Dogecoin rose to fame after its price increased by 1,000% within months in 2020, grabbing the attention of cryptocurrency investors worldwide. The surge sparked significant interest in the asset as it was listed in the top 10 largest crypto assets by market capitalization. This was the first time a meme coin with seemingly no utility broke into the exclusive top ten.
Dogecoin started as a joke, but it developed to become a famous cryptocurrency. Its success brought about a new class of crypto assets – meme coins. Shiba Inu (SHIB) and Floki Inu (FLOKI) were launched as meme coins, i.e., cryptocurrencies launched as a parody or inside joke rather than as a digital product that actually has some utility.
As DOGE grew, it was only a matter of time before Coinbase, the largest cryptocurrency exchange in the US, listed the asset. The listing was historic for Dogecoin’s community, and this article will explore the best way for users to buy DOGE on Coinbase in great detail.
What Is Dogecoin
Dogecoin was released on December 6, 2013. Created by software developers Billy Markus and Jackson Palmer, it was initially intended as a joke, lampooning other cryptocurrencies like Bitcoin for their grand plans of changing the world. Dogecoin was created from the viral internet meme of a Japanese Shiba Inu dog used as its logo and namesake.
Dogecoin is based on Litecoin’s code and uses a Scrypt-based hash function. The network has a block time of 1 minute and a block reward of 10,000 Dogecoins. There is 132.6 billion DOGE in circulation, with a max supply of 21 million.
Although initially created as a joke, Dogecoin has been used to facilitate transactions due to its speed and low transaction fees. Dogecoin fans have also been using the asset for third-party online tipping services and crowdfunding for charitable causes.
At one point in 2021, the DOGE price reached a high of $0.7376, and Electric carmaker Tesla, Inc. (TSLA) started accepting the Dogecoin (DOGE) cryptocurrency for certain merchandise on its website in 2022.
On June 3, 2021, Dogecoin was listed on the Coinbase platform, meaning Coinbase users could buy, sell, and trade Dogecoin “in all Coinbase-supported regions” with additional support for Coinbase Pro.
Coinbase
Coinbase is the largest exchange in the US and the second-largest in the world by transaction volume, after Binance. Founded by Brian Armstrong and Fred Ehrsam in 2012, the exchange has more than 98 million verified users in over 100 countries and maintains approximately $256 billion in assets. Coinbase allows you to trade more than 130 types of cryptocurrency.
The exchange famously went public and reached a valuation of over $100 billion in 2021. The “Coinbase Effect,” meaning the value of a crypto asset tends to rise exponentially within days after getting listed on the exchange, demonstrates Coinbase’s influence in the crypto industry.
Coinbase has gained popularity thanks to its impressive features and services. First and foremost, Coinbase has attracted beginners to the platform thanks to its robust security features and 24/7 customer support. Competitive fees, an easy-to-use platform, and international reach are some stellar features that help Coinbase get an edge over other cryptocurrency exchanges in the space.
Now, let’s learn how to buy Dogecoin on Coinbase in a few simple steps.
Step #1: Create a Coinbase Account
To buy Dogecoin on Coinbase, you need to create an account on the platform’s website or the Coinbase app that can be downloaded from Apple and Android stores.
Creating a Coinbase account is pretty straightforward. You must navigate to the sign-up page and fill in the basic details like your name and email address. To complete the process, you must verify your email address by clicking the verification link sent to your email.
Coinbase requires you to enable two-factor authentication (2FA) using your email address or phone number.
Step #4: Verify Your Account
Coinbase complies with Anti-Money Laundering and KYC regulations. In line with the regulations, Coinbase users must verify their identities by submitting a government-issued passport, driver’s license, or a national identity card.
Step #5: Deposit Funds
After creating and verifying your account, you need to fund your account to buy Dogecoin on Coinbase. Coinbase supports a wide range of funding options, including direct transfers from your bank account, debit cards, PayPal, and wire transfers, depending on your location.
Funding your Coinbase account using debit cards is ideal for small purchases, while wire transfers are preferable for larger amounts, over $25,000. Before choosing a deposit method, consider the fees and limits associated with it. You can also user cryptocurrencies to fund your account by transferring them to your Coinbase wallet. Coinbase fees can be confusing, and some variations exist depending on your region.
You can’t deposit dollars to Coinbase, but you can buy Bitcoin worth the amount you want to deposit and then trade Bitcoin for DOGE instead.
Step #6: Buy Dogecoin
After creating, verifying, and funding your account, you’re all set to buy Dogecoin on Coinbase. Click on the Trade panel and choose Dogecoin from the list of cryptocurrencies. You will see a chart, the asset’s brief description, and other metrics like its market cap, transaction volume over 24 hours, total supply, etc.
Scroll down to submit a buy order for DOGE, input the amount used to purchase DOGE, and Coinbase’s algorithm will automatically calculate the number of DOGE you’ll get based on its current trading value.
Double-check and confirm the details before you click the submit button. Upon submission, the order will be processed immediately.
Coinbase supports swapping your cryptocurrencies for DOGE. Users should navigate to the order box and select the convert button. Select the cryptocurrency you want to swap for DOGE, and enter the amount in US dollars. Confirm the details and click submit.
Congratulations! Following the steps above, you should have your own DOGE coins in your Coinbase account. With DOGE in your Coinbase account, you can do several things.
Withdraw DOGE From Coinbase
To withdraw DOGE from your Coinbase account, click the Send button and fill in the address you want to transfer DOGE. Double-check the details carefully before confirming the transfer request because your funds cannot be recovered if sent to the wrong address.
After confirmation, Dogecoin’s network will validate the transaction, and your DOGE will be successfully withdrawn from the exchange.
Users can send their DOGE to another exchange or store them securely in a hardware wallet. You can also opt to convert DOGE to fiat currency and send it to your bank account. However, you can’t send Dogecoin to your bank account directly: you will have to sell Dogecoin to your Coinbase cash account and then withdraw it to your bank account.
Coinbase charges 1% of the value to be withdrawn, in addition to the fee charged by Dogecoin’s network. Withdrawing via PayPal has a limit of $25,000 per day, with a holding period of 1-4 days.
Track Your Dogecoins With CoinStats
CoinStats, the leading crypto and DeFi portfolio tracker, allows users to track the prices of all their crypto assets, including DOGE, across several exchanges and wallets. With over 400 supported platforms, tracking your DOGE coins has never been easier.
Users can set price alerts, set a watchlist, earn up to 20% APY, get a 24-hour cryptocurrency market report, and the latest Dogecoin news on CoinStats. CoinStats uses military-grade encryption to protect data and adopts industry best practices for smooth transactions.
Connecting your Coinbase account with the CoinStats portfolio tracker is a simple process. Simply log into your account and select API on your profile icon on the top right of the display screen. Select ‘New API Key,’ name the key, and give permission to view and create API Key. Copy the API secret key after completing the 2-step verification. Go to the CoinStats app, select Portfolio, and click on ‘Connect Exchange.’ Choose Coinbase from the list and paste the API Key and API Secret Phrase in the provided section. Once you complete this process, your Coinbase portfolio will automatically be synced with CoinStats, making it possible for you to keep an eye on all your Dogecoins on one intuitive platform.
Conclusion
Dogecoin’s meteoric rise in value has piqued the interest of crypto investors worldwide, and Coinbase’s historic listing of Dogecoin has made the asset easily accessible to them.
Dogecoin trading on Coinbase is fully supported in the US, EU, and the UK, with limited support available in other regions.
We hope our guide on how to buy Dogecoin on Coinbase helped you gain a fundamental understanding of Dogecoin and the process of buying it on Coinbase.
