At this point in time, to invest in any cryptocurrency is to bet on its future. We know that even if some cryptocurrency is unable to give us hefty gains in a short period of time, it will be able to do that in the longer run. So, if some coin doesn’t have a secure future ahead, there is a high risk of buying into that. One such cryptocurrency is Dogecoin which retailers might lose interest in due to the lack of institutional investment, says Mike Novogratz.
Could retailers really lose interest in Dogecoin?
So, that you guys know Michael Novogratz is not someone who hates crypto. He is the CEO of Galaxy Digital Holdings, who, in a recent discussion with Goldman Sachs, put his view forward. Michael was asked about his views on meme coins and especially Dogecoin. To this, he said Dogecoin is much more speculative than Bitcoin, and retailers “will” lose interest in it. To a degree, it makes sense, because after all, jokes lose their spark with time. And Dogecoin is nothing but a big joke that is worth a lot of money.
Michael also compared the rise of Dogecoin with Gamestop, saying that there is a short-term potential in the coin. But in the long run, there is nothing about Dogecoin that will make it retail its value. He also said that most Dogecoin investors are young community and new driven individuals who were also the guys behind GME. The government printing a lot of money also had a very deep impact on cryptocurrencies, according to Michael. It has led to values being spread in different places. At this point, only Elon Musk and Mark Cuban are two big names that have notably shown their support for the cryptocurrency. Other than that it is only retail investors.
Bitcoin is the king and isn’t as speculative.
After Novogratz completed talking about Dogecoin, he also gave his opinion on Bitcoin. He said that Bitcoin is one of the fastest-built brands ever. It has been recognized and believed in by several people as a great store of value. Even banks have ETFs lined up under the SEC for the same. On the other hand, we have companies that are adding Bitcoin support to their wallets. Take Apple as an example; a few years back, it banned crypto wallets for its app store, and now it’s integrating Bitcoin in Apple pay.
There are many real use cases of Bitcoin, and it has the three most necessary things for surviving in the long run. The first is an institutional investment, the second is a blockchain development community, and the third is real use cases that solve some problem. And most meme coins lack these things.
What are your thoughts on Mike’s statement? And do you think that Dogecoin can really lose its spark? Let us know in the comments below. Also, if you found our content informative do like and share it with your friends.