Elon Musk's Warning About Cryptocurrency: Promising but Cautious

Tesla CEO Elon Musk is one of the key figures behind the surge in public interest in Dogecoin. The reason is, that Musk consistently uploads content related to Dogecoin through his Twitter account. However, in a Twitter post, before he appeared as a host on the Saturday Night Live TV program, he gave several messages to his 53 million followers.

"Cryptocurrencies are promising," Musk said in a tweet Friday (07/07/2021).

"But please, invest carefully," he continued.

In the tweet, Musk also linked a video clip of his interview with TMZ last February. At that time, he also gave a warning to cryptocurrency investors.

"Shouldn't all of your savings be invested in cryptocurrencies, that's not wise," he said. "But if you want to speculate and have fun, this is a good opportunity, because crypto is the future of the world's currency. Then which cryptocurrency is right? There may be several. But until now everything is still speculation," continued Musk.

Reporting from CNBC, Sunday (9/5/2021), Musk's warning for cryptocurrency investors is also supported by expert opinion. They are of the view that investments made in crypto assets should be carried out according to the abilities of the investors concerned.

However, most of these experts do not agree that cryptocurrencies are considered the future of payment instruments. "Because the value is not really related to certain values, like real estate, profit, or interest rates.

There is almost no way to predict whether the value will go up or down over time," said fintech newsletter editor James Ledbetter. Musk, on the other hand, is a dogecoin proponent. Dogecoin is a currency that was originally created as a joke with the Shiba Inu dog meme logo.

"The point right now is Dogecoin was created as a joke primarily to make fun of cryptocurrencies," he told TMZ. "In fact fate likes irony. And what else is more ironic? It turns out that the currency that was created as a joke is now really a currency. To the moon!," Musk said.

Ledbetter also gave his views on the risks of investing in Dogecoin. He emphasized that if someone invests in Dogecoin, there is a risk of loss. This means that the invested money is at risk of being lost in its entirety. "(Dogecoin) has no intrinsic value and it is very possible that the price will suddenly drop after previously strengthening," he said.