Coinbase, the cryptocurrency exchange that allows users to easily buy, sell, trade, and hold various cryptocurrencies, has added dogecoin to its roster. The ‘joke’ cryptocurrency has picked up speed in a way unanticipated years ago when it first launched, making a small number of people very wealthy while driving others to purchase the coins in hopes of reaching or exceeding a $1/coin valuation.
Coinbase has announced its intention to add the dogecoin cryptocurrency to its portfolio, enabling users to purchase, hold, and trade the digital asset. The announcement coincided with a tweet from Elon Musk stating that he is working with the developers behind the coin to increase its efficiency.
Dogecoin, once a joke cryptocurrency, has seen a boost in engagement that rose its value from pennies to tens of pennies, reaching $0.56/coin today. The excitement has been fueled by Musk, who has regularly commented on the coin as of late, including asking whether Tesla should accept dogecoin payments and revealing plans to launch the Doge-1 satellite.
Amid this attention, Coinbase is working on bringing the cryptocurrency to its exchange platform. The company expects to support dogecoin at some point in the next six to eight weeks, giving Robinhood — which also now allows its users to purchase the digital asset — a strong competitor. This may likewise compel Robinhood to keep its dogecoin trading online when things get volatile, as consumers can easily turn elsewhere.
Despite the hype, experts have warned that dogecoin is a risky investment; others warn that the entire cryptocurrency market is currently in a bubble, cautioning that investors should be prepared to potentially lose any money they invest in the digital assets.