Dogecoin is still a direct beneficiary of the "Department of Government Efficiency" announcement from Trump and Musk.
The cryptocurrency has risen by over 100% since Donald Trump won the US presidential election.
Meanwhile, according to Reuters, the investors who sued Elon Musk for manipulating the price of Dogecoin have dropped the lawsuit.
The future of DOGE and Dogecoin in the US remains to be seen.
The new US government agency headed by billionaire Elon Musk and biotech entrepreneur Vivek Ramaswamy has not only turned political heads.
It has also sparked several discussions about economic freedom and cryptocurrency. This department, named “the Department of Government Efficiency” or D.O.G.E., coincidentally matches the ticker symbol of Dogecoin, the king of memecoins.
As expected, this alignment has caused the memecoin to jump to new heights amid wild market speculation.
Here’s everything D.O.G.E. and Dogeocin have turned up.
The DOGE journey started on 13 November 2024, when President-elect Donald Trump announced the creation of the Department of Government Efficiency.
He then appointed Elon Musk and Vivek Ramaswamy to lead the agency.
The department's core mission will be to slash unnecessary regulation, reduce federal spending, and streamline government operations.
In a recent tweet, Coinbase CEO Brian Armstrong praised the initiative.
He called it an opportunity to restore the US government’s efficiency.
A once in a lifetime opportunity
Moreso, he believes that it is a significant way to boost economic freedom. Armstrong's post indicated that the reforms that D.O.G.E. aims to work on could align incentives for government spending.
Armstrong even proposed a constitutional amendment to cap government expenditures at 10% of GDP.
The Coinbase CEO’s social media post was detailed. In it, he emphasized the importance of curbing the government’s expenditures over time.
Some of his bold ideas included capping Government Spending to a maximum of 10% of GDP to prevent financial mismanagement.
He also suggested creating a fund where every US citizen holds a share and receives dividends from budget surpluses.
According to Armstrong, this would give every American citizen a vested interest in responsible fiscal policy.
Naturally, this Department of Government Efficiency has nothing to do with Dogecoin.
However, the peculiar similarities in their naming have helped Dogecoin soar significantly in price.
Soon after the DOGE department was officially announced, Dogecoin's price surged to a yearly high of $0.39.
This has contributed to Dogecoin leading the rest of the memecoin market and outperforming many altcoins in recent weeks.
The memcoin market is outperforming the rest of the market by a wide margin as highlighted by Ali in this tweet.
According to data from CoinMarketCap, the price of Dogecoin itself has more than doubled since Donald Trump’s election victory.
At the time of writing, it is trading at its highest point since May 2021.
On the other side of the law, the buzz around Musk and Dogecoin spiked last week for a completely different reason.
Earlier in the year, a group of Dogecoin investors had accused Musk of manipulating the memecoin’s price through tweets, public appearances, and media stints between 2020 and 2021.
Their complaints included his infamous Saturday Night Live appearance in 2021.
These investors, who alleged fraud and insider trading, initially sought $258 billion in damages.
However, the case was ultimately abandoned last week after being dismissed in August by US District Judge Alvin Hellerstein, who ruled that Musk’s statements did not constitute securities fraud or market manipulation.
Both parties have since withdrawn their appeals and effectively closed the case, according to a report from Reuters.
The DOGE agency’s focus on cutting waste has sparked major discussions about economic reforms.
While Armstrong’s ideas are ambitious, they show a growing interest in how private-sector thinking can drive government efficiency.
For Dogecoin, its association with Musk and its visibility through the D.O.G.E. agency have given it new momentum.
A recent Twitter poll conducted by investor and analyst Ali Martinez showed that retail investors are leaning more toward Dogecoin than Bitcoin.
Over the weekend, Dogecoin whales have also bought around $56 million worth of the cryptocurrency in anticipation of a new week.
Accumulating Dogecoin
For Dogecoin, most of its momentum is coming from its association with Musk and his political visibility.
Overall, the creation of the Department of Government Efficiency symbolizes a shift in US policy.
Musk’s leadership is adding credibility and hype to D.O.G.E. and Dogecoin, and the future of both in and out of the US remains to be seen.
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