current market as a ‘bubble’, although it’s hard to predict how much it’ll inflate and for how long before it inevitably bursts. My one hope is that when that does happen and people lose large sums of money, the negativity in the market doesn’t stifle technological innovation or interest in digital currency from the mainstream.”
While Palmer takes a conservative position on Dogecoin’s heightened valuation, other developers showed more enthusiasm.
“To me, this proves that we don't need shiny features or a ton of innovation and even with a conservative – and in my own case completely distracted – development team for a boom,” said developer Patrick Lodder, as quoted by Coindesk.
His views were supported by Max Keller, another Dogecoin developer. “It’s a little scary when you work on software that powers a billion dollar network,” he said. “This is quite the responsibility. And also one of the main reasons why we are so reluctant to just slap any ‘innovative' tech into the reference clients. Still, I am proud of what we achieved and thankful to be part of such a great community.”
Dogecoin's success has prompted antivirus pioneer and crypto-enthusiast John McAfee to declare the digital currency his “Coin of the Week.”
Coin Of The Week: pic.twitter.com/9KqCP5Af7r
— John McAfee (@officialmcafee) January 8, 2018
“The recent re-interest in DOGE has ignited a well deserved price hike that I believe will continue unabated,” wrote McAffee on Twitter.
Palmer felt the need to distance himself.
https://twitter.com/ummjackson/status/950395798004514816
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