The creator of the biggest memecoin in the industry reminded the community why was dogecoin created.
why was dogecoin created
According to Magentabyte, the creator of Dogecoin reminded his followers of the purpose of creating Dogecoin. Bailey spoke about his thoughts on the current situation and the FTX crisis, which has led to another drop in the market.
Billy Markus pointed out the importance and the main reason for the existence of Dogecoin, recalling the conditions similar to FTX conditions. Also, Bailey believes that events like the current crisis will happen again and again. For this reason, there is a need for humor in the form of Dogecoin for the market.
If we look at the fall of the FTX exchange from the outside, it is clear that the problems of this exchange were caused by the short-term vision of the management team. FTX exchange used the assets of its users for financing, borrowing and lending. Because of this, when users demanded their money back, they faced a liquidity crunch.
At first glance, it may seem that the creator of Dogecoin is somehow against the digital asset industry. Only hateful and derisive comments can be written about Billy Marcus. Bailey clarified that cryptocurrencies are not a problem. Cryptocurrencies have formed a common database and protocol that allows users to transfer their assets from one wallet to another without depending on a centralized entity. The only problem in this field is the people.
Due to the nature of this technology, a decentralized payment blockchain should almost never cause any problems for its users. Most of Bitcoin’s vulnerabilities were fixed before the first prominent uptrend. Today, most problems associated with digital assets are caused by human factors, rather than defects in decentralized mechanisms. Human errors like what happened to FTX caused the market to crash.