The New Value Cycle of DOGE: Political Traffic Boost and Musk's Concept of a Government Efficiency Department

Recently, the MEME ecosystem has been thriving, with multiple projects achieving several times or even tens of times increases. However, most participants are still facing significant losses. Therefore, we urge investors to remain rational, strictly implement risk control strategies, and avoid being misled by survivor bias.

As the leader in the MEME track, DOGE has recently experienced some interesting developments. Influenced by Musk's potential political involvement, DOGE is gaining new political traffic potential. The upcoming election results could bring a new value cycle for DOGE.

Looking back at the development of DOGE, we find that traffic has always been the main driving force behind its price increase. DOGE was created by Billy Markus and Jackson Palmer in December 2013, originally intending to parody the speculative behavior of the cryptocurrency market. Unlike Bitcoin, DOGE has no supply cap, aiming to avoid long-term hoarding.

The success of DOGE is largely attributed to its strong community support. In early 2014, the DOGE community raised funds for the Jamaican bobsled team to compete in the Winter Olympics, gaining significant media attention. Additionally, DOGE has participated in charitable projects such as building water wells in Africa.

In 2020, Elon Musk became a prominent supporter of DOGE, frequently praising it on social media, which led to significant price fluctuations. In April 2021, the price of DOGE broke its historical high of $0.70. Although Tesla does not accept DOGE as payment, SpaceX announced that it would accept DOGE for certain services, further expanding its use cases.

Currently, Musk has become the main source of traffic in the DOGE ecosystem. His potential upcoming political career is expected to bring new political traffic potential for DOGE. The nearly 30% increase in DOGE last week was a response to this background.

Elon Musk proposed the establishment of the "Department of Government Efficiency" (D.O.G.E) initiative, aimed at conducting financial audits of the federal government and suggesting ways to reduce waste and unnecessary spending. This plan has received support from former President Trump.

In a speech on September 6, Trump announced that if elected president, he would create a government efficiency committee in collaboration with Musk. As the election results draw closer, Trump's trading has come back into focus, which also explains last week's strong performance of Bitcoin.

Elon Musk once again discussed the D.O.G.E plan during his speech at the Pennsylvania town hall on October 17. As an important swing state, Pennsylvania has received unprecedented attention in the final stages of the election, which is also the core reason for driving the 30% increase in DOGE.

The possibility of Musk engaging in politics is very high. In this U.S. election, he firmly supports Trump, not only acquiring Twitter to break the Democratic Party's monopoly on mainstream media but also actively donating to Trump's campaign team. Trump has also repeatedly expressed a desire to invite Musk to enter politics or serve as an advisor.

Considering the difficulties experienced during Trump's previous term, he is more cautious in selecting political allies. It is quite likely that he will choose an influential political newcomer like Musk to participate in economic policy-making.

If the "Department of Government Efficiency" is successfully implemented, its advocacy for streamlining government departments will become an important part of Trump's "small government" philosophy and will undoubtedly attract widespread attention. The essence of MEME is traffic, and this event will provide a new political traffic capture channel for DOGE.

Imagine this, in January 2025, the U.S. government's Efficiency Department (D.O.G.E) launches a plan to cut 30% of government jobs, which will undoubtedly bring significant exposure opportunities for DOGE. Therefore, in the cryptocurrency industry's Trump trade, DOGE will become a hot topic that cannot be ignored and is worth continuous attention.