With crypto enthusiasts and practitioners on the rise, many have profited from different spheres of digital assets and their likes. Ranging from shitcoins to meme coins and other altcoins. Meanwhile, dogecoin seems to be the most popularly talked about meme coin that people want to get their hands on. So, this prompted us to carefully explain how to buy dogecoin on this page.
Furthermore, meme coins include cryptos originating from Internet memes or some other comical characteristic. We often regard them in the broadest sense as a critique of the cryptocurrency market. Of which a particular example includes the “dog coins”, which we popularly call dogecoin.
Before proceeding to learn how to buy dogecoin, you can as well learn more about this meme club inception.
What Is Dogecoin?
Dogecoin is one of the thousands of cryptocurrencies belonging to the family of meme coins. Therefore, unlike many other digital currencies created to solve a problem, Dogecoin pokes fun at Bitcoin and the silliness of buying a digital asset not backed by any asset or cash flow. Nonetheless, the tables have turned, and Dogecoin has gained monetary worth value.
Hence, everything about the dogecoin origins points to its humorous nature. Meanwhile,, in a nutshell, we’ve summarized dogecoin’s inception.
However, notwithstanding its origins as an endeavor to poke fun at the crypto arena, Dogecoin has captured the attention of the investing, or speculating, public. Traders in Robinhood reported the total value of all Dogecoins in existence is around $8 billion, as of September 2022.
How To Buy Dogecoin
Time Needed : 3 minutes
We have carefully given a proper guide on how you can buy dogecoin for yourself below. Ensure to follow up bit by bit to purchase yours.
Consider How Much You Want to Invest in Dogecoin
The first thing you need to consider before proceeding to buy your doge includes knowing the amount you can afford to buy. What does this mean? Yes, we’ve heard viral stories of people who invested trivial amounts in DOGE but have now made millions, but still, we recommend you invest with caution. Cryptocurrencies are highly volatile while dogecoin can be riskier because of its unlimited supply. Therefore they can be very risky investments.
Dogecoin having unlimited supply has a deleterious effect on its nature. What does this mean? For Dogecoin’s price to rise or even remain steady, investors have to continuously buy more coins. Otherwise, the supply of DOGE increases rapidly. Therefore, diminishing the value of all the coins already in circulation (more like inflation on steroids). Thus, one of the creators of dogecoin removed the limit on the number of Dogecoins to discourage people from holding onto it in long term. Conversely, other major cryptocurrencies like Bitcoin, have caps on how many coins they issued. This creates scarcity, therefore, helps coins retain their value.
When you want to decide how much to invest, consider your overall financial condition, investment portfolio, and risk tolerance. Experts recommend you invest what you’re willing to lose with cryptocurrencies in general.
Decide on a Cryptocurrency Exchange
Now a good step includes you opening an account with a cryptocurrency exchange where you can purchase dogecoin. Here, buyers and sellers meet to exchange cryptocurrency for dollars. Some examples of popular exchanges include Binance, Kraken, and Coinbase. They all offer a simple, easy-to-use platform that charges higher fees as well as a more developed trader platform with lower fees.
However, one can also purchase crypto through beginner-friendly investment apps like Robinhood. Although bear in mind that those kinds of platforms may not let you transfer your coins off of the app. Meanwhile, some investors prefer to move their cryptos into different crypto wallets to protect their coins from hackers. So, if you want to do this with a brokerage app like Robinhood, you’d have to sell your coins, then rebuy them on an exchange to move them to a different wallet. Thus, this kind overthrows the purpose of buying them with an investment app in the main place. Therefore if you know you will want to move your coins to a separate wallet, you better start with an exchange.
Additionally, not that while Dogecoin has become very popular recently, not all crypto exchanges have it available for purchase. So, ensure any exchange you consider using has DOGE available for purchase.
Select a Payment Option
To buy your dogecoin, you have to deposit money in your exchange or brokerage account. Most times, the exchanges will let you deposit money from your checking or savings account. While some accept wire and PayPal transfers.
Meanwhile, a few exchanges permit you to use your credit card to buy Dogecoin and other cryptocurrencies directly. However, before you use your card to finance your crypto purchases, know that your credit card company will assume the money to be a cash advance and charge added fees and a higher APR.
Place Your Order for Dogecoin
Once you have successfully deposited your money into your crypto account, you can purchase Dogecoin on the exchange’s trading or purchase platform. Simply search for Dogecoin or enter its ticker symbol: DOGE. Then pick your trade type and enter either the number of dollars you want to invest or indicate how many Dogecoins you want to buy.
Consider Your Storage Options
When you buy Dogecoin, you’d see your doge store in your exchange’s or brokerage’s crypto wallet by default. However, you may prefer to withdraw the crypto and store it in another wallet.
You can decide to store your Dogecoin in either a hot wallet or a cold wallet outside of your exchange.
Hence, Hot wallets include digital wallets connected to the internet. While Cold wallets include physical hardware that you can disconnect, making them much less vulnerable to hacking.
Meanwhile, Cold wallets are generally more expensive than hot wallets, and you also run a greater risk of being unable to access your cryptocurrency if you lose or forget the password you need to login into your cold wallet.
- Computer/Laptop, Mobile phone or Tablet
Frequently Asked Questions About How To Buy Dogecoin
Should I store my dogecoin in an exchange?
Yes, you can store dogecoin in an exchange wallet especially if you use it to trade. However, it is not entirely safe as you could lose them if your account is beached. Therefore, I’d recommend you use a hardware wallet.
Is Dogecoin a good investment?
Dogecoin is variably a good investment. More like every other crypto whose prices fluctuate rapidly without any asset backup. It can be a good way to earn money, but highly risky.
What is Dogecoin trading fees or prices?
Most crypto charges gas fees and trading fees for transactions. However, this varies from exchange to exchange. So kindly research the fee of the particular exchange you use.
Finally, since you’ve learned how to buy dogecoin, you can as well trade Dogecoin directly on various sites. Or you can also invest in the companies giving rise to it and other cryptocurrencies a reality.
However, If you want to purchase doge or any other cryptocurrency, ensure to check the risks and opportunities. It becomes essential to check this because with many cryptos not backed by anything at all, traders run the risk of a total loss. So you have to proceed with caution and don’t invest what you can’t afford to lose.