One of the hot topics in 2021 is the value of the dollar as a currency, which may have weakened as global inflation soared, something Elon Musk seems to agree with.
With the effects of inflation, the population’s purchasing power is sharply diminishing in many countries. In Brazil, for example, official inflation measured by the IPCA has already reached 10.67% in the last 12 months.
In the United States, the inflation rate reached in October 2021, according to data from Statista. This inflationary phenomenon is caused by the immense impression of money made by central banks on the economy.
In this way, the value of the currency in abundance in the markets loses strength in relation to various assets. In the midst of this situation, the value of Bitcoin, for example, has soared in the market, with people believing that the Dollar could collapse under the monetary policies imposed on it.
It’s worth remembering that, in relation to the Dollar, Elon Musk is the richest man in the world, but it seems that even he doesn’t believe in the system that keeps his fortune.
Dogecoin co-creator says that Dollar lost strength and Elon Musk highlights publication
In the cryptocurrency market, the sale of Dogecoin in the futures (shorts) market reached the highest rate in history. In other words, many investors expect the meme currency rate against the Dollar to continue falling in the coming months.
Thus, a Twitter profile took the opportunity to highlight that Dogecoin has many coins created annually, at a rate of 5 billion DOGE new each year. This makes, in the view of Joanna, Dogecoin a useless coin.
Seeing the attack on the cryptocurrency meme, the community went on to attack the dollar value, which has also been printed at a large rate in recent months. With the Fed, the monetary expansion process was implemented in the United States and thousands of new dollars arrived in the world.
Thus, the co-creator of Dogecoin said that if the cryptocurrency has no value for issuing new currencies, so does the Dollar, which also has no use.
Seeing the comment, Elon Musk highlighted the comment by Billy Markus, using for that the figure of two fire emojis.
— Elon Musk (@elonmusk) November 25, 2021
It is worth remembering that recently, Elon Musk declared that the US government prints Dollars whenever they want. This process damages society, with inflation being one of the effects.
It is important to understand that in Dogecoin’s case, coin printing is already defined in the protocol and is known by the market. In the case of the Dollar, who controls when and how currencies will be created is the central bank of the United States.