On Monday afternoon, Twitter announced that it had entered into a definitive agreement to be acquired by a wholly owned subsidiary of Elon Musk’s for $44 billion. The agreed-upon price per share was $54.20, representing a 38 percent premium above the Twitter stock price on April 1, 2022, according to the release.
The Twitter Board went through a “thorough and thoughtful” evaluation of Elon Musk’s offer, with a particular emphasis on value, certainty, and finance. We think it is the best option for Twitter’s stockholders because the proposed transaction will provide a substantial cash premium. Bret Taylor, Twitter’s Independent Board Chairperson, said in a statement that “The Twitter Board conducted an informed process to evaluate Elon’s proposal while paying close attention to value, assurance, and financing.”
Musk has strong feelings about Twitter
Musk has been critical of Twitter management’s censorship and shutdowns of various users, including himself, for supposedly breaking the platform’s discussion standards and principles.
“Twitter is the digital town square where important issues affecting humanity’s future are discussed. I also want to make Twitter better than ever before by adding new features, battling spam bots, and authenticating all people, so that the product may be better,” Musk was quoted as saying in a release. “Twitter has a lot of potential; I’m excited to work with the company and its users to unleash it.”
Could Dogecoin be the official crypto of Twitter?
Today’s news appears to have boosted Dogecoin (DOGE), a cryptocurrency dedicated to dogs, by 34 percent on CoinMarketCap.com, with eye-popping trading volume of more than 882 percent across the various cryptocurrency exchanges where DOGE is traded. The price and popularity spike in the intraday market and popularity are most likely owing to Musk’s long-term support for DOGE. He has publicly urged Twitter to adopt DOGE as payment for pro subscribers, as a tipping functionality for content producers, and other ideas during the previous weeks and months.
It’s worth noting that in a TIME article announcing Tesla’s Person of the Year for 2021, Musk said DOGE was a superior form of digital money to Bitcoin. According to CoinMarketCap.com, Bitcoin has the largest market capitalization among cryptocurrencies, and it is more than 30 times the market cap of Dogecoin.
Although this is all speculation, conceivable applications for Dogecoin on Twitter might be a Dogecoin-centered digital wallet or a full-fledged DOGE-based payment solution that may be used by Twitter users for free. Musk earned his first millions as a PayPal co-founder, so he is familiar with digital money systems.
Anyone can speculate about what Twitter’s future holds, whether it be its management team or what Musk has in store for the platform. What we do know, though, is the social media network he’ll use to communicate with us.