The founder of Cardano, Charles Hoskinson, said that DOGE is not a sustainable coin. According to Hoskinson, Dogecoin could end up a systematic and “catastrophic failure” that will negatively affect investors. Hoskinson said that the catastrophic event could “destroy the reputation” of the digital asset industry.
The founder said in a statement:
“When someone buys DOGE, if you look at the commentary of the community, 99% is, ‘We’re going to get rich.” The only way you get rich with DOGE is if you take your Dogecoin and sell it to someone else. So that other person, you have to ask – why are they buying it? Are they purchasing that because they intend on using it for something? Or are they purchasing that because they want to get a 10x.”
Speaking further, Hoskinson said that catastrophic failure is most predictable as traders have unrealistic expectations. He said that the event would eventually change the opinion of traders about the crypto industry.
2021 has been a good year for most cryptocurrencies, including DOGE. The crypto market has also been bubbling with the debut of new retail and institutional investors. Dogecoin has continually increased and is now the 4th largest cryptocurrency. At press time, DOGE is at a 10.91% gain to $0.6402 and has traded as high as $0.6569 in the last 24 hours. DOGE currently has a market cap of over $83 billion.
Image Credits: Pixabay
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