What Happened: Jackson Palmer, who created Dogecoin (CRYPTO: DOGE) alongside Billy Markus in 2013, took aim at the crypto industry in a series of tweets on Wednesday.
“I am often asked if I will “return to cryptocurrency” or begin regularly sharing my thoughts on the topic again,” he said on Twitter, adding that his answer to that question was a “wholehearted no.”
“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,” he said.
The Dogecoin co-founder went on to add that despite claims of “decentralization,” the cryptocurrency industry is controlled by a powerful cartel of wealthy figures who, with time, have evolved to incorporate many of the same institutions tied to the existing centralized financial system they supposedly set out to replace.
“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 naïve.”
Palmer took issue with the fact that users are alone accountable for falling victim to a scam or losing their savings account password, but “billionaires manipulating markets” are labeled geniuses.
“This is the type of dangerous “free for all” capitalism cryptocurrency was unfortunately architected to facilitate since its inception,” he said.
Despite creating the popular meme-based cryptocurrency, that now has acquired several million in market cap and followers, Jackson reportedly made “zero profit” from his involvement with the project.
In 2015, he announced that he would be taking an extended leave of absence from the crypto community, reasoning that the ecosystem had turned “toxic.”
Price Action: At press time, Dogecoin was trading at $0.1891, losing just 6.73% over the past 24-hours. The meme-based cryptocurrency has lost over 10% of its value over the past seven days and is down 70% from its all-time high ahead of $0.73 earlier this year.