CNBC Mad Money host Jim Cramer has advised caution when using “securities” such as Dogecoin (DOGE).
“Please be careful with Dogecoin”, Cramer said, adding that the asset will eventually end up regulated under securities law.
“We will find out how many there are and how many are being created each day to make money for the exchanges”, he continued.
Cramer has not been met with cheer. Rather, industry observers joined the Twitter discussion and argued against his statement.
Cramer argued that too many DOGE are created every day, some 14 million. One of the people to comment on the tweet was Dogecoin co-founder Billy Markus who succinctly said: “Bro, please learn how blockchain work. It is in the public code on the public blockchain, easily viewable by anyone.”
Industry people could not agree less with Cramer. DOGE had an erratic start that showed no source of centralization, which immediately disqualified it from the concept of a security, on several counts.
Of course, with cryptocurrencies not being defined as either, it’s easy to see why the matter is still open to debate.
DOGE though should not fall under SEC’s purview for now based on what the majority of financial experts seem to think. Nevertheless, things like Ripple Labs, which issued a concentrated sale of its XRP token qualify.
DOGE made headlines after Tesla CEO Elon Musk decided to release a series of tweets about it, teasing people with “who let the DOGE out” and “where’s your DOGE at”.
Even the original creators of the currency had abandoned it, but following Musk’s comments, DOGE went from costing <$0.01 to $0.78. It did end up losing most of its value – some 80% to be exact – but it’s still doing far better than the original pricing.
If you want to not worry about securities, we recommend using your Doge or Bitcoin at great gaming sites such as Bitcasino, 1xBit or FortuneJack.
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