Dogecoin falls 4% after co-founder calls it ‘Right-Wing, Hyper-Capitalistic Technology’

• Follow

Dogecoin, the cryptocurrency which started as a fun way to use blockchain technology, is down by 4% on Friday, after its co-founder Jackson Palmer tweeted on Thursday that is “an inherently right-wing, hyper-capitalistic technology” built to amplify the wealth of its proponents.

In the long thread shared, he stated that the cryptocurrency industry amplifies the wealth of its proponents through a combination of tax avoidance, diminished regulatory oversight, and artificially enforced scarcity.

Claims of “decentralization”

He tweeted that despite claims of “decentralization”, the cryptocurrency industry is controlled by a powerful cartel of wealthy figures who, with time, have evolved to incorporate many of the same institutions tied to the existing centralized financial system they supposedly set out to replace.

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.

— Jackson Palmer (@ummjackson) July 14, 2021

He further added that the cryptocurrency industry leverages a network of shady business connections, bought influencers and pay-for-play media outlets to perpetuate a cult-like “get rich quick” funnel designed to extract new money from the financially desperate and naive.

“Financial exploitation undoubtedly existed before cryptocurrency, but cryptocurrency is almost purpose built to make the funnel of profiteering more efficient for those at the top and less safeguarded for the vulnerable. Cryptocurrency is like taking the worst parts of today’s capitalist system (eg. corruption, fraud, inequality) and using software to technically limit the use of interventions (eg. audits, regulation, taxation) which serve as protections or safety nets for the average person,” he tweeted.

Elon Musk’s tweet

Dogecoin prices started rising when earlier Tesla CEO and Founder Elon Musk tweeted on February 10, 2021 that he had bought Dogecoin for his newborn showing his support towards digital currencies. Since then Elon Musk has tweeted multiple times making the coin popular among crypto traders.

He pointed out at lack of grievance redressal mechanism when it comes to trading in cryptocurrencies. “Lose your savings account password? Your fault. Fall victim to a scam? Your fault. Billionaires manipulating markets? They’re geniuses. This is the type of dangerous “free for all” capitalism cryptocurrency was unfortunately architected to facilitate since its inception.”

He wrote “For these reasons, I simply no longer go out of my way to engage in public discussion regarding cryptocurrency. It doesn’t align with my politics or belief system, and I don’t have the energy to try and discuss that with those unwilling to engage in a grounded conversation.”