Elon Musk Added To Dogecoin's Credibility, But It Still Could Be A Passing Fad: OKEx Crypto Exchange CEO

Jay Hao, the CEO of cryptocurrency exchange OKEx, pointed out that while tech tycoon Tesla Inc TSLA CEO Elon Musk added to the credibility of coins such as Dogecoin DOGE/USD, they still could be "a passing fad."

What Happened: During an exclusive interview with Benzinga, Hao said that meme coins such as Dogecoin, Shiba InuSHIB/USD, and Baby Doge Coin (CRYPTO: BabyDoge) now enjoy a higher credibility and glamour thanks to the celebrity effect that they gained with endorsements by Musk.

That being said, he also believes "meme coins could be just a passing fad" that "only through technological innovations and enhancements to their basic infrastructure could" turn into useful assets with real value.

Read also: Dogecoin Creator Reflects On Why He Put Money In His Savings Account And Not DOGE

While, as Hao pointed out himself, the meme coin market only comprises a small portion of the crypto market, Dogecoin is still the seventh biggest cryptocurrency based on market cap, with a total value of $28.3 billion as of press time.

This means that it is worth more than established global brands such as Panasonic 6752 or Best Buy BBY.

Hao pointed out that despite the growth they saw earlier this year, the performance of those coins "in relation to the wider market is not very significant at the moment."

Price Action: According to CoinMarketCap, as of press time, Dogecoin is up 1.5% over the last 24 hours and worth $0.2092 per coin, while Shiba Inu lost 3.18% and currently stands at $0.000007656.

Baby Doge Coin is trading at $0.000000003321, down 10.98% since yesterday.

Hao concluded that, while they could still be a passing fad, but "if meme projects can evolve and enhance the technology underpinning them, they may very well have a bright future."

Photo: dmitriyshustovb3 via Flickr