Shiba inu, a dogecoin spinoff, spikes 16% after Elon Musk tweet

Shiba inu, a dogecoin spinoff, spikes 16% after Elon Musk tweet

© Provided by CNBCTV18 Shiba inu, a dogecoin spinoff, spikes 16% after Elon Musk tweet

Elon Musk has tweeted and his post yet again led to the price of a cryptocurrency soaring.  Musk tweeted Friday, “My Shiba Inu will be named Floki”, after which the dogecoin spinoff peaked to its highest in six weeks.

As per Business Insider, shiba inu witnessed a 16 percent rise in its price when it reached $0.00000790 on CoinMarketCap at 7.23 am ET, just minutes after the Tesla CEO’s tweet.

It was last seen at $0.00000724 around 9.10 am ET.

As per its website, shiba inu is an experiment in decentralized spontaneous community building. Founded in August 2020, it also goes by the nickname “DOGECOIN KILLER”, taking inspiration from a more established meme currency, Dogecoin.

Shiba inu is the 28th most valuable cryptocurrency by market capitalization. The new cryptocurrency found fame when Ethereum founder Vitalik Buterin donated 50 trillion shiba inu tokens worth around $1 billion at one point to a crypto-based COVID-19 relief fund for India in May – and burned 90% of his holdings just days later.

The same day Musk tweeted about shiba inu, he also took a jibe at Bitcoin and its supporters in another tweet.

“How many Bitcoin maxis does it take to screw in a lightbulb?” Musk tweeted. A short while later, he replied to his own tweet saying, “That’s not funny! – Bitcoin maxis.”

With this Musk once again raised concerns about the high energy consumption associated with mining and trading Bitcoin.

In May this year, Tesla suspended vehicle purchases using Bitcoin.

“Cryptocurrency is a good idea on many levels and we believe it has a promising future, but this cannot come at great cost to the environment,” tweeted Musk.

This invited massive criticism from Bitcoin investors and enthusiasts.


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