How to Sell Dogecoin on Robinhood (2023 Guide)
Have you had enough of cryptocurrency in 2022 and want to sell Dogecoin before it’s too late?
If so, you’re not alone.
The amount of capital wiped out in 2022 is staggering, and who knows when the market will recover? I’m sure many will understand if you want to get out and cut your losses.
Dogecoin is a cryptocurrency that saw plenty of controversial attention in 2022. It was made as a joke, but it somehow exploded in popularity. Unfortunately, the bubble eventually burst, and the prices crashed back to Earth.
If you’re one of the many people holding on to Dogecoin and want to sell, this guide will explain how to buy or sell Dogecoin on Robinhood and get those funds to the safety of your bank account!
Sell Dogecoin: Step by Step
Selling Dogecoin is a pretty simple process, especially if you are familiar with Robinhood.
Step One: Access the Robinhood app from either the web or mobile device.
If you use a computer, log in and go to the trading page. If you use a mobile device, open the app and tap on the “Trade” button
Step Two: Search for “Dogecoin” in the search bar.
Locate the search bar, usually at the top of the screen, and type in “Dogecoin. This part is pretty self explanatory.
Step Three: Select “Dogecoin” from the list of options.
There should only be one.
Step Four: Enter the amount of Dogecoin you want to sell in the “Sell” section.
Make sure you double and triple-check the number you enter here. You don’t want to accidentally sell more than you meant to.
Step Five: Select “Preview Sell” to confirm your transaction details.
You might see a section on your Robinhood account that says “Preview Sell” or “Confirm Sell.” This is where you can check to ensure you are selling the right amount of Dogecoin at the current market rate.
Step Six: If everything looks good, select “Confirm Sell.”
You might be asked to confirm your password again. Enter it and hit “Confirm” once more.
Your Dogecoin should now be sold, and the money should appear in your Robinhood account balance. From there, you can do what you wish with the funds, including transferring them to your bank account.
Just remember, cryptocurrency is a volatile market, so the price of Dogecoin could go up or down at any time. So sell while you still can!
Want to learn more about Dogecoin and Robinhood, including how to buy Dogecoin? Read more below!
Dogecoin Crypto Explained
Dogecoin was created as a bad joke in 2013 by Billy Markus and Jackson Palmer. It is based on the famous “Doge” meme, which features a Shiba Inu dog. Dogecoin quickly became popular, especially on Reddit, where users would tip each other in the cryptocurrency for posts they found funny or enjoyable.
Dogecoin peaked in January 2018, when it hit a market capitalization of $2 billion. However, the prices quickly crashed, and Dogecoin has since been struggling to recover. As of May 2021, the market cap is around $6 billion.
Despite its struggles, Dogecoin remains one of the more popular cryptocurrencies. It has a large and passionate community, which has helped it survive despite the odds.
Dogecoin Cryptocurrency Trading on Robinhood
Robinhood is a popular crypto trading app that recently added cryptocurrency to its list of supported assets. You can buy and sell Doge (and other cryptocurrencies) directly on the Robinhood app.
The process is pretty simple and similar to buying stocks. Search for “Dogecoin” on the app, select it, enter how much you want to buy or sell, and confirm the transaction. The money will then be transferred to or from your Robinhood account balance.
One thing to remember is that Robinhood only supports a limited number of cryptocurrencies. So if you want to trade anything other than Dogecoin, you may need to use different crypto brokers.
Robinhood Trading Fees
Unlike some other cryptocurrency brokers, Robinhood does not charge any trading fees. This means you can buy and sell Doge without paying any extra fees.
However, Robinhood does make money in other ways. For example, if you want to move your money from Robinhood to your bank account, there is a $5 fee. And if you hold cryptocurrency on Robinhood overnight (from 4 pm to 9 am EST), you will be charged an “overnight fee” of 0.5%.
These fees are relatively small, especially compared to other exchanges. But it’s still something to consider if you plan to trade frequently.
Dogecoin Cryptocurrency Wallets
You’ll need a crypto wallet if you want to hold onto your Dogecoin for more than a few hours. This is because Robinhood (and other exchanges) only allow you to hold cryptocurrency for a short period of time. Once you transfer it out of the exchange, you are responsible for storing it safely.
There are many types of cryptocurrency wallets, but the two most popular are “hot” wallets and “cold” wallets.
Hot wallets are crypto wallets that are connected to the world wide web. They are fantastic because they enable you to access your Dogecoin from anywhere in the world. However, they are also less secure as they can be hacked if someone gets your private key.
Cold wallets are offline wallets that are not connected to the internet. They are much more secure because it’s impossible for someone to hack them. However, they are also less convenient because you can’t access your Dogecoin from anywhere in the world. You’ll need to have your cold wallet with you to spend your Dogecoin.
Which type of wallet you choose is up to you. If security is your main concern, you should choose a cold wallet. But a hot wallet might be better if convenience is more important.
Once you buy Dogecoin (or any other type of crypto for that matter), it is best to transfer it out of the exchange you are buying from, whether that be a Robinhood crypto exchange or any other exchange broker for that matter.
How to Mine Dogecoin
Mining is how new Dogecoin crypto is created. Miners are rewarded with Dogecoin for verifying and committing transactions to the Dogecoin blockchain.
Mining used to be a very profitable way to earn Dogecoin. But now, with so many people mining, it has become challenging to make a profit. So unless you have costly equipment, it’s unlikely that you will earn any money mining Dogecoin.
Buying Dogecoin on Other Cryptocurrency Exchanges
Aside from Robinhood, there are many other cryptocurrency exchange markets where you can purchase crypto, including Dogecoin. I’ll outline some of the more popular ones below:
Binance is a cryptocurrency exchange that supports a wide range of digital assets, including Dogecoin. They offer both a primary and advanced trading interface. If you’re just getting started, the primary interface will be fine. The most significant advantage to using Binance is that they offer very low Fees. For example, they only charge a 0.1% trading fee if you use their native BNB token.
Kraken is another popular cryptocurrency exchange that also supports Dogecoin. One of the things that makes Kraken unique is that they are one of the few exchanges that allow you to trade using “leverage”. Leverage is when you borrow money from the exchange to trade with. This can be risky though. It’s good because it allows you to make more significant trades than you could with your own money. But it’s bad because it also magnifies your losses if the trade goes against you.
Coinbase is considered one of the more popular cryptocurrency exchanges and allows you to buy and sell many different digital assets, including Dogecoin. One thing to keep in mind with Coinbase is that they are unavailable in all countries. For example, they are not currently available in Canada.
Gemini is another popular cryptocurrency exchange that is available in all countries. In addition, they are one of the few exchanges that allow you to trade using USD. So if you don’t have any other type of currency to trade with, Gemini might be a good option.
KuCoin is a newer cryptocurrency exchange, but they have grown rapidly and now supports a wide range of digital assets, including Dogecoin. One thing that makes KuCoin unique is that they offer a “bonus” to users who hold their native token (KCS). The bonus is paid out as “dividends” and allows you to earn additional income just for holding the token.
These are a very select few of the many different cryptocurrency exchanges that you can use to buy Dogecoin. In addition, many different “decentralized” exchanges allow you to trade directly with other users without going through an exchange. However, these types of exchanges are usually more complicated to use.
Frequently Asked Questions
Q: Can I buy Dogecoin on Robinhood with cash?
A: No, you can only buy Dogecoin (and other cryptocurrencies) with another cryptocurrency or USD.
Q: What is the best option to store Dogecoin?
A: This is a difficult question because it depends on your individual needs and preferences. Some people like to store their Dogecoin on exchanges, while others prefer to use a software or hardware wallet.
Q: Is Dogecoin a good investment?
A: It depends on your individual investment goals and risk tolerance. You should always do your own research before making any investment decision.
Q: What is the price of Dogecoin?
A: The price of Dogecoin fluctuates constantly and is determined by supply and demand. You can check the current price of Dogecoin on CoinMarketCap.
Q: How can I buy and store Dogecoin?
A: You can buy Dogecoin on many different cryptocurrency exchanges, including Binance, Kraken, Coinbase, and Gemini.
A: You can store Dogecoin in many different wallets, including software, hardware, and paper wallets. The safest kinds of wallets are what you’d call ‘cold wallets’. These cold wallets are often in the form of a USB card that doesn’t have access to the internet (unless you want it to, of course!). There have been far too many examples of people being scammed out of their hard-earned NFTS, which has made many people cautious in this space and for a good reason! What ever you do, ensure you trust the person you interact with online and are certain they aren’t scamming you before doing business.
A software wallet is a program you install on your computer or phone. A hardware wallet is often a USB device you can carry. Hardware wallets are generally considered more secure than software wallets but are also more expensive.
In this post, I have outlined how to buy Dogecoin on Robinhood. I have also covered some frequently asked questions about Dogecoin and some more specific areas relevant to not only Dogecoin but cryptocurrency trading in general.
Robinhood isn’t the only crypto exchange available, but it does provide commission free trading. If that isn’t of much concern to you, Binance and Coinbase are other apps that should be worth considering.