Elon Musk says Dogecoin is better than Bitcoin at processing many transactions

The world's richest man and CEO of Tesla, Elon Musk, is a well-known supporter of Dogecoin, in recent times conversation on the Full Send Podcast, he said that the Dogecoin blockchain has a much larger transaction capacity than Bitcoin.

He also pointed out that DOGE can currently be used not only to buy goods from Tesla and SpaceX, but also as a means of payment for other large companies, such as his The Boring Company, which offers subway services in Las Vegas.

Dogecoin 1 - Bitcoin 0

Musk explained that Dogecoin transactions are completed in 60 seconds, while BTC transactions take around 10 minutes. This is enough for Musk to consider memecoin as a better payment system. The fact that it has a cheerful community seems to help, too:

“Honestly, I support Doge because I think Doge has memes and dogs and seems to have a sense of humor and doesn't take himself too seriously. I think it's actually weird, even though Doge was designed to look like this funny currency, the actual overall transaction throughput of Doge is much higher than Bitcoin.”

He further pointed out that Dogecoin's inflation factor, which allows for the creation of 5 billion coins per year, may be better in the long run for establishing its use as a transaction currency, which is a far cry from Bitcoin and its maximum supply of 21 million BTC.

"The fact that five billion dollars are created every year is actually good for use as a transactional currency."

One of the disadvantages of deflation is that it encourages accumulation as the real value of the currency increases over time. This problem could affect the Bitcoin economy in the future, considering that according to studies conducted by the University of San Diego and George Mason University, more than 60 % of all BTC mined since 2018 has not moved.

Musk and crypto scams

Another problem the billionaire talked about is the growing number of scams surrounding cryptocurrencies. He warned that his Twitter account was "targeted by many scammers" due to his high interaction with his followers.

Elon Musk's influence on the crypto community is more than proven - scientifically proven in fact. Studies Dr. Lennart Anteho revealed to Blockchain Research Lab that the “Musk effect” is real. Every time Elon Musk tweets about Dogecoin, it tends to pump up the cryptocurrency's prices almost immediately.

He also clarified that it has nothing to do with other meme coins like “Elon” and other Elon-themed cryptocurrencies, from Dogelon Mars to more creative names.

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All content in this article is for informational purposes only and does not in any way serve as investment advice. Investing in cryptocurrencies, commodities and stocks is very risky and can lead to capital losses.