Dogecoin has experienced an immense surge in popularity in recent years, thanks to its unique meme-inspired branding and celebrity endorsements, notably from Elon Musk, the CEO of Tesla and SpaceX. This meme coin has also managed to achieve a substantial market capitalization, positioning itself as one of the leading cryptocurrencies globally. In a recent interview with FOX Business, Marshall Hyner, a member of the Dogecoin Foundation board of directors, shared his insights on why Dogecoin cannot be classified as a security and why it has the potential to become one of the top three cryptocurrencies in the future.
Hyner argues that Dogecoin cannot be categorized as a security under the Securities Exchange Act because it does not meet the criteria of being a financial asset with anticipated future gains and a centralized entity like Howie. In other words, Dogecoin is more akin to Bitcoin and other cryptocurrencies, which are classified as commodities by regulatory bodies such as the United States Commodity Futures Trading Commission (CFTC). Hyner’s point is that Dogecoin, like other cryptocurrencies, lacks a centralized controlling entity and does not hold any expectations of future gains, as it operates as a decentralized digital currency.
Additionally, Hyner expressed his disagreement with the SEC’s handling of enforcement and proposed that they develop procedures to ensure the monitoring and continuation of projects. This viewpoint holds significance as the SEC has recently intensified its crackdown on cryptocurrencies that it deems to be securities, such as Ripple (XRP) and Telegram’s Gram token, both of which faced legal action from the SEC for conducting unregistered securities offerings.
Hyner firmly believes that Dogecoin’s meme-inspired branding and its community-driven nature make it an unstoppable force in the world of cryptocurrencies. He acknowledged that the development team did not anticipate Dogecoin becoming one of the top ten cryptocurrencies, but due to the unstoppable nature of the meme, he now believes that it has a chance at securing a spot in the top three.
The memetic power of Dogecoin has become evident in recent years, as the coin has gained significant traction on social media platforms like Twitter and Reddit. The community-driven nature of Dogecoin has also played a crucial role in its success, with users actively promoting the coin and even utilizing it for charitable endeavors.
While Musk’s tweets do not always result in a sustained increase in Dogecoin’s price, they have undoubtedly contributed to garnering more attention for the meme coin. This was evident after Musk referred to Dogecoin as a “hustle” during his appearance on Saturday Night Live, causing a significant drop in its price. However, the coin has since managed to recover.
Despite the criticisms and skepticism surrounding Dogecoin, its popularity and market capitalization cannot be overlooked. The meme coin has proven to be a resilient force in the cryptocurrency realm, surpassing expectations and amassing a substantial following.
In conclusion, Dogecoin’s rise to prominence showcases the power of community-driven marketing and the influence of social media. Its meme-inspired branding and user-friendly nature have made it more accessible to a broader audience, which has undoubtedly contributed to its success. Despite facing criticism and skepticism, the meme coin has defied expectations and achieved significant market capitalization, solidifying its position as one of the largest cryptocurrencies globally.
