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It is called dogecoin, a homage to bitcoin that was designed to serve no real purpose. Dogecoin holders can’t buy much with it and can’t easily convert it to cash. For most of its life, the virtual currency has traded for no reason other than to generate online laughs.
Dogecoin is named after an internet meme that surfaced nearly a decade ago. The meme centered around an image of a Shiba Inu dog with bad spelling habits (thus doge instead of dog). Users Photoshopped the dog’s furry face onto everything from astronauts to Twinkies.
Tesla’s move into bitcoin represents an investment of a significant percentage of its cash in the investment. The company had more than $19 billion in cash and cash equivalents on hand at the end of 2020, according to its most recent filing.