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Oct

2021

What is SushiSwap (SUSHI)? How to Buy SUSHI

Guide to Investing in Sushi Swap (SUSHI)

By Matthew Zeitlin | Growing Wealth, invest, Investing | Comments Off

Behind every new cryptocurrency these days, there’s typically an old one. One classic example is when Bitcoin Cash split off from Bitcoin. In the volatile and dynamic world of DeFi (decentralized finance), consider SushiSwap forking from Uniswap, one of the biggest and most valuable decentralized cryptocurrency exchanges.

SushiSwap is one of the fastest growing types of cryptocurrency. Here, we’ll explore what it is, how it works, and whether it’s a good crypto investment.

What is SushiSwap (SUSHI) Cryptocurrency?

SushiSwap, a decentralized cryptocurrency exchange, is run on smart contracts. Individuals can trade cryptocurrency with each other using the Ethereum blockchain. The Sushi coin is a token that allows its holders to make decisions about how SushiSwap is run.

This is different from how more mainstream, centralized cryptocurrency exchanges operate. How those cryptocurrency exchanges work is not that different from a traditional brokerage: you set up an account, load it up with money, and buy an asset — with the exchange taking either a fee or the “spread” between how much the asset is selling for and how much people are willing to pay for it (or sometimes both).

Decentralized exchanges like SushiSwap try to live up to cryptocurrency’s anarchic ethos by building a framework for people to exchange cryptocurrency with each other. One way this happens is by “liquidity mining”, where users contribute cryptocurrency they own to “pools” (pairs of crypto that can be traded on the exchange) in return for fees from the platform or, in this case, Sushi. Conceptually, this is similar to Bitcoin mining, but it typically happens on Ethereum-based blockchains and in some ways is also analogous to how banking works.

Recommended: What is a Decentralized Exchange (DEX)?

SushiSwap incentivizes users to provide liquidity for certain token pairs so that they’re available to traders on the platforms by adjusting how much they get paid out in fees. The pairs are usually Ether and another token.

Governance is another defining feature of Sushi crypto. The Sushi token enables its holders to vote on platform policy and technological choices.

How Does the SUSHI Token Work?

The Sushi token works as an incentive for staking SushiSwap with cryptocurrency pairs that can then be exchanged by its users. By staking your crypto, you get paid out in Sushi as well as fees from the exchange itself. You can also buy and sell Sushi itself.

SUSHI Price

Despite only being around for less than two years, Sushi has taken a wild ride in terms of price. As of September 30, 2021, it was the 76th most valuable token on CoinMarketCap and was trading at nearly $11. It had been priced as low as 49 cents late 2020 and as high as $23 in March of this year. The token has a market cap of $1.4 billion.

Because SushiSwap underlies a whole ecosystem of tokens, there are other relevant statistics besides the price of the Sushi token. One should also look at the whole sushi exchange universe, including SushiSwap. There’s about $4.3 billion of “total value locked” on SushiSwap, representing the value of assets staked on the platform.

History of SushiSwap

SushiSwap grew out of the most prominent DeFi exchange, Uniswap, in 2020. The Uniswap developer, “Chef Nomi,” explicitly designed SushiSwap to reward Uniswap users who migrated to the fork.

But controversy soon followed. Nomi admitted to and apologized for extracting $14 million worth of Ether from the platform before returning it to the crypto wallet used for the platform. This led to a major crash in the price of the Sushi token that it didn’t recover from until earlier this year.

Since then, the governance of SushiSwap has been overhauled and it has more than made back the losses it earned from its early developer errors.

What Can You Use SUSHI For?

The primary use for Sushi is on SushiSwap, as a reward for staking crypto to make its decentralized exchange function. Additionally, owning Sushi allows holders the right to vote on decisions regarding how the exchange functions.

As with any cryptocurrency or token, when people decide to invest in SUSHI it’s because they hope it will go up in value. Of course, given how volatile cryptocurrencies are, it’s impossible to predict the price of SUSHI or any other coin. This is part of the basics of investing in crypto. Before buying, selling, or trading crypto, investors should become familiar with crypto rules and regulations. For example, Sushi can’t be bought in every U.S. State.

Is SUSHI Crypto a Good Investment?

Interest in DeFi platforms and associated tokens is growing. There are two main reasons for this:

1. People want to trade tokens with each other in a way that doesn’t involve direct use of centralized exchanges and fiat currency.

2. They see the associated tokens as good investments.

On the other hand, this increased interest means there is fierce competition between platforms for staking, liquidity, and token investment. SushiSwap is perhaps the best example of the risks of investing in a given DeFi platform — it was itself a clone that explicitly tried to suck away liquidity from an earlier platform and was rocked by an early scandal with one of its lead developers.

In the wild west of DeFi, software products can spring up very quickly. And because the field is so new, there’s little brand or institutional loyalty among customers, users, and other stakeholders.

How and Where to Buy SUSHI Cryptocurrency

There are two ways to acquire Sushi.

The first is through an exchange that lets you buy cryptocurrencies with U.S. dollars or other fiat currencies. You fill an account with dollars and buy the corresponding crypto. Some exchanges that allow you to buy Sushi are Kraken and Coinbase. Some exchanges also let you trade mainstream, establish cryptocurrencies like Bitcoin for coins like Sushi.

Second, there’s the more native way to earn Sushi. You can connect your existing crypto wallet to
SushiSwap to provide liquidity to the exchange and receive Sushi as a reward.

The Takeaway

SushiSwap is a decentralized cryptocurrency exchange run on the Ethereum blockchain. It encourages staking by incentivizing users with Sushi tokens. And in turn, Sushi tokens offer governance to holders, so they can vote on platform policy and technology.

Before investing in any cryptocurrency, it can be helpful to read a cryptocurrency guide. The world of crypto is dynamic and can sometimes be counter-intuitive. Doing your own research is always worthwhile.

Photo credit: iStock/Михаил Руденко

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Oct

2021

What Is a dApp? A Guide to Decentralized Applications

By Brian Nibley | Growing Wealth, invest, Investing | Comments Off

The invention of cryptocurrency, blockchain, and smart contracts has opened up a new world of technological possibilities.

Bitcoin, the first cryptocurrency, provided a way for people to transfer value independently of any third-party payment processor thanks to blockchain technology. This same concept has also been applied to more complex transactions, like those involving software applications.

Software applications that run independently of a central authority are known as dApps, or decentralized apps.

What is a dApp?

An application that has no central authority governing it, isn’t hosted on one centralized server, and runs on a distributed, decentralized peer-to-peer network is known as a decentralized application (dApp).

A dApp is, for the most part, similar to any other software application — for instance, it could function on a desktop or mobile device, and will have a graphical user interface (GUI) just like any other app.

What makes dApps different is how they function behind the scenes, with the app being powered by transactions taking place on a decentralized network. Most or all of the backend programming happens on a decentralized network like Ethereum.

How dApps Work with Ethereum

Most dApps run atop Ethereum. Other protocols exist that perform similar functions, such as Tron or EOS, but Ethereum is the dominant market player in this space.

The Ethereum protocol gives users the ability to deploy and run smart contracts. A smart contract is a virtual agreement contained in code that can run specific operations and interact with other smart contracts.

The use of smart contracts eliminates the need for a third party to handle transactions and contract execution between two parties. Replacing the middle man with a program can speed up processes, reduce the potential for fraudulent transactions, and reduce costs.

Where do smart contracts exist? On thousands of servers called “nodes” distributed around the world. The nodes continually work to make sure they all agree on the current state of the network and which transactions are valid.

What Makes dApps Different?

There are a few key characteristics that differentiate dApps from other programs:

• dApps run on a blockchain

• Their code is open-source and operates independently of any person or group

• Many dApps generate tokens in an effort to bring value to their nodes

• Users often must contribute tokens to gain access

• Miners receive new tokens as a reward for contributing to the ecosystem

Not all dApps have a native token. The Crypto Kitties game, for example, was one of the first and most popular dApps of its time, beginning in 2018. Playing the game required ETH gas fees and the value exchanged between players were pictures of digital cats.

Any dApp running atop Ethereum will require gas fees, paid in ETH (the native token of the Ethereum network), to facilitate smart contract transactions. The same holds true of other smart contract protocols. Some dApp protocols may have their own native tokens as well.

Recommended: What is a Crypto Token? Tokens vs Coins

What Can dApps Be Used For?

DApps can be used for just about anything that requires two or more parties to agree on something. When the appropriate conditions are met, the contract will execute automatically.

4 Different Types of dApps

1. Money management applications

These allow users to make peer-to-peer transactions on a blockchain network. Dapps of this kind often have their own independent blockchains, and are commonly called cryptocurrencies.

One of the most popular use cases for decentralized applications in recent years has been decentralized finance (DeFi). Decentralized exchanges (DEXs), for example, allow for peer-to-peer trading of digital assets without the need for a single entity maintaining order books, user accounts, and security. Financial services like borrowing and lending can also take place thanks to dApps. This can provide access to loans for people with poor credit (as no credit check is required) and give investors a chance to earn yield on their idle investments.

Recommended: A Guide to Decentralized Finance (DeFi)

2. Applications that align real-world events with digital assets.

An example could be oracles that feed real-time price data to decentralized exchanges or other interested parties. Or a logistics company could use a location-tracking chip to verify that a cargo shipment has reached its destination, at which time payment for the shipment could be released. Such a transaction could be accomplished with crypto, with no action taken on part of the humans involved aside from both the buyer and seller entering into a smart contract agreement beforehand.

Such agreements wouldn’t require notarization by a formal authority, as there would be no way for participants to avoid their contractual obligations (assuming the smart contract code was written correctly).

3. Decentralized Autonomous Organizations (DAOs).

These are decentralized blockchain-based organizations with no leader. Such organizations run according to rules defined by code from day one. These programmatic rules can define who can be a member, how voting works, what activities members can engage in, and how funds or value can be exchanged. After deployment, a DAO operates autonomously.

Recommended: What Is a DAO and How Do They Work?

4. Oracles.

These are an interesting kind of dApp that can be used to compliment other dApps. Oracles like Chainlink are protocols that provide real-time data about something happening in the real world. Synthetic assets, for example, allow people in the DeFi world to trade crypto tokens that are designed to have the same price as a real, physical asset like gold or oil. Oracles provide the price data that allows this kind of trading to happen.

The Takeaway

A decentralized application, or dApp, is a software app that can run atop a blockchain protocol independently and autonomously, without the need for constant human intervention.

DApps have many potential use cases, some of which are still being developed. Decentralized finance (DeFi) and non-fungible tokens (NFTs) are a few of the latest examples, but they likely won’t be the last.

Photo credit: iStock/Poike

Oct

2021

What Is a Dogecoin Faucet? Where Can I Access One?

By Brian Nibley | Growing Wealth, invest, Investing | Comments Off

A Dogecoin faucet is an app or website that gives out DOGE (pronounced DOHJE) in exchange for completing simple tasks.

So how do faucets work? How do you find them? And are there any risks associated with using faucets? We will answer questions like these in this article.

What is a Dogecoin Faucet?

The name “faucet” reflects the fact that the rewards are very small, as if they were drops of water dripping from a faucet.

Free Dogecoin faucets send a few DOGE, usually one or two Dogecoins, to a user’s crypto wallet. To claim these rewards, users often have to perform a task like:

• Watch product videos

• View advertisements

• Complete a captcha

• Solve a puzzle

In exchange for these tasks, users could be rewarded with Dogecoins.

Why Were Dogecoin Faucets Created?

Crypto faucets have their roots in the very early days of cryptocurrency.

When Bitcoin was only a few years old, 1 BTC was worth less than a penny. Some early adopters took it upon themselves to create new, fun ways to spread the word about crypto.

Among them, developer Gavin Andresen believed in the future of Bitcoin and came up with a way for more people to learn about cryptocurrency. His idea was to give away free Bitcoins in exchange for completing Captchas.

The first Bitcoin faucet ever created paid out 5 BTC in exchange for the simple task of clicking images. Again, this was at a time when one Bitcoin was worth less than a penny. Today, 5 BTC would be worth about $250,000.

Over time, faucets for popular altcoins sprang up as well. When software engineers Billy Marcus and Jackson Palmer launched DOGE in 2014, DOGE faucets quickly sprang up for what was originally a joke currency. DOGE is a good fit for a faucet considering it has very low fees and was worth a tiny fraction of a penny when it was first created. Since it’s an uncapped currency, it’s also unlikely that the price will go up dramatically in the future.

How to Use a Dogecoin Faucet

The only things required are a computer with internet access and a Dogecoin wallet. Many popular crypto exchanges and their mobile apps support DOGE, providing users with a DOGE wallet.

A Dogecoin faucet, also known in the DOGE community as a “water bowl,” will ask users to enter their wallet address (also known as a public key). This is a necessary step so that the faucet knows where to send coins. If a user enters the wrong address, they won’t receive any rewards.

After entering the wallet address, a user must complete whatever task the faucet requires. Some faucets only require users to click a button to receive one or two free DOGE.

Note that there will be a time limit placed on how often someone can use the faucet. For example, the same person might only be able to use the faucet once a day or once every several hours. This prevents individuals from spamming the faucet and draining it of all its coins.

Keep in mind that faucet rewards are very small, and as the price of a coin rises, the rewards get even smaller in crypto terms. Using faucets is not a very efficient way to start building a crypto portfolio.

Are There Any Risks With a Dogecoin Faucet?

A Dogecoin faucet can come with some potential risks, as anything related to investing in cryptocurrency generally does.

Phishing scams have utilized crypto faucets in the past, seeking user information that they later use to target individuals for exploitation like identity theft or other crimes.

That’s why before using a faucet, you should first check to make sure it has a legitimate reputation. If there have been complaints from users in the past, it might be wise to consider looking for a different faucet.

It can be helpful to look at the website that hosts the faucet. A true faucet only has a single webpage with one function: to distribute coins. This only requires a place for people to enter their wallet address and a button to click, usually with a Captcha underneath it.

This feature should be the main attraction of the site. There might be some images of dogs or a variation of the Doge meme, and maybe some FAQs or other commentary. But if a “faucet” site has more than that, the odds of it being some sort of scam go up dramatically.

There’s also the risk that Dogecoin faucet users will be bombarded with advertisements and ad-tracking cookies in their browsers. Because most faucets are free, they tend to commoditize user’s time and traffic.

Finally, the high volatility of DOGE makes it a risky investment, no matter whether you’re getting it via a faucet or some other route. Some detractors have even compared DOGE to a pump-and-dump scheme.

Can I Mine Dogecoin?

Most cryptocurrencies can be mined by almost anyone.

Without getting into all the details, mining Dogecoin involves running powerful computers known as miners that process network transactions. In exchange for this work, miners receive block rewards of fresh Dogecoins. A new block of transactions is mined about once every minute on the Dogecoin network. The reward for each block is 10,000 DOGE, or about $2,500 currently.

Mining DOGE can be done alone or in a pool. For most people, it’s easier and more profitable to mine as part of a pool.

Anyone who wants to start mining Dogecoin will have to answer several questions, especially the following:

• Will you mine solo or join a Dogecoin mining pool?

• What Dogecoin mining hardware will you use?

• What Dogecoin mining software will you use?

The Takeaway

You can find Dogecoin faucets through a simple search online or using a directory like this one. Be careful though, as some sites could use the allure of a Dogecoin faucet to trick people into giving up sensitive information. You should only need to enter your Doge wallet.

Photo credit:iStock/Ksenia Raykova

Oct

2021

12 Factors that Make the Price of Bitcoin Go Up

11 Factors that Make the Price of Bitcoin Go Up

By Brian Nibley | Growing Wealth, invest, Investing | Comments Off

In 2009, the Bitcoin network went live and the world changed forever. The first cryptocurrency started out with a value of $0, and it took years before bitcoins gained value in terms of any national fiat currency. But at the time of writing in late September 2021, the value of Bitcoin had risen to over $47,000, after beginning at $0 just twelve years earlier.

There are a number of factors that drive Bitcoin’s prices — including its sudden price surges and steep drops. Here are 11 factors.

1. Supply and Demand

Part of what determines Bitcoin price is supply and demand. The Bitcoin protocol is designed to limit the supply of new coins. A new block of transactions is mined about every 10 minutes, and miners receive a set reward of new bitcoins for finding each block.

This reward amount is steadily reduced overtime and there are only 21 million bitcoins that can ever be mined. As of June 2021, about 18.74 million bitcoins had been mined, leaving 2.26 million bitcoins remaining. It’s estimated that the final bitcoin will be mined sometime around the year 2140.

On the other hand, the fiat currencies that prices are measured in have no supply cap and are always being created in ever-increasing amounts. This can result in more fiat currencies chasing fewer bitcoins, which can lead to higher Bitcoin prices.

2. Bitcoin Halving

Halving is part of the Bitcoin protocol that contributes to the supply and demand dynamics. Rather than new bitcoins being created at a steady or ever-increasing rate, the reward that miners receive for mining new blocks gets cut by 50% every 4 years or so.

In 2009, the block reward was 50 bitcoins. Over the next 11 years, the reward was “halved” three times, or reduced as follows:

• 2012: 25 bitcoins

• 2016: 12.5 bitcoins

• 2020: 6.25 bitcoins

In this way, Bitcoin remains a deflationary currency thanks to the process of Bitcoin mining. Fiat currencies, being inflationary, work in the opposite manner. Their supply increases each year with no limit on how many currency units can be created.

3. Monetary Policy

Because Bitcoin has a fixed supply limit, the price tends to correlate with the supply of new fiat currency being created. An increase in the money supply can be part of what drives up Bitcoin’s price. However, this isn’t a hard and fast rule — and past performance doesn’t always indicate future results.

It is worth noting that throughout 2020 and early 2021, the money supply in the U.S. saw massive increases to the tune of trillions and trillions of new dollars being created. During this same period, the price of Bitcoin rose from under $4,000 in March 2020 to over $60,000 in April 2021. When it comes to questions of what affects the Bitcoin price, monetary policy is thought to be a key factor.

4. Regulatory Factors

Regulatory news can also affect Bitcoin price. Some people believe that national governments will one day create such strict crypto regulations around Bitcoin and companies that use it that the technology will not survive. Because of this fear, sometimes it only takes a simple statement from a regulatory agency to cause prices to tank.

At the same time, some regulation can also be seen as a positive sign. It signals that the technology is seeing increased adoption and becoming more and more accepted. So, when regulatory agencies respond favorably to Bitcoin or announce new regulations that seem benevolent, this can be part of what makes Bitcoin go up.

5. Memes and Social Media

While technical matters and serious issues can contribute to what drives the Bitcoin price, more light-hearted factors can also influence what makes Bitcoin go up or down. Memes circulating on social media can sway sentiment toward crypto markets and possibly impact prices.

6. Mainstream Media

In addition to social media, the regular news cycle can also influence Bitcoin price. Almost every time Bitcoin suffers a price correction, numerous mainstream media outlets begin publishing negative news.

Some of these can be so pessimistic that they fall into the category of what’s become known as “Bitcoin obituaries,” where a media outlet proclaims that Bitcoin has died. Sometimes influential politicians, bankers, or bureaucrats make negative statements about Bitcoin too, leading to similar effects on price.

On the other hand, when overall media coverage is positive, this can make the price of Bitcoin go up. In 2020 and 2021, news about influential investors making bets on Bitcoin were seen as significant factors with regard to what makes Bitcoin go up, as well as a factor in Bitcoin’s volatility.

7. Miners

In Bitcoin mining, powerful computers process transactions for the network, keeping Bitcoin running in a decentralized way. Mining operations continue running, at least in part, with funding from the bitcoins that they mine.

But miners have to be very careful about what they do with their new bitcoins. If miners believe the price of Bitcoin will go up in the future, they are likely to hold their coins for some time. If miners believe prices will go down soon, they might sell their coins immediately.

Miners refusing to sell new coins can be part of what makes Bitcoin go up, as new supply never makes it to crypto exchanges where it could drive prices down.

8. Hash Rate

The Bitcoin hash rate is one of the most important metrics in Bitcoin. The hash rate indicates how hard miners are working to solve the mathematical problems needed to process transactions. The more miners that are contributing computing power, the higher the hash rate.

While there’s disagreement about whether or not hash rate is part of what affects the price of Bitcoin, there does appear to at least be some correlation. If nothing else, a higher hash rate makes the network more secure and signals confidence in the near-term.

Recommended: What is a Good Hash Rate?

9. Network Adoption

Bitcoin is the world’s first decentralized monetary network. The more people using the network, the more valuable it tends to become. (This same principle holds true for things like social media networks, too.)

When it comes to the Bitcoin network, one of the main metrics used to measure adoption is the number of new crypto wallets being created. New wallets indicate that more people are using Bitcoin, some of them presumably for the first time. Sometimes when a lot of new wallets are coming online, this can be a sign of confidence in the technology and be part of what makes Bitcoin go up.

10. Risk Appetite

General sentiment in financial markets can be part of what makes Bitcoin go up. When investors feel comfortable taking on more risk than usual, they could be more likely to put money into Bitcoin.

On the other hand, some Bitcoin proponents believe Bitcoin to be more of a safe haven asset (the opposite of a risk asset). Bitcoin has a limited supply.

11. Technical Analysis

Crypto technical analysis can influence the price action of almost any tradeable asset. TA involves patterns identified by computer-generated data and from human eyes identifying patterns on charts. When a certain pattern emerges, it’s thought that prices could be about to move upward or downward, depending on the type of technical setup.

The Takeaway

When it comes to what makes Bitcoin go up, there are at least a dozen potential factors. Many of them are related to market sentiment, the status of the Bitcoin network, and supply-and-demand dynamics.

Photo credit: iStock/cokada

Oct

2021

Can Dogecoin Reach $100? Or Even $1? $10? $1,000?

By Brian Nibley | Growing Wealth, invest, Investing | Comments Off

After rising from about $0.0002 to more than $0.70 in a matter of months, many people have found themselves asking the question “How high will Dogecoin go?”

Many people investing in cryptocurrency for the first time appear curious about DOGE and other altcoins. Even though the DOGE price crashed more than 70% all the way down to $0.20 before recovering somewhat, Dogecoin still finds itself among the top 10 cryptocurrencies by market cap.

But will this always be the case? Can Dogecoin reach $1? What about $10 or even $100 or more?

There are several reasons the odds are against DOGE climbing too much higher. Valuations like $1 or even $10 are theoretically possible. But a price target of $100 or more, isn’t realistic for DOGE, given the way the coin works.

While it’s impossible to predict the future when it comes to the price of DOGE or any other investment, we can make a reasonable hypothesis as to whether DOGE will ever reach $100.

Recommended: How to Buy Dogecoin (DOGE)

Table of Contents

Will Dogecoin Reach $1?
Can Dogecoin Reach $10?
Can Dogecoin Reach $100
Can Dogecoin Reach $1000

Will Dogecoin Reach $1?

Dogecoin reaching $1 is a distinct possibility. This would be less than 50% higher than the all-time high of about $0.70 per DOGE.

The question “can Dogecoin reach $100,” or $1, or any price for that matter, has to do with two things: DOGE’s market cap and its mining dynamics.

Understanding the size of the DOGE market cap in relation to its new supply makes it clear how high the price of DOGE can or can’t go. Every minute, miners receive a reward of 10,000 DOGE for solving a new block. This amounts to 5 billion new Doge coins being minted each year.

Recommended: Will Dogecoin Ever Be Capped?

By the end of the year 2030, there will likely be about 180 billion DOGE circulating. For the price of DOGE to reach $1 by that time, the market cap of Dogecoin would have to be $180 billion.

The current market cap of DOGE at the time of writing is about $37 billion. There are currently 130.8 billion DOGE in circulation. To reach a valuation of $1 per coin, the market cap of DOGE would have to more than triple, rising by more than $80 billion.

To get to $1, then, there would have to be a lot of money flowing into DOGE. While some believe this might be possible, many others don’t foresee a $1 valuation in DOGE’s future.

Can Dogecoin Reach $10?

For the DOGE price to continue climbing, there has to be much more money flowing into DOGE than new coins being mined. Because DOGE has no supply limit, and the block reward is so large (10,000 coins per block, compared to 6.25 coins per block for BTC), it becomes exponentially harder for Dogecoin to achieve a higher price over time.

The 2021 bull market in Dogecoin saw its price rise from $0.0002 to $0.70 in a matter of months was a unique event. While the exact conditions that lead to any market event can be hard to pin down, there are a few unusual circumstances that combined at the same time, likely giving DOGE a huge boost.

• It was in the middle of a Bitcoin bull market, when BTC and other cryptocurrencies were also hitting new all-time highs.

• The coronavirus pandemic of 2020 had been going on for less than a year, and many people around the world were still staying home. Some of them were investing for the first time.

• Dogecoin saw several notable celebrity endorsements in quick succession with one another.

Owing to the impact of these headlines, some have accused DOGE of functioning like a giant pump-and-dump scheme because of its quick rise and fall.

That said, it’s possible for DOGE to reach $10, at least briefly, at some point in the next decade.

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Can Dogecoin Reach $100

It would be nearly impossible for Dogecoin to reach $100, because there isn’t quite enough money in the whole world.

Every $1 that the Dogecoin price were to increase would require an additional $180 billion in 2030. To reach $100 by 2030, then, there would have to be $18 trillion invested in Dogecoin.

Global GDP is estimated to be about $87 trillion. The GDP of China is around $15 trillion, while the GDP of the U.S. is about $21 trillion.

In other words, a $100 DOGE price would require a market capitalization of more than the annual gross-domestic product of the entire nation of China by the year 2030. It doesn’t take a market genius to determine that this simply isn’t going to happen.

Even if that much money wanted to find a home in DOGE, it’s unclear whether or not crypto exchanges would be able to handle that kind of volume.

There’s one more factor to consider. The total holdings of all the DOGE that has been mined, as of 2021, are centralized into the hands of just a few crypto wallets.

One wallet holds more than 25% of all the DOGE in existence, while the top 20 wallets hold over 50% of all DOGE.

How high could Dogecoin go? The answer is: Probably not that high. If for no other reason, the people who control a few wallets with billions of coins in them are likely to take some profits whenever the price of DOGE sees a sharp rise, capping any gains.

Can Dogecoin Reach $1000

If the answer to the question “can Dogecoin reach $100” is no, then there’s no way that Dogecoin could ever reach $1,000.

It would take so much money for this to become reality that there’s really no scenario where it could happen.

Much of this stems from the fact that DOGE is a meme coin with little technical development. Traders typically use it as a vehicle for transferring value or seeking speculative gains, rather than HODLing it.

This represents a stark contrast to Bitcoin, which has become more of a mainstream store of value and investable asset class due to its active development community, high level of network security, and its fixed supply limit of 21 million bitcoins. The supply of newly mined bitcoins also gets cut in half every 4 years, whereas no such “halving” event ever occurs for Dogecoin.

Bitcoin’s market cap eclipsed at the time of this writing is above the $1 trillion mark. Because the supply of BTC is always declining, the market cap and price can continue rising, absent some unforeseen catastrophe.

The same cannot be said for other types of cryptocurrency like Ethereum and Dogecoin that have no supply cap.

The Takeaway

Much of the answer to the question “Can Dogecoin reach $100?” has to do with simple supply-and-demand dynamics. Because of the way DOGE mining works, it’s nearly impossible for one DOGE to reach a valuation of $100. That said, $1 per DOGE could happen, and $10 is a longshot but not completely outside the realm of possibility.

Photo credit: iStock/Alexander Buerkle

Terms and conditions apply. Earn a bonus (as described below) when you open a new SoFi Digital Assets LLC account and buy at least $50 worth of any cryptocurrency within 7 days. The offer only applies to new crypto accounts, is limited to one per person, and expires on December 31, 2023. Once conditions are met and the account is opened, you will receive your bonus within 7 days. SoFi reserves the right to change or terminate the offer at any time without notice.

First Trade Amount		Bonus Payout
Low	High	Bonus Payout
$50	$99.99	$10
$100	$499.99	$15
$500	$4,999.99	$50
$5,000+		$100

Guide to Investing in Sushi Swap (SUSHI)

What is SushiSwap (SUSHI) Cryptocurrency?

How Does the SUSHI Token Work?

SUSHI Price

History of SushiSwap

What Can You Use SUSHI For?

Is SUSHI Crypto a Good Investment?

How and Where to Buy SUSHI Cryptocurrency

The Takeaway

What Is a dApp? A Guide to Decentralized Applications

What is a dApp?

How dApps Work with Ethereum

What Makes dApps Different?

What Can dApps Be Used For?

4 Different Types of dApps

1. Money management applications

2. Applications that align real-world events with digital assets.

3. Decentralized Autonomous Organizations (DAOs).

4. Oracles.

The Takeaway

What Is a Dogecoin Faucet? Where Can I Access One?

What is a Dogecoin Faucet?

Why Were Dogecoin Faucets Created?

How to Use a Dogecoin Faucet

Are There Any Risks With a Dogecoin Faucet?

Can I Mine Dogecoin?

The Takeaway

11 Factors that Make the Price of Bitcoin Go Up

1. Supply and Demand

2. Bitcoin Halving

3. Monetary Policy

4. Regulatory Factors

5. Memes and Social Media

6. Mainstream Media

7. Miners

8. Hash Rate

9. Network Adoption

10. Risk Appetite

11. Technical Analysis

The Takeaway

Can Dogecoin Reach $100? Or Even $1? $10? $1,000?

Will Dogecoin Reach $1?

Can Dogecoin Reach $10?

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Can Dogecoin Reach $100

Can Dogecoin Reach $1000

The Takeaway

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