Dogecoin is one of the best cryptocurrencies to invest in due to its lower price, higher circulating supply, and its growing celebrity fan base including billionaires such as Elon Musk and Mark Cuban.
In this article, I'll break down step by step how to invest in Dogecoin even if you're a complete beginner.
What is Dogecoin?
Dogecoin is a cryptocurrency created in 2013 as a joke to complement BItcoin back when crypto was less popular. There are currently over 129 billion Dogecoin in supply and the supply increases by 5 billion coins annually.
Many people believe Dogecoin is a better form of currency since the constant inflationary affect makes it easier to spend on goods and services. However, many Bitcoin maximalists say Dogecoin mimics fiat currency and preper the safety and scarcity of Bitcoin instead.
Is Dogecoin a Good Long Term Investment?
Many Dogecoin fanatics believe in DOGE and think it's a preferred method of currency over goverment fiat currencies like the US dollar.
Dogecoin is up over 2,000% over the last year after Elon Musk began tweeting about it in May 2020 and the DOGE price peaked during Elon Musk's Saturday Night Live appearance.
How to Invest in Dogecoin (DOGE) Step by Step
- For US Residents: Coinbase
- For Non-US Residents: Binance
The easiest way to invest in Dogecoin is through Coinbase. Coinbase is the largest cryptocurrency exchange in America with over 50+ million verified accounts. I use Coinbase to store the majority of my crypto and it's very safe and secure.
The entire process of buying Dogecoin on Coinbase is simple and straightforward.
1. Create a Coinbase Account
Go to Coinbase and create a cryptocurrency trading account. You'll need to verify your email address and ID to get started.
2. Buy DOGE on Coinbase
Once your account is setup, you can buy Dogecoin with your credit card or bank account. Buying DOGE with your linked bank account is cheaper and you'll save money on Coinbase fees.
Enter the amount of DOGE you want to buy, preview the purchase, then click Buy.
3. Determine your Entry/Exit Strategy
Buying DOGE is just half the battle for investors. You need to think about what to do in the future if Dogecoin soars higher or crashes.
If you're bullish long term in DOGE then you could simply buy a lot of DOGE in a lump sum and hold for a while.
Another good strategy is to dollar cost average Dogecoin on a regular basis. Coinbase allows you to setup daily/weekly/monthly automatic purchases so you can invest in DOGE on a regular basis.