Discover more from Risky Reads
Why 𝕏 Is Ready for Ð
Read why the creator's economy needs the people's crypto
As Twitter rebrands to 𝕏, the platform is entering a new phase of its evolution as the ultimate digital creator’s economy.
Every economy is composed to two parts: valuable goods/services, and a form of money to facilitate transactions.
Right now, people still use US dollars to buy and sell on 𝕏. But that could be changing soon.
Let’s take a look at why 𝕏 is ready for Ð.
Last week, Elon set the crypto world abuzz by changing his profile location to 𝕏Ð.
The change, which is still up as of today, suggests a connection between the newly branded platform and digital dog money.
But what is it? Over the past week, a few clues emerged.
On Wednesday, a feisty exchange between three crypto power players revealed an avenue for Doge adoption on 𝕏.
It started when Coinbase founder Brian Armstrong made a post arguing that crypto can gain global acceptance by making payments faster (under one second) and cheaper (less than once cent per transaction):
Twitter founder Jack Dorsey responded by urging more attention to Bitcoin, especially the Lightning Network, a protocol that makes Bitcoin faster and cheaper to spend.
A few years ago, Jack integrated the Lightning Network directly into Twitter.
The problem was that no one used it. Elon discontinued Lightning after he took over last year.
A big reason Lightning never took off is that Bitcoiners don’t like to spend Bitcoin.
Most “orange-pilled” devotees follow a philosophy of accumulating as much Bitcoin as possible, with a plan to build generational wealth by holding for decades
There’s strong justification for this: even a few bucks of Bitcoin purchased a decade ago could be worth hundreds of thousands today. Folks have learned the hard way that it’s rarely a good move to part with Bitcoin.
In response to Jack, the popular Dogecoin account Doge Whisperer pointed out this dynamic, writing, “Bitcoin is a store of value, a hedge against inflation and creates generational wealth. People hold and not spend no?”
Elon highlighted the post.
Bitcoin hoarding has created an interesting conundrum for crypto: to go mainstream, it has to achieve wide recognition as money.
But the most succesful cryptocurrency (Bitcoin) is built to encourage hoarding instead of spending, which prevents it from circulating widely and achieving mainstream adoption.
Fortunately, there is a solution to this problem: Dogecoin.
A number of factors make Doge the best crypto to reach broad use as digital cash.
First, Dogecoin is faster than Bitcoin, with lower fees.
Equally important, there’s no hard supply cap on Dogecoin, so it’s not guaranteed to rise in value like Bitcoin.
This encourages people to spend Doge. Somewhat counterintuitively, spending increases adoption and value.
On Thursday, Elon brought attention to a 2021 interview he did with Time Magazine.
In the clip he argues that Dogecoin is better suited as a transactional currency than Bitcoin because the Doge blockchain is built to process more transactions per day.
Before Doge goes mainstream as IRL digital money, it will have to grow its adoption online. And on Internet, nowhere is more crypto-literate than 𝕏.
𝕏 is tracking to become the premier digital marketplace for everything. Here’s a list of a few things ways Doge could integrate with 𝕏.
Tips for great posts and memes
Paywalled posts, videos, and articles
Merchandise (𝕏 merch?)
All purpose creator storefront comparable to Amazon/Shopify
It’s anyone’s guess which of these comes first.
Speculation reached a fever pitch over the weekend when Elon posted, “Something special coming soon”, causing Doge’s price to surge.
Dogecoin creator Billy Markus weighed in, saying he hopes 𝕏 integrates Dogecoin tipping.
Tips would be a great place to start because they’d provide another avenue for 𝕏 creators to make money by posting.
Currently, the latest way to earn a living on 𝕏 is through ad revenue sharing.
However, the program has a high bar for eligibility: accounts need to get 15 million impressions in three months before receiving their first check, meaning smaller accounts can’t participate no matter how brilliant their posts.
Dogecoin tips would provide a more authentic metric for user engagement than views/impressions, and could be used to refine the 𝕏 algorithm so the best ideas rise to the top. A single mega-viral meme, video, thread, or joke could earn someone thousands of dollars in tips from a worldwide audience.
In this light, tipping seems like the fastest way to democratize the creator’s economy.
Cryptocurrency will achieve mainstream adoption when it’s used for millions of small purchases on the Internet.
Of all cryptos, Dogecoin is best poised to capture this use case. It’s faster and cheaper than Bitcoin, and its issuance schedule encourages spending over hoarding.
Every economy is made of two parts: valuable goods/services, and a widely recognized form of money to facilitate sales.
Since Elon took over 𝕏, he’s taken steps to build a creator’s economy so that people can sell their goods and services on the platform.
The money piece comes next: 𝕏 is ready for Ð.
Dogey Treats: News Bites
Ad revenue sharing on X went live for creators globally.
The SEC reportedly told Coinbase that every cryptocurrency other than Bitcoin is a security and needed to be de-listed. To its credit, Coinbase did not comply.
Entrepreneur Alex Becker wrote, “Just buy doge.”
CoinDesk published a speculative op-ed titled, “Aliens Exist. And They Use Cryptocurrency.”
Thanks for reading! Consider sending a tip or Subscribing on 𝕏 to help keep the newsletter going!
Memes of the Week
It’s ALL Risky!
Thank you, kind reader, for reading and subscribing to this newsletter. I really appreciate it!
If you haven’t already, please sign up to this email newsletter for more weekly articles like this one. Also, please share it with a friend or on 𝕏 if you enjoyed this article.
What do you think? How will X integrate Dogecoin first? Let me know!
Remember, Dogecoin is risky. But then again, it’s all risky!
Follow on 𝕏 at @itsALLrisky
Send an email to itsALLrisky@gmail.com
Send a Doge tip: DJ2zTEdHBD3guHLfVaNBaypr6bHFG5Nwfw
This article was written in collaboration with @CryptoDogDivine, give them a follow!
Don't forget to subscribe to this newsletter!
Disclaimer: This is not financial advice and I am not a financial advisor. The article above references an opinion for entertainment purposes only and it is not investment advice. Always assume that the author of the article is actively trading and that the opinions expressed may be biased towards the author’s holdings. Do your own research and consult with a licensed financial adviser before making any investment decision. Do not treat any opinion expressed in this newsletter as a specific inducement to make a particular investment. Content, news, research, tools, and securities symbols are for educational and illustrative purposes only and do not imply a recommendation or solicitation to buy or sell a particular security or cryptocurrency or to engage in any particular investment strategy. The information provided is not warranted as to completeness or accuracy and is subject to change without notice. The projections or other information regarding the likelihood of various investment outcomes are hypothetical in nature, are not guaranteed for accuracy or completeness, do not reflect actual investment results and are not guarantees of future results. All investments involve risk, losses may exceed the principal invested, and the past performance of a security, industry, sector, market, cryptocurrency, or financial product does not guarantee future results or returns. Dogecoin is a speculative and highly volatile asset susceptible to pump-and-dump schemes.
At the time of publication, Dogecoin is around $0.08 per coin.