Jim Cramer is the host of Mad Money. He has issued warnings about DOGE (dogecoin). The meme cryptocurrency, he said, is a security that will be controlled. He also asked about dogecoin’s supply.
Jim Cramer’s Dogecoin Warning
Jim Cramer, the host of CNBC’s Mad Money, warned about investing in dogecoin (DOGE) Thursday. Cramer, who was a hedge fund manager in the past, co-founded Thestreet.com which is a website that provides financial information and literacy.
“Please be careful with dogecoin,” he tweeted, adding that the meme cryptocurrency “is a security” and “will be regulated.” In addition, he wrote: “We will find out how many there are and how many are being created each day to make money for the exchanges.”
Cramer’s comment about the popular meme coin, which also aired on CNBC Thursday, has drawn a lot of attention on Twitter.
Cramer was not liked by many. Cramer was questioned by some people about dogecoin’s security status. Some people slammed Cramer for his lack of knowledge of blockchains and DOGE’s supply.
Cramer was contacted by Billy Markus, co-creator of Dogecoin.
Find out how Blockchain works. It’s already well known how many there are and how many are created everyday. This information is easily viewed by everyone in the public code of the public blockchain.
“In terms of ‘security,’ it is a proof-of-work cryptocurrency so you have to put in work to retrieve the coins from the block. It doesn’t qualify under the Howey Test. It is the exact same code as bitcoin. In fact, it’s 99.5% the same code as bitcoin. Please educate yourself,” Markus stressed. He further tweeted that Cramer’s warning is “The biggest bull signal ever for dogecoin.”
Gary Gensler (SEC Chairman) is currently focused on cryptocurrency regulation. According to Gensler, many cryptocurrency listed on exchanges can be considered securities that must be registered. The SEC boss, however, has resisted discussing any specific crypto-currency, even ether. Ripple Labs is currently suing the SEC and its executives regarding XRP’s status.
Dogecoin ranks 11th in terms of market capital. According to data from Bitcoin.com Markets the current DOGE price is 16.60c. Its market capitalization is around $22 Billion.
Many people support the meme cryptocurrency, such as Elon Musk, Tesla CEO and Shark Tank Star Mark Cuban. Musk believes that dogecoin is the best cryptocurrency to use for transactions.
Tesla recently began to accept dogecoin as payment for certain merchandise. Musk is also known as the Dogefather in crypto circles. He owns the meme cryptocurrency.
What do you think about Jim Cramer’s dogecoin warning? Please comment below.
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