The bursting of the bubble financed by social media ads created huge waves and volatility in the markets. Meta Platforms Inc is less valuable than Home Depot Inc, Snap Inc is less valuable than Deutsche Bank AG, which underwent an IPO, and Twitter is now owned by Elon Musk after nearly a year. A decade of accumulated decline in the stock market.
However, the disappointing spectacle of the Dogecoin cryptocurrency jumping 100 percent in one week in the hope of moving towards Twitter’s cryptocurrency indicates that we are far from a new decentralized model that can help humanity, according to Musk’s statements about his ambitions for the Twitter platform. » which he recently bought. And the new cryptocurrency got another boost (Tuesday) after Musk tweeted using the Shiba Inu symbol wearing a Twitter T-shirt.
Although the current price of Dogecoin is paltry compared to last year’s high when the pandemic frenzy peaked and Musk backed the coin, its theoretical market value of $15 billion shows that speculative habits are quite solid.
According to a recent statement, the narrative in crypto circles is that Musk’s previous support for Dogecoin would lead to the token’s integration with Twitter as a payment method. Additional impetus comes from the fact that cryptocurrency exchange Binance — which helped fund Musk’s acquisition — is assembling a team to look at “the ways in which blockchain and cryptocurrency can be beneficial to Twitter.”
It is not important that all this proposition is only theoretical at the moment, or that Dogecoin has glaring flaws that can only break out if it gains momentum. The policy of following the herd or dancing until the music stops based on the ups and downs of Dogecoin in earlier times is only a matter of time. One does not need to be a rocket scientist to realize that the rush to buy now is only about getting in and out at the right time, not collecting a stock of cryptocurrency to sell in the future. And we can see other cryptocurrencies waiting for what is happening from afar.
A general case to be made is that social media payments can be a benign thing for decimated tech stocks, as advertisers pull back and inflation occurs. If part of the problem with today’s ad-funded tech empires is that users and their data are the product, then paid form patterns might provide an alternative. And if, according to one report, rewarding users, sending payments to friends, or paying for verification supports content moderation strengthening of data privacy and a Twitter user boost, then it’s worth a try.
Despite Musk’s promises to improve the quality of human life, he has yet to say how or if he can drain the network’s swamp of cryptomarketing, hype and deception – which, along with inappropriate online content, has been a huge source of activism and movement. And despite the commitment to decentralization, there won’t be much to bother about putting together a digital wallet on Twitter.
Rather than Meta’s increasing attempts to jam crypto-fueled Web3 models in old social media cans, it points out that even billionaires are finding it hard to let go of antiquated business models. The Blue Sky Project, the co-founder of Twitter, has been in development for years. The social media contender, Mustdom, is more well-established, but has not yet ousted the incumbent companies, although its supporters include Dogecoin co-founder Jackson Palmer.
Judging by the damage crypto-infusion is causing, what is happening with Dogecoin is a frustrating sign of what will happen when Musk’s influence over the Internet moves to greater heights.
Without prejudging what happens via Twitter next, helping humanity seems like a distant dream.
* In agreement with Bloomberg