Elon Musk Says SpaceX Will Accept Dogecoin For Certain Commodities, Though Crypto Is Down 90% From All-Time High

Dogecoin jumped 13% in the past 24 hours on Tuesday to around $0.068, after Elon Musk reiterated his support for the meme coin, even though the crypto lost more than 90% of its value against its historic peak of May 2021.

Musk, CEO of Tesla TSLA,
+0.20%
and SpaceX, said on Tuesday that SpaceX will accept Dogecoin DOGEUSD,
+0.45%
for certain goods, after Tesla made a similar move in January.

In an interview with Bloomberg editor John Micklethwait at the Qatar Economic Forum, Musk said he bought dogecoin and intended to personally support the cryptocurrency because “I just know a lot of not-so-rich people who, you know, encouraged me to buy and support Dogecoin.

“I respond to these people and just people who when I walked around the factory of SpaceX or Tesla they asked me to support Dogecoin, so I do,” Musk said in the interview.

“Tesla accepts Dogecoin for certain commodities and SpaceX will do the same,” Musk said.

Cryptocurrencies have fallen this year as bond yields rose and stocks fell in a bear market. BitcoinBTCUSD,
-0.57%
Saturday fell to $17,601, down 74% from its all-time high in November, before rebounding to around $21,625 on Tuesday, according to data from CoinDesk.

“I never said people should invest in crypto,” Musk said in the interview with Bloomberg. “In the case of Tesla, SpaceX, myself – you know, SpaceX and Tesla, for example, have all bought bitcoin, but it’s a small percentage of our total cash and near-cash assets. So, you know, not that important.

Musk made the comments after a series of tweets vouching for Dogecoin over the weekend. He tweeted on Sunday that “I will continue to support Dogecoin”. To a comment that read “keep buying it then,” Musk replied, “I am.”

On Saturday, as Dogecoin co-creator Billy Markus tweeted he hoped people could actually use the crypto “for something,” Musk replied that “Tesla and SpaceX merch, maybe later.”

Last week, a dogecoin investor sued Elon Musk and two of his companies, Tesla Inc. and SpaceX, for $258 billion, accusing them of setting up a “pyramid scheme” to inflate the price of the cryptocurrency. change.