Elon Musk’s Twitter purchase is affecting the cryptocurrency market. Here’s how

Elon Musk was always concerned about the lack of freedom of speech on Twitter. Therefore, he started a long-going process of buying Twitter and claiming it as his platform, which he eventually completed. The acquisition started on the 14th of April, 2022, when he purchased company shares. The process ended on the 27th of October, and nothing has been the same since. Musk has been more controversial than ever, tweeting questionable declarations or firing Twitter employees without prior warning.

Despite the whole trouble with the platform, Musk’s actions also affect the cryptocurrency market. With only a tweet, Doge is surging from time to time, breaking the pattern of it being a regular coin. In addition, some experts believe that the purchase of Twitter will also have an advantage on how cryptocurrencies will be perceived. Let’s see how this can happen.

Elon Musk and cryptocurrencies

Elon Musk, the wealthiest man alive, is known for his contribution to developing one of the most innovative contemporary technologies, the Tesla machine. Besides that, his input in many other technologies and futuristic ideas has made him one of the most influential figures on social media, which is why most of his statements have so much power.

Along with sharing memes and being a fan of Dogecoin (which has also started as a meme), Musk was widely interested in cryptocurrencies. It is known that his company owns millions of dollars worth of Bitcoin, but he personally also invested in Bitcoin, Ethereum and Dogecoin. And since he’s being vocal about it, some experts consider this an opportunity for cryptocurrencies to rise and for more people to start investing.

The NFT Tweet Tiles project

One of the reasons experts believe in a positive change due to the social influence of Musk is the newest crypto service, NFT Tweet Tiles. This platform was launched the next day after the complete Twitter acquisition and allowed users to perform any exchanges through Tweets (buying, selling or displaying NFTs).

This new feature supports Ethereum, Immutable X, Flow, Polygon, Solana and Tezos and automatically expands links to NFT marketplaces. Although we don’t know if this was planned to be released after Musk successfully had Twitter’s control, it was a good move nonetheless. Tweet Tiles is also compatible with some of the biggest NFT markets like Rarible and Magic Eden. Interestingly, OpenSea is not among them, but maybe we’ll find out soon why.

Exchange platforms collaborate with Musk

One of the most important exchange platforms has teamed up with Twitter’s internal collective in order to find new ways of merging blockchain technology with Twitter’s features. This plan includes solving the platform’s most concerning issues, like the proliferation of bot accounts.

The team also aims to bring social media and Web3 along to fasten the adoption of cryptocurrencies and blockchain technology. If they’re successful, Twitter may become a safer place for investors since fraudulent links and financial scams often occur on the platform.

Twitter was already a strong influence regarding the cryptocurrency market since most investors, NFT artists and experts are actively stating their opinions and sharing crucial stats there, which is why it wouldn’t be that difficult to merge it with blockchain technology. Soon, if you want to know how to buy cryptocurrency, you’ll only need to log in to your Twitter account, and you’ll get all the information you need.

Given that the acquisition has already influenced Doge’s activity, we expect nothing less to happen to other vital cryptocurrencies. Before this purchase, Dogecoin wasn’t really important to the market since there weren’t as many use cases for it (besides buying Tesla shares). However, now we may be able to use it on Twitter to make transactions with other users.

However, the situation doesn’t seem to be under control

After Twitter's latest massive revenue drop that Twitter experienced, we’re concerned about what Elon Musk is actually doing. It seems like major companies are temporarily pausing their ad spending on the platform since they’re unsure about how Musk will rule Twitter. He blamed “activist groups” for this significant downturn, stating they’re also destroying free speech in America.

Despite his statements regarding the revenue drop, since his official arrival on the 28th of October, Musk has fired approximately half of the company’s employees with or without notice. He argued that it’s a necessary action since the company is losing enormous amounts of money daily, but he says everyone was offered three months of severance, praising his generosity.

Still, many employees don’t agree with his sayings. Most of them stated they were announced by email of their end of the contract, while others found out in the office when their work accounts were suspended. What’s even worse is that the company is asking some fired employees to come back, which is against Musk’s will. All this chaos is not a good sign for investors and Twitter users.

It’s all about the influence

The Twitter acquisition is not about gaining more wealth. It’s all about influencing and shaping people’s opinions of his actions, but it all seems to go downhill. By owning one of the most influential and important platforms in the world, Musk claims to protect free speech, but people don’t seem to be on the same page. Since then, he’s only proved willing to make risky decisions that put him in a bad spotlight. All these controversial tweets and employee scandals will only make investors fear his decision-making process, and the merger between Twitter and blockchain technology might be another flop. However, time will tell.

Wrapping up

Elon Musk is one of the most influential social media figures, which has given him the power and opportunity to purchase the Twitter platform entirely. Even if some investors perceive this major change as convenient for the crypto market, since he has always been vocal about his crypto investments, his latest actions need to be revised to help him achieve freedom of speech.

What do you think about Elon Musk’s actions?

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