Dogecoin, Elon Musk – and the latest Reddit mania

.ed Rawson came to the inevitable conclusion. “I’m pretty sure it’s the biggest accumulation of wealth in my family back 500 years back in my family tree,” Rawson, 38, states. “My father was a teacher, I am one of seven children. And if you go back 500 years, they are all sock knitters and coal miners in England. “It speaks with one eye to the rise in the price of Dogecoin – approaching a total market capitalization of about $ 50 billion, more than six times in two weeks – and another on R / Dogecoin, Reddit community dedicated to this latest fad in cryptocurrency.

Rawson became a star on R / Dogecoin, where he publishes daily screenshots of his brokerage account Robinhood. On Monday, was well over $ 700,000, about 1.7 million Dogecoins. “A guy on Reddit called me DFV Dogecoin today,” he says proudly. Alludes, elliptically, to redditus known as Deep F-king Value, or DFV, which helped launch a multi-month series of GameStop stocks. “I rode on this wave and it was pretty wild,” says Rawson, who in his spare time outside of Dogecoin runs his e-commerce consulting in San Diego.

Wild can be something of an understatement. Dogecoin is today the sixth most valuable cryptocurrency, the highest value for what was originally conceived eight years ago as the target of a joke about monetary value and the Internet, his mascot Shiba Inu, an often remembered breed of dog. The price of the token rose from about 6 cents two weeks ago to over 40 cents, and the low price per coin has certainly contributed to its rise, allowing investors who may not be able to afford more expensive cryptos like Bitcoin or Ether to buy Dogecoins. Buying dogecoin bets is that they could become a permanent currency – and an unquestionable cube given the frequent fluctuations in crypto values, including leading Bitcoin in the industry.

As more and more people bet on Dogecoin, R / Dogecoin is also gaining popularity, and the Reddit forum has emerged as the latest virtual epicenter of financial mania. It now has over 1.5 million members, an increase of 25% in about a week, and is increasingly similar to R / WallStreetBets, a group on Reddit that played such active role in the GameStop mania in late January.

Back then, it was hard to know exactly how much GameStop trades with R / WallStreetBets. And it’s almost impossible to pinpoint exactly which Dogecoin stores originate from R / Dogecoin, as these are mostly anonymous social media users who buy and sell digital tokens designed to obscure the identity of their owners.

Despite this, Reddit communities and resources seem to be interconnected – self-information feedback loops. As Dogecoin prices rise, this provokes growing conversations and interest on the Reddit forum, encouraging more investment in crypto … which then helps to further increase prices, repeating the cycle.

“It has to happen – at least to some extent,” said Tanner Sims, a 22-year-old member of R / Dogecoin. “A lot of people find out about Dogecoin there, and there’s everyone together.”

Like many on R / Dogecoin, The Sims is a relative novelty in the group that exists as long as the currency revolves around it. He found it back in July while researching potential crypto investments – Sims is helping run his family’s hotel near Big Sur, California, and plans to return to school and study finance at Texas Tech in the fall.

For the start of last summer, “I had $ 20 to spare,” he says, “so I put it in,” buying about 500 Dogecoins. “I started watching more Reddit and what people think. Then I put in a large part of my salary over the last few months. “Like many on R / Dogecoin, he had an unshakable conviction. ‘I knew he would climb someday.’

Sims and the rest of R / Dogecoin spent a lot of time thinking about Elon Musk and discussing him. The second richest person in the world has tweeted positively about Dogecoin nearly a dozen times in the last four months and expressed support for it, saying in a new Club chat audio chat app: “Dogecoin was made in jest to make fun of cryptocurrencies, but fate loves irony. The most ironic outcome would be for Dogecoin to become the currency of the Earth in the future. “R / Dogecoin realized that Musk’s interest was the highest possible form of validation. Elon Musk’s support was a huge thing,” says Sim, whose stake in Dogecoin is about $ 16,000. “It gave me a lot of confidence.”

When not talking about Musk, the Reddit community is, not surprisingly, prone to being obsessed with the latest price rises and speculating about where the coin might bring the top. His recent 42-cent level drew thunderous applause on the bulletin board, in part because someone drew a reference to Douglas Adams Hitchhiking guide to the galaxy, a sci-fi series that says 42 is the answer to everything in space. Partly because the Redditors have already declared April 20 – or 4-20 Doge’s Day, an attempt to co-opt a long-running subversive holiday dedicated to the culture of marijuana and weeds, which, like cryptocurrency, has been hated by the main culture for many years.

One of the most popular posts in the past month garnered 23,300 “votes for,” which is the Reddit equivalent of Facebook likes, thanks to a personal short story and accompanying GIF meme. They were handwork Toben Blalock, 48, of Tulsa, Oklahoma, who used another Reddit forum six years ago to trade his Xbox for 1.15 million Dogecoins and currently has close to $ 200,000 in tokens after actively trading them since 2015. His story in the post and included a bit of self-deprecating humor: an animated video clip of a dog in an astronaut suit floating around a space station, the words “I have no idea what I’m doing” under a weightless canine.

These days Blalock worries too much on R / Dogecoin they really have no idea what they’re doing as they pile into a crypto with digitally affected euphoria. “Those coins are a great thing to play with,” he says. “But many people are investing their life savings. And I think that’s a terrible idea right now. “

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