While it may seem tangential to crypto, Elon Musk's deal to buy Twitter actually has big implications for this community interested in everything ranging from programmable money to non-fungible tokens (NFTs) to decentralization to memes.
Some of the reasons it will impact them are obvious, such as the fact that Musk himself is into crypto. Others are more nuanced. Here are five ways in which Musk's deal could affect the Bitcoin/crypto/Web3 community.
So as expected, the news of his deal to purchase Twitter did initially push up the price of Dogecoin on Monday by about 20%. Though as of late Tuesday, it was back to its price from a week ago.
Interestingly, the news of his deal to purchase Twitter didn't boost the price of Bitcoin, but given the fact that both Tesla and SpaceX have bitcoin on their balance sheets, it isn't crazy to think he might do the same with Twitter.
Plus, there's the obvious move of further integrating crypto payments into the service, which already features Bitcoin tipping.
In some statements he made about his interest in owning Twitter, he let on that he wanted to tackle some issues that Twitter users interested in crypto often experience as a pain point. He said he wants to "make Twitter better than ever by enhancing the product with new features, making the algorithms open source to increase trust, defeating the spam bots, and authenticating all humans."
The second-to-last item -- defeating the spam bots -- will excite many crypto people, whose tweets are frequently deluged by replies from spam bot accounts trying to trick people into giving them money or handing over the keys to their coins. They frequently are impostor accounts posing as a well-known figure in crypto to try to prey upon people who may not be thinking clearly, or who aren't savvy to the shenanigans of these scammers.
Another one of his priorities-- "making the algorithms open source to increase trust" -- will likely speak to the crypto community as well, because blockchain technology has long been called a "trustless" technology, meaning that by using it, you don't have to trust another person or entity. However, in my opinion, the terminology is misleading, because the term makes it sound like trust is missing, when the software itself is what people trust, so it is trust-enabling.
Regardless, the crypto community will also gravitate toward open sourced algorithms, since the vast majority of crypto projects are open source, and many projects that are closed source have come under criticism for it. Open sourcing the technology is what enables that greater trust.
This last bit, about authenticating all humans, has caught the attention of the crypto community for various reasons. First, the crypto community is filled with anonymous accounts, so it could change the tenor of the conversation if everyone suddenly had to reveal their real-life identity.
However, there are privacy-preserving identity technologies with which crypto communities are experimenting that would enable services to verify people's identities without users having to reveal the details about their identities. If Musk continues his interest in developments in crypto, it may lead him to pursue some of these crypto-based technologies.
Whether or not any of these comes to fruition first depends on the completion of this deal, which could take up to six months. But one thing that's for certain is that along the way, the community known as Crypto Twitter will be making memes and shitposting along the way.