Tesla CEO Elon Musk has once again reignited debate within the cryptocurrency community by likening memecoins to a “casino” in his latest speech on “The Joe Rogan Experience.”
Musk, known for his past endorsements of Dogecoin and other digital assets, issued a stern warning about the speculative nature of these cryptocurrencies, warning investors against risky investments.
“It’s like a casino or something. Then people apply the big fool theory and it’s like musical chairs, the last person sitting down loses,” Musk said, noting the unpredictable and often volatile nature of memecoins. Musk’s words reflect growing concerns about the sustainability of such assets, which often experience sharp rises followed by sharp declines.
Despite his skepticism, Musk has acknowledged the fundamentals of Dogecoin, a project he once openly supported. He pointed to the project’s playful origins, saying it was “like a joke coin with jokes and dogs.” But his recent statements signal a shift in tone, urging investors to exercise caution rather than blind enthusiasm.
Podcast host Joe Rogan echoed Musk’s concerns, calling the memecoin craze “crazy.” He questioned the logic behind pouring real money into highly speculative assets, especially when the crypto market is facing increasing turbulence. The recent collapse of several Solana-based memecoins, including the much-talked-about Libra memecoin, has heightened concerns and contributed to a broader market correction. Analysts suggest investors are starting to get frustrated, and many are starting to realize the undue influence that insiders have on market dynamics.
*This is not investment advice.
