Jackson Palmer, the creator behind Elon Musk’s favorite cryptocurrency Dogecoin, has returned to Twitter to criticize the world of crypto in a scathing thread.
In the past, Palmer has admitted that he authored the cryptocurrency initially as “a joke” in 2013, which is not too long after interest in bitcoin skyrocketed. In a guest editorial for Vice in 2018, Palmer openly bashed cryptocurrencies, including his own. Palmer hasn’t spoken much about Dogecoin since, but with the newfound attention on the currency thanks to Elon Musk, among others, he’s again made his feelings on crypto abundantly clear.
“I am often asked if I will ‘return to cryptocurrency’ or begin regularly sharing my thoughts on the topic again,” wrote Palmer. “My answer is a wholehearted ‘no,’ but to avoid repeating myself I figure it might be worthwhile briefly explaining why here… After years of studying it, I believe that cryptocurrency is an inherently right-wing, hyper-capitalistic technology built primarily to amplify the wealth of its proponents through a combination of tax avoidance, diminished regulatory oversight and artificially enforced scarcity.”
One of the most commonly praised aspects of cryptocurrencies among advocates is the idea of “dentralization,” although Palmer contests that the industry is “controlled by a powerful cartel of wealthy figures.” He added, "The cryptocurrency industry leverages a network of shady business connections, bought influencers and pay-for-play media outlets to perpetuate a cult-like ‘get rich quick’ funnel designed to extract new money from the financially desperate and naive."
While bitcoin remains the default cryptocurrency to many, the popularity of alternatives rose throughout the COVID-19 pandemic last year. In April of this year, Dogecoin surged to an all-time high, temporarily breaking Robinhood’s trading systems.
"Cryptocurrency is almost purpose built to make the funnel of profiteering more efficient for those at the top and less safeguarded for the vulnerable," said Palmer. "Cryptocurrency is like taking the worst parts of today's capitalist system (eg. corruption, fraud, inequality) and using software to technically limit the use of interventions (eg. audits, regulation, taxation) which serve as protections or safety nets for the average person."
As Palmer went on to highlight, the “free for all” capitalistic nature of cryptocurrency is dangerous. Palmer also said that any criticism of cryptocurrencies comes with “smears from the powerful figures in control of the industry.” This is why he said he isn’t going out of his way to engage in such discussions, but he applauds those still questioning the moral implications of the technology.
“New technology can make the world a better place, but not when decoupled from its inherent politics or societal consequences," he concluded.
Read the full thread below.
