Coin News

This is Why Binance Invested In Elon Musk Led Twitter Deal

1 Nov, 20223 min readOther
This is Why Binance Invested In Elon Musk Led Twitter Deal

Tesla CEO and the world’s wealthiest entrepreneur began the bid to acquire the social media platform Twitter on April 14, 2022. When Elon Musk became part of the Twitter board of directors, he proposed a subscription fee with Dogecoin as a payment method.

However, since April, the entrepreneur has been in the process and finally concluded the acquisition. It caused the Dogecoin price to soar to an all-time high in the last seven days. Leading firms in the crypto industry, including Binance, supported the Twitter deal with millions of dollars.

Binance CEO Comments On Musk’s Acquisition

In a recent CNBC interview, CEO Changpeng Zhao (CZ) proposed that the Twitter platform will improve and incorporate crypto. The CEO said managing a firm such as Twitter is difficult, but Musk can handle it.

According to CZ, the social media platform has many problems, including spam comments, scammer accounts, and poor management. In addition, he believes former Twitter managers did not monetize it properly, leading to poor growth and numerous tactical issues.

However, the Chinese are confident that the platform has enormous potential and that Musk is the right man to make the most of it.

Upon completing the acquisition, Musk fired a few top executives, including Ned Segal, Parag Agrawal, and Vijaya Gadde. In addition, he declared his intentions to tackle issues of fake accounts through user verification.

Meanwhile, in a Bloomberg report, Binance revealed a plan to help fight Bots on the social media platform. One of the main reasons for Musk’s acquisition is to eliminate bots. However, the firm could not provide an accurate number of active users, making the billionaire want to back out.

Binance is creating an internal team that will focus on strategizing ways to realize Musk’s Vision for Twitter using blockchain and crypto.

Dogecoin Soars As Twitter Acquisition Wraps Up

A while ago, the Tesla CEO also revealed his plans to turn Twitter into an everything app, as he put it. Following Musk’s plans, individuals can message each other, shop online, and conduct peer-peer payments, including booking a taxi on the app.

There have been reactions since Musk proposed the monetization of social media with DOGE as the means of subscription payment. People say the DOGE memecoin will play a role in the proposed development of Twitter since Tesla and Space X accepts DOGE as means of payment.

Recall December 2021, Elon Musk revealed that Tesla and Space X would accept Dogecoin for some merchandise. That announcement had DOGE price soar 20%. This time, Dogecoin has been topping the performance chats since the official Twitter acquisition.

The memecoin was trading at about $0.07 before the deal completion, but it suddenly topped a massive 115%. As a result, DOGE now trades at around $0.13.

Source

Subscribe to get our top stories

Coin News
App StoreApp Store