DOGE sends Robinhood Crashing, but Musk Will Send Crypto (Literally) to the Moon — Does That Mean You Should Invest?

  • Oops!
    Something went wrong.
    Please try again later.
·3 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
HANNIBAL HANSCHKE/POOL/EPA-EFE/Shutterstock / HANNIBAL HANSCHKE/POOL/EPA-EFE/Shutterstock
HANNIBAL HANSCHKE/POOL/EPA-EFE/Shutterstock / HANNIBAL HANSCHKE/POOL/EPA-EFE/Shutterstock

As was expected, Elon Musk pumped up Dogecoin during his “Saturday Night Live” appearance, but the crypto tumbled. Investors rushed to trade, once again triggering Robinhood to crash temporarily.

See: Dogecoin’s Major Price Increase — Is It Still Worth an Investment?
Find: 10 Best Cryptocurrencies To Invest in for 2021

“Crypto trading is back up and running. Due to high trading volume and volatility, some customers might see some intermittent issues. We’re working hard to provide a smooth experience, and will monitor the situation closely,” Robinhood tweeted at 12:52 a.m. Sunday, adding shortly later, “Our team is looking into who may have been impacted by our downtime tonight, and will be reaching out to affected customers.”

The crash brought the ire of many traders on Twitter, who threatened to “leave the app.”

Doge was trading at a record $0.70 Saturday, plummeting to $0.42, according to CoinMarketCap data. It also reached $65 billion in market cap, according to Coinbase. This morning, Doge was at $0.49.

See: Dogecoin Exceeds $11 Billion Market Cap as Coinbase Launches IPO
Find: Hedge Fund Manager Warns: Beware the Meme Stock

Dogecoin was created as a joke — its name is a reference to a popular internet meme, according to Coinbase. “It shares many features with Litecoin. However, unlike Litecoin, there is no no limit on the number of Dogecoins that can be produced.”

While it has gained incredible traction lately as well as celebrity endorsements, including Mark Cuban and Snoop Dog, just like any other crypto, it’s extremely volatile. If you’re planning on investing in it, you should be ready to stomach wild swings. In addition, it doesn’t have the important supply and demand factor embedded in Bitcoin, the supply of which is capped 21 million. Dogecoin has 129.5 billion tokens in circulation and has no hard cap on the number of coins that can be produced. That said, investors who invested $100 in January, for example, made a lot of money as Doge shot up 13,000% this year, .

People are already looking for the next crypto that could produce similar results, and many are turning their eyes toward Safemoon, for example, whose price today is at $0.000007, and hence has plenty of room to grow.

See: 10 Cheap Cryptocurrencies to Check Out
Find:
What Are Altcoins — and Are the Potential Rewards Worth the Risks?

As for Tesla and SpaceX CEO Musk, aka Technoking, yesterday he announced the launch of the “DOGE-1 Mission to the Moon” in the first quarter of 2022, with the company accepting the meme-inspired cryptocurrency as payment, according to a tweet.

“Mission paid for in Doge – 1st crypto in space – 1st meme in space. To the mooooonnn!!” Musk tweeted.

Geometric Energy Corporation, an intellectual property, manufacturing and logistics firm, said in a statement that “having officially transacted with DOGE for a deal of this magnitude, Geometric Energy Corporation and SpaceX have solidified DOGE as a unit of account for lunar business in the space sector.”

See: Coinbase, the Largest US Cryptocurrency Exchange, Goes Public – ‘It Will Infect the Financial Universe with a Bad Case of FOMO’
Find: Numbers Behind the Modern-Day Space Race — Why Billionaires Are Obsessed With Going to Space and How Much They’re Spending

“This mission will demonstrate the application of cryptocurrency beyond Earth orbit and set the foundation for interplanetary commerce,” SpaceX Vice President of Commercial Sales Tom Ochinero said in the statement. “We’re excited to launch DOGE-1 to the Moon!”

The company further explained that through this transaction, “DOGE has proven to be a fast, reliable, and cryptographically secure digital currency that operates when traditional banks cannot and is sophisticated enough to finance a commercial Moon mission in full. It has been chosen as the unit of account for all lunar business between SpaceX and Geometric Energy Corporation and sets precedent for future missions to the Moon and Mars.”

More From GOBankingRates

This article originally appeared on GOBankingRates.com: DOGE sends Robinhood Crashing, but Musk Will Send Crypto (Literally) to the Moon — Does That Mean You Should Invest?