Dogecoin jumps 18% after Musk tweets Tesla merchs 'buyable' with the cryptocurrency

• Only three merchandise, including a belt buckle, a whistle, and an all-terrain vehicle for kids, are buyable with Dogecoin

• There are several terms and conditions for paying with Dogecoin, including no refunds or cancellations

Dogecoin jumped over 18% on Friday after Tesla Inc (NASDAQ: TSLA) started accepting the cryptocurrency as a payment method for some of its merchandise.

“Tesla merch buyable with Dogecoin,” the chief executive of the electric carmaker, Elon Musk, tweeted early Friday.

Dogecoin topped $0.20 at around 02:20 am ET before paring some of those gains.

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At the time of reporting, the price of a single Dogecoin is hovering around $0.19.

Earlier in December, Musk tweeted about Tesla’s plan to accept the digital coin to sell its merch on a test basis and sent the cryptocurrency up more than 20%.

Merch with Dogecoin

For now, only three items are buyable with Dogecoin, which initially started as a meme coin.

Cyberwhistle, a whistle shaped like Tesla’s Cybertruck, costs 300 Doge, or around $58.2 at the time of writing. A commemorative ‘Giga Texas Belt Buckle’ is listed for 835 Doge (~$162), and the Cyberquad, an ATV for kids, is listed for 12020 Doge (~$2332).

However, there are several terms and conditions for those who will choose to buy merchandise and pay with Dogecoin.

Customers will need a Dogecoin wallet to transfer the digital currency to Tesla, and the carmaker said that it could take up to six hours for the network to confirm the payment.

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Furthermore, the company on its website said, “If an order is overpaid in Dogecoin, the overpayment amount will not be refunded to the original form of payment.”

The merchandise bought with the digital coin cannot be returned, exchanged, or canceled, Tesla said.

Moreover, the company has removed the option for buying Cyberwhistle, Giga Texas Belt Buckle, and Cyberquad for kids, with the traditional payment method from the website, at the time of reporting, which was initially priced at $50, $150, and $1900, respectively.

The options of return, exchange, and cancellation are available for other merchandise paid through traditional payments methods.

Musk’s love-hate relationship with crypto

It’s not the first time Tesla is accepting a cryptocurrency as a payment method. Last year in March, the electric carmaker bought $1.5 billion worth of Bitcoin and started accepting crypto payments for its cars.

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Musk later stopped accepting the crypto over environmental concerns, as the Bitcoin network uses large amounts of energy to mine a single coin.

On the other hand, Dogecoin uses significantly less energy, and Musk, who is a high-profile propagator of the digital currency, said last year that he would work with Dogecoin developers to improve the efficiency of transactions.

Picture Credit: Fox Business