The CEO of Ripple, the firm that created the XRP cryptocurrency, is not a fan of Dogecoin, meme-based digital money (DOGE).
Because of its supposed “inflationary dynamics” and infinite supply, Brad Garlinghouse believes DOGE is bad for the cryptocurrency market.
“I’m not persuaded that Dogecoin is helpful for the crypto sector, which is quite contentious”. “I would be hesitant to retain Dogecoin because of its inflationary features,” the Ripple CEO added.
Dogecoin, unlike some other popular cryptocurrencies like Bitcoin, has no hard limit on the total amount of coins in circulation, according to Garlinghouse.
“It started off as a joke, but it gained traction because to high-profile individuals like Elon Musk,” Garlinghouse explained.
Despite his reservations about DOGE, Garlinghouse remains bullish on the cryptocurrency sector as a whole.
DOGE excelled in 2021
Dogecoin is a cryptocurrency based on the Shiba Inu meme, which was first introduced in 2013 as a joke. The digital currency began with a 100-billion-coin production cap, which it reached in mid-2015. Since then, Dogecoin’s production has been unbounded. With a reward limit of 10,000 DOGE every block to keep inflation in check.
DOGE has become one of the most successful cryptocurrencies in 2021. Having just entered the top ten most valuable cryptocurrencies by market capitalization. DOGE is currently the tenth most valuable digital currency, selling at $0.22, up over 6,000% in the last year.
Much of Dogecoin’s growth has reportedly been a result of the support of Elon Musk, the CEO of Tesla, who began actively supporting DOGE on Twitter in 2020.
Musk has been tweeting a lot about DOGE recently, and on Monday he addressed the exchange’s CEO, Changpeng Zhao, personally about Dogecoin’s withdrawal troubles on Binance. A “technical fault during the recent upgrade process caused outdated transactions to be resent to 1,674 users”, according to Binance, is to blame for the current problem.
Despite attempting the exchange at one time, the CEO claimed he doesn’t use Binance. Because “sign-up was too many hoops to go through”.