Stash And Dogecoin: A How-To Guide For Investors

Dogecoin is a cryptocurrency that was launched in 2013 by software engineers Billy Markus and Jackson Palmer. It was created to make digital currency more fun, friendly, and approachable. Dogecoin can be purchased on several cryptocurrency exchanges, such as Binance, Coinbase, and Robinhood. It can also be accessed through investment apps like Robinhood, SoFi, and Webull. While Dogecoin has gained popularity and is supported by a passionate community, it is considered a less serious investment option than other cryptocurrencies like Bitcoin due to its volatile nature and lack of long-term growth.

Stash and Grayscale

Stash is a beginner-friendly investment platform that allows users to invest in cryptocurrency through funds offered by Grayscale, the world's largest digital currency asset manager. The company manages more than $35 billion in crypto assets and is a pioneer in offering exposure to crypto through funds.

Stash recommends holding no more than 2% of your overall portfolio in any one cryptocurrency to limit crypto-specific risks. The platform also provides a step-by-step guide for beginners, covering topics such as choosing a cryptocurrency, selecting a reputable exchange, exploring storage options, deciding how much to invest, and managing investments.

Grayscale, on the other hand, is a crypto asset management company that allows its customers to buy shares that roughly track the price of various cryptocurrencies. The company manages billions of dollars worth of cryptocurrencies and has filed a "distribution of rights" declaration with the SEC regarding its holdings of forked Ethereum coins (ETHW).

Grayscale's customers can benefit from the company's expertise in managing crypto assets and its ability to provide exposure to cryptocurrencies through funds. However, it is important to note that investing in cryptocurrencies carries risks, and individuals should carefully consider their budget, risk tolerance, and investment strategy before making any decisions.

Crypto exchange platforms

Centralised crypto exchanges (CEX) are managed by one organisation, and they allow users to convert fiat currency, like dollars, directly into crypto. The vast majority of crypto trading takes place on centralised exchanges. However, some crypto enthusiasts object to centralised exchanges because they go against the decentralised ethos of cryptocurrency.

Decentralised crypto exchanges (DEX) distribute responsibility for facilitating and verifying crypto trades. Anyone willing to join a DEX network can certify transactions, much like cryptocurrency blockchains work. This may help increase accountability and transparency, as well as ensure the exchange can keep running, regardless of the state of the company that created it. However, they are much less user-friendly and don't always allow users to deposit fiat currency.

There are around 500 crypto exchange platforms to choose from, including:

• Coinbase: beginner-friendly with a user-friendly interface and strong security features.
• Crypto.com: offers a vast digital asset ecosystem and a highly-rated mobile app.
• Kraken: one of the oldest crypto exchanges, offering a solid range of coins and very competitive trading fees.
• Gemini: puts a strong emphasis on security and compliance and is available in all 50 US states.
• Bisq: a decentralised exchange that allows users to buy and sell Bitcoin and other cryptocurrencies securely and privately.
• Binance: one of the largest crypto exchanges by trading volume.
• FTX: created to facilitate the trade of crypto derivatives, with maker and taker fees similar to those of Binance and Huobi.
• Huobi Global: offers a percentage-based fee structure and is one of the longest-lasting exchanges globally.

Investment apps

Dogecoin (DOGE) is a digital currency that was launched in 2013 by software engineers Billy Markus and Jackson Palmer. It was created to make digital currency more fun, friendly, and approachable. Dogecoin is similar to Bitcoin and can be used for peer-to-peer transactions.

You can buy Dogecoin by opening an account with a crypto exchange like Coinbase, Binance.US, and Kraken. You can also access Dogecoin through investment apps like Robinhood, SoFi, and Webull. These investment apps allow you to buy and sell Dogecoin and other cryptocurrencies, often with no commissions.

It is important to note that Dogecoin is considered a highly speculative and volatile investment. It is referred to as a "meme" crypto and has seen significant price fluctuations. While it may offer potential for short-term gains, it is not suitable for long-term investors due to its high risk and lack of intrinsic value.

When considering investing in Dogecoin or any other cryptocurrency, it is essential to do your research, understand the risks involved, and only invest what you can afford to lose.

Dogecoin's price performance

Dogecoin was created in December 2013 and experienced its first significant price jump almost immediately, with its price soaring 1,061% in 15 days from $0.0002 to $0.0023. The second big hike took place in March 2017, with the price rising by 1,494% to a peak of $0.004. This was during the early stages of a crypto bull market. Despite this, Doge prices fell below $0.001 in the second quarter of 2017.

In November 2017, Dogecoin's price found support from bullish investors again, and by January 2018, its price had reached a peak of $0.018. However, it took over three years for Dogecoin to reach this level again, as it experienced a prolonged period of low trading activity.

In 2021, Dogecoin's price began to surge once more, spurred by endorsements from celebrity supporters such as Tesla CEO Elon Musk, Snoop Dogg, and Mark Cuban. Between January and May 2021, Dogecoin posted a 9,884% gain, peaking at a new all-time high of $0.74. This made Dogecoin one of the larger cryptocurrencies by market cap, with a total value that topped $80 billion in 2021.

Since then, Dogecoin's price has experienced a decline. As of August 2024, its price is $0.101291, with a 24-hour trading volume of $427,732,204. Dogecoin's current market cap is $14,745,030,354, with a circulating supply of 145,570,586,384 DOGE coins.

Pros and cons of Dogecoin

Dogecoin is a cryptocurrency altcoin that trades under the DOGE ticker symbol against USD and other cryptocurrencies like Bitcoin. It was created in December 2013 as a joke and was named after the popular meme based on a Shibu Inu dog. Here are some pros and cons of Dogecoin:

Pros:

• Elon Musk, Tesla's founder and CEO, has shown support for Dogecoin, calling it "the people's crypto". This has resulted in a positive impact on the price of Dogecoin.
• Dogecoin can be used to purchase some items on the Tesla website, as well as to sponsor NASCAR teams.
• Dogecoin has a strong community of supporters who believe in its potential as a legitimate currency.
• Dogecoin is accepted by some merchants and businesses, and its practicality is increasing.

Cons:

• Dogecoin is highly centralized, with one specific address holding 27% of all DOGE coins and the top 20 addresses holding more than 50%. This raises concerns about the project's decentralization and security.
• Dogecoin was created as a joke and may not be taken seriously by some investors or the general public.
• The value of Dogecoin is highly volatile and subject to significant price fluctuations, as evidenced by the 40% price spike caused by Elon Musk's tweet.

Frequently asked questions