Tesla’s CEO Elon Musk believes transactions costs and speeds using bitcoin and ether are expensive and slow at the base layer. Instead, he indicated that the meme coin that started as a joke – Dogecoin – could serve as a solution as it minimizes the fees.
The popular cryptocurrency YouTuber Matt Wallace, lately focusing on DOGE news, took it to Twitter earlier on July 9th to remind that “the Dogecoin update is coming soon.”
According to him, the upcoming upgrade will position the Shiba Inu-inspired coin as “one of the most used currencies in the world.”
Interestingly, the CEO of Tesla, SpaceX, and The Boring Company – Elon Musk – was quick to respond, and he actually supported Wallace’s standpoint.
The billionaire suggested that people could indeed turn to utilize DOGE for faster payments with lower costs. As such, there’s “merit” to maximizing the base layer transaction rate of the meme coin.
At the same time, Musk took the opportunity to bash BTC and ETH for slow and expensive transactions at the base layer, especially as both are still “pursing” multilayer solutions.
BTC & ETH are pursuing a multilayer transaction system, but base layer transaction rate is slow & transaction cost is high.
There is merit imo to Doge maximizing base layer transaction rate & minimizing transaction cost with exchanges acting as the de facto secondary layer.
— Elon Musk (@elonmusk) July 9, 2021
With this stance, Musk has reaffirmed once again his support for Dogecoin. As previously reported, the billionaire intensified its engagements with the meme coin this year, which led to a snowball effect that enhanced mass adoption and pushed the asset’s price to new highs a few months ago.
However, the interest in DOGE has been declining lately, and its price has crumbled more than 70% since the peak. Some desperate investors begged Musk to intervene again, hoping for quick price upticks, which has not been the case lately.