Jim Cramer, host of CNBC’s Mad Money, has Twitter for a rather controversial position. He say,
“Be careful with Dogecoin… It is a security. It will be specified. We will find out how much and how much is generated every day to make money for exchanges. ”
It wouldn’t be wrong to say that Cramer opened a box for review, with SEC chairman Gensler monitoring the field closely to identify “unregistered securities.”
Previously, Representative Tom Emmer had argued that Gary Gensler “believes that almost all tokens are security,” adding that he “firmly disagrees” with the chairman’s argument. Senator Cynthia Lummis, in a interview to CNBC, also previously commented that except Bitcoin, all other crypto assets “look more like a security.” She argues based on the fact that other crypto assets are not as decentralized as Bitcoin and that their founders have kept a large portion of the product to “themselves”.
When it comes to DOGE, it was argued last year that over 65% of Dogecoin was distributed among only 98 wallets. Where the largest wallet holds 28% of all Dogecoins in circulation. Essentially, it can be inferred from the tweet that the meme coin could be called a “pump and sell” token, not a “decentralized” token.
Why can’t I join? $ DOGE and there will never be any profit problems. https://t.co/jFVU2yQf03
– CubeHands (⬡, ⬡) (@NFTiepie) April 19, 2021
However, shortly after the post, DOGE founder Billy Markus took to Twitter to explain to Cramer “how blockchain works”.
He Discuss,
“In terms of “security”, it is a cryptographic proof of work, so you have to make an effort to get the coins from the block, it does not qualify according to the world test.”
Further explain that DOGE works like Bitcoin and has “99.5%” of BTC-like tokens built. Meanwhile, Dogecoin investor Matt Wallace “guarantees” that Cramer tweeting about DOGE will have a positive impact on the token’s price.
Having said that, Elon Musk recently tweeted an ‘interstellar’ meme that allegedly drove up the DOGE price. And, not to mention the fact that Tesla also allows its sales Purchase in exchange for DOGE this month.
– Elon Musk (@elonmusk) January 20, 2022
Disappointing numbers
However, at the time of writing, the coin meme has dropped by almost 8% in the past 24 hours. DOGE recorded a 12% price drop over the past week amid weaker markets.
But in the longer term, the recent listing of THORChain liquidity network could play a role in DOGE’s price action.
Welcome to DeFi, $ DOGE!
Local person $ DOGE swimming pool is currently active.
Users can now deposit, trade and earn $ DOGE on their $ DOGE.
Liquidity will increase significantly during the whole week. pic.twitter.com/nyIXsgkTHp
– THORChain #DOGEFI (@THORChain) January 17, 2022
In a Twitter post, the cross-chain network announced that they are enabling DOGE support. This essentially means that new decentralized finance (DeFi) capabilities will now be enabled on the coin.