Dogecoin co-founder likens cryptocurrencies to a scam

For about two years of social media dormancy, Jackson Palmer, co-creator of Dogecoin, has stated on his Twitter account that cryptocurrency was primarily manipulated by the rich.

Palmer has never been flashy on his social media accounts. He even shut down his YouTube channel and made his Twitter account private in mid-2019.

Even when the dogecoin hype broke out, which saw record highs earlier this year, Palmer has kept his repose but not until his latest tweet.

Only for the rich?

“After years of studying it, I believe that cryptocurrency is an inherently right-wing, hyper-capitalistic technology built primarily to amplify the wealth of its proponents through a combination of tax avoidance, diminished regulatory oversight, and artificially enforced scarcity,” he said.

In May, the price of dogecoin reached a record high of around 72 cents, hoisting its total market cap to almost $90 billion in the face of a broader rally in crypto prices.

Lately, the meme coin has dropped to 19 cents, shedding more than $60 billion, figures by Coindesk show. Other cryptocurrencies also fell.

The crypto market is currently facing a market slump. Bitcoin, which has mounted up to $63,000 in mid-April this year, has plummeted to $30,000.

On scammers and opportunists

Meanwhile, Palmer’s dislike for cryptocurrency is something to ponder on. A lot of his detractors say he’s only been jealous because he had not ridden the crypto market during times when it was exploding in value.

Palmer created the digital token in 2013 as a meme-inspired joke. Five years later, its market value had skyrocketed into the billions, leading him to write at the time that cryptocurrencies had enticed “shark-like scammers and opportunists.”

“Cryptocurrency is like taking the worst parts of today’s capitalist system (eg. corruption, fraud, inequality) and using software to limit the use of interventions (eg. audits, regulation, taxation) which serve as protections or safety nets for the average person,” he said.


Image courtesy of Cointelegraph News/YouTube

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