What started as a meme is fast becoming not only a household but potentially a legitimate cryptocurrency as Dogecoin has recently taken the spotlight.
Firstly, what is Dogecoin?
Dogecoin (DOGE) is a cryptocurrency that was started as a joke. The logo and name are based on a Shibu Ina breed of dog that became popular thanks to meme culture.
It’s not particularly new as Dogecoin was launched in December 2013 as an open-source, peer-to-peer cryptocurrency. It was founded by the software engineers Jackson Palmer and Billy Markus.
Palmer and Markus set out to develop a payment system and a digital currency that will eliminate the fees charged by the traditional financial channels while enabling users to transfer coins.
Dogecoin quickly gained momentum and with that, an entire online community that supported the idea of this type of payment system emerged.
The online communities for DOGE are massive. The Reddit Dogecoin community has approximately 1.2 million members and on Twitter, it has about 633 000 followers. It even has a dogecoin-based internet chat.
Dogecoin is commonly used by online communities for tipping members that create and share interesting content online.
So how do I buy Dogecoin in South Africa?
First you will need to find a reputable and reliable trading platform. You can try opening an account with Capital.com or eToro. It is worth noting that Capital.com is a CFD platform that allows you to buy and sell Dogecoin without any trading commissions. Binance has also enabled a variety of methods with which traders can buy and sell Dogecoin.
Once that is done, you will need to upload your passport or your ID. This has to be done before you can make any trade.
When you have verified your identity, you can make a deposit using one of the eligible payment methods. This is funding your account.
Now with your verified and funded account, search for Dogecoin at the search bar and insert the amount you wish to invest. Then click on DOGE.
Who supports Dogecoin?
Tesla founder Elon Musk has been known to tweet about cryptocurrency, often causing a spike in trading. Musk has made several recent tweets about dogecoin and even called the token “the people’s crypto.”
Snoop Dogg and Kiss singer Gene Simmons have also jumped on the Dogecoin bandwagon as they have expressed their support for dogecoin on Twitter.
Simmons has actively promoted dogecoin to his Twitter followers and claimed he made a “six figure” investment in dogecoin. He owns other cryptocurrencies, including bitcoin.
Pros and Cons of buying Dogecoin
As with all cryptocurrencies and all things digital, there are pros and cons to investing in Dogecoin. But let’s start with the pros.
As mentioned before dogecoin has a phenomenal online following. For cryptocurrency, big online following and support usually spells good news for those who want to dabble in the meme-turned-mainstream cryptocurrency.
DOGE is also used to promote and support charitable events and projects and is a fun payment system, hence being called the “people’s crypto.“ DOGE can also be perceived as a long-term investment.
Of course, there are also cons and potential disadvantages.
While it is gaining momentum in the mainstream, it is still a meme currency and some might always look at it as only that, so not everyone will be behind it. There is also not much development related to dogecoin.
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