How to Sell Dogecoin (DOGE)

If you’d like to sell your Dogecoin, the process is very straightforward. You’ll go to your holdings on your crypto exchange or brokerage platform and enter the amount you’d like to sell. Then your order will be processed.

If you have made a profit investing in Dogecoin, you will likely have to pay capital gains tax. Failure to pay taxes on your crypto gains can result in substantial issues, including expensive penalties. If you’re not sure how to report your Dogecoin profits, consult a tax professional.

Want more than just to sell DOGE? Access dozens of different cryptocurrencies selling guides 2022 here.

What is Dogecoin (DOGE)? 

Dogecoin was created as a joke but eventually found a purpose as a more friendly, approachable alternative to Bitcoin. The Dogecoin community has catapulted DOGE to cult status. Less technical speculators who value a cryptocurrency’s alternative-pop status may find it an entry point into the crypto world. Dogecoin is a crypto coin based on Luckycoin (which is, in turn, based on Litecoin). Dogecoin was originally designed to be a more approachable alternative to Bitcoin, Litecoin, and other cryptocurrencies. As such, there aren’t any groundbreaking technicalities that set Dogecoin apart from the pack. The cryptocurrency hasn’t seen any major updates since 2015 (although it is able to benefit from improvements to the Litecoin code). The true value of Dogecoin lies in the strong and vibrant community that has sprung up around it.

Dogecoin is a decentralized Internet currency for settlements between network users. The token is developed on the Scrypt algorithm; it was based on a fork of the LTC coin called Luckycoin.

The creator of the Dogecoin cryptocurrency is programmer Billy Markus. He came up with the idea of ​​issuing a fun digital coin that could become more popular and in-demand than Bitcoin. Dogecoin gets its name from the original “doge” Internet meme, which is based on a photograph of the Japanese dog Shiba Inu.

Read More: What is Dogecoin (DOGE)?

How Does Dogecoin (DOGE) Work?

Like many other coins, Dogecoin runs on its own dedicated blockchain. Dogecoin’s digital ledger is constantly being updated with all new transactions, and the network uses cryptography to keep all transactions secure.

The Dogecoin blockchain uses a proof of work consensus mechanism, where miners use computers to solve complex mathematical equations in order to process transactions and record them on the blockchain. In exchange for supporting the blockchain, miners earn additional Dogecoin, which they can then hold or sell on the open market.

Dogecoin may be used for payments and purchases, but it’s not a very effective store of value. This is chiefly because there is no lifetime cap on the number of Dogecoins that may be created by mining—meaning that the cryptocurrency is highly inflationary, by design.

The blockchain rewards miners for their work by creating millions of new Dogecoins every day, which makes it very challenging for speculative price gains in Dogecoin to hold up over time.

Read More:

How to Make Money with Dogecoin (DOGE)?

How to Earn Free Dogecoin (DOGE)?

Why Sell Dogecoin (DOGE)?

While Dogecoin infamously started out as a joke, investors take it a lot more seriously now. However, it’s still a very risky investment. That’s why experts recommend investing no more than 3% to 10% of your portfolio in cryptocurrencies.

How much you ultimately decide to invest in Dogecoin should be guided by your risk tolerance and your current financial situation. For example, if you’re behind on your retirement savings and don’t have an emergency fund, you should invest less money in Dogecoin. If you’re financially stable, are on target to meet your retirement goals and have a large financial cushion in the bank, you may be willing to invest more of your portfolio in Dogecoin.

Where to Sell Dogecoin (DOGE)?

Option 1: Cryptocurrency Exchanges

Cryptocurrency Exchanges often support a wide range of fiat currencies. A crypto exchange can act as an intermediary between sellers and buyers of cryptocurrency. To sell Dogecoin (DOGE) for cash, you will first need to set up an exchange account and deposit your Dogecoin (DOGE) in the hot Dogecoin (DOGE) wallet that is provided by the exchange.

Note that most reputable Dogecoin (DOGE) exchanges require their users to provide personal information before they can sell cryptocurrency, in order to comply with KYC and AML rules.

The key advantage of using a cryptocurrency exchange to sell Dogecoin (DOGE) for cash is that well-known exchanges have deep liquidity and provide quick access to a large pool of potential buyers.

They are also relatively easy to use: you will need to place a sell offer, define how much cryptocurrency you wish to sell, and set your asking price per unit. The exchange then automatically processes the transaction once your offer is matched.

Option 2: Direct Trades (Person-to-Person)

  1. Online P2P Selling
  2. Face-to-face Transactions

Rather than doing the work for you, a peer-to-peer (P2P) exchange lets you choose your price, and the platform helps find a buyer willing to pay it. The two parties then decide between them how to pay. You can sometimes do this on the site — often called direct trades — but normally, you would use a separate bank transfer. 

P2P trading allows you to sell cryptocurrency without the limits of an exchange. This means that you could do a wire transfer, send gift cards for popular online stores, trade cash in the real world or even send expensive art if that’s what you want; as long as both parties agree, and you’re in a P2P marketplace that doesn’t limit payment methods. 

There are some problems around this, such as what happens if the buyer doesn’t pay up, and the peer-to-peer marketplaces will still have some information on who you are. However, this is still a good step if freedom of choice and minimal interference are your priorities while still having access to things like escrows to hold the Dogecoin (DOGE) for protection from fraud.

Option 3: Dogecoin (DOGE) ATMs

It may be hard to come to terms with since Dogecoin (DOGE) ATMs are directly connected to the internet, but BTMs are entirely secure. BTMs are equipped with technology that protects against software and hardware malfunctions. Malware technology is also not able to threaten Dogecoin (DOGE) ATMs. Your digital wallet is encrypted and protected. Without the correct passwords and security credentials, no one aside from you can access your wallet.

A number of Dogecoin (DOGE) ATM operators have come together to form the Cryptocurrency Compliance Cooperative to make the use of Dogecoin (DOGE) ATMs even safer for the consumer, furthering the legitimization of the cash-to-cryptocurrency industry.

How to Sell Dogecoin (DOGE)?

Cryptocurrency Exchanges

  • Step 1: Set up an exchange account

The first thing you need to do is decide which form of money you will accept for your Dogecoin (DOGE).

Now that you know which currency you want in exchange for your cryptocurrency, its time to make an account on a platform that lets you sell your Dogecoin (DOGE).

There are tons of platforms to sell Dogecoin (DOGE) on, and the easiest, by far, are exchanges and brokers like Coinbase or Coinmama.

Signing up on Coinbase is really simple – it’s like making an account on Amazon!

  • Step 2: Transfer your Dogecoin (DOGE) to your exchange wallet

Now that your account is created, you’ll need to deposit your crypto assets on the exchange.

Hit the “deposit” or “sell” button.

You’ll be presented with a wallet address and/or a QR code.

Scan that into your Dogecoin (DOGE) wallet and send the amount of coins you want to sell.

  • Step 3: Place a sell order

Now it’s time to make a sell offer on the platform you are selling on.

That means determining the price you are willing sell your Dogecoin (DOGE).

The process for doing this always looks a little different on every platform, but for the most part, it works the same way.

Look for the “sell” or “trade” tab, and either sell at the price offered by the broker or create a custom sell order on an exchange order book.

The only difference is, with a broker, you are selling at whatever the spot price is (minus some fees).

With an exchange, you can set whatever price you want. Just don’t expect for the sell to be accepted by any takers if your price is too high.

The nice thing about the crypto exchanges are that the fees tend to be lower than the brokerages.

Direct Trades (Person-to-Person Trading)

  • Step 1: Go to the P2P Trading Page

Select (1) “Buy Crypto” then click (2) “P2P Trading” on the top navigation.

  • Step 2: Choose to Sell and Set Your Currencies

Click (1) “Sell” and select the currency you want to buy (USDT is shown as an example). Filter the price and the (2) “Payment” in the drop-down, select an ad, then click (3) “Sell”.

  • Step 3: Find a Buyer

After the buyer makes payment, the transaction will now display “To be released”. Please make sure that you’ve actually received payment from the buyer, to the payment app/method you used. After you confirm the receipt of money from the buyer, tap “Confirm release” and “Confirm” to release the crypto to the buyer’s account. Again, If you have not received any money, please DO NOT release crypto to avoid any financial losses.

  • Step 4: Choose How Much You Want to Sell

Enter the amount (in your fiat currency) or quantity (in crypto) you want to buy and click (2) “Sell”. The transaction will now display “Payment to be made by buyer”.

  • Step 5: Send the Offer

You can use Chat on the right side to communicate with the buyer in the whole process.

If you have any issues in the transaction process, you can contact the buyer using the chat window on the top right of the page or you can click “Appeal” and our customer service team will assist you in processing the order.

  • Step 6: Confirm the Release

The transaction will now display “Pending Payment”. After the buyer makes payment, the transaction will now display “Confirm Receipt”. Please make sure that you’ve actually received payment from the buyer, to the payment app/method you used. After you confirm the receipt of money from the buyer, tap “Payment received” and “Confirm” to release the crypto to the buyer’s account. Again, If you have not received any money, please DO NOT release crypto to avoid any financial losses.

Dogecoin (DOGE) ATMs

  • Step 1: Choose withdraw cash
  • Step 2: Choose Dogecoin (DOGE) (these machines normally may support other cryptocurrencies)
  • Step 3: Choose amount to withdraw
  • Step 4: Send Dogecoin (DOGE)s to given address QR code
  • Step 5: Receive cash immediately as Dogecoin (DOGE)s transaction is propagated on the network

Read More: How to Buy Dogecoin (DOGE)?

Selling Dogecoin (DOGE) FAQs

Can I Sell Dogecoin (DOGE) for Cash?

Yes! Just because Dogecoin is a cryptocurrency doesn’t mean you can’t get cold hard cash for your coins. In fact, Coin Cloud makes it easy to do just that. Keep reading to find out how to sell Dogecoin for USD. 

If you’ve bought DOGE low and want to sell high, there’s never been a better time to do it. Cryptocurrency exchanges all provide different offerings. Use Coin Cloud to buy and sell your cryptocurrency. With more than 4,000 Bitcoin ATMs and digital currency machine locations across the country, it’s never been simpler to add to and cash in parts of your crypto holdings.

What Is The Best Way to Sell Dogecoin (DOGE)?

While viewed as a joke by many crypto enthusiasts, Dogecoin (DOGE) is a cryptocurrency built using code from Bitcoin (BTC), Litecoin (LTC), and Bitcoin fork Lucky Coin (LKY). DOGE was designed to make fun of the Bitcoin hype but eventually gained a significant acceptance following the image of a Shiba Inu plastered onto a crypto coin.

To sell Dogecoin, one must first acquire Dogecoin. Investing in Dogecoin requires the user to sign up for a cryptocurrency exchange that supports the Shiba-faced asset. Binance or Coinbase are good examples of exchanges that support DOGE.

Is It Easy to Sell Dogecoin (DOGE)?

Every investor purchases a tradeable asset with the aim of making gains. Despite knowing the right time to buy a crypto asset like Dogecoin, it is likewise important to know when to sell, except if you want to record unintended losses. Indeed, even investors who purchase crypto assets for the long haul consistently know when they are in profit so they can sell. You can avoid registering losses on your investments if you know what you’re doing. Moreover, the prices of digital assets can be profoundly unpredictable. So it is possible to be in profit on your investments today and the next few days, the price of the asset invested on has tumbled. Additionally, no one controls the prices of these assets. It is fitting to have a selling target for your Dogecoin investment. Not doing so could spell doom for your investments and you may ultimately lose funds.

For this, eToro, in a bid to help traders make savvy investment decisions, integrated charts for each crypto asset including Dogecoin. These charts consist of candlesticks and patterns that help you study the historical data of an asset including Dogecoin. Similarly, you can study these charts to realize when to make a purchasing choice on Dogecoin or other cryptocurrencies. On eToro, you can click on Dogecoin and it takes you to where you can find more info about the asset including the traded volume on the exchange.

When is the Best Time to Sell My Dogecoin?

If you are taking the invest-and-sit-back approach, it is very likely that you will have to actively monitor the price of Dogecoin, especially if you don’t have a target price. Monitoring the price of  an asset can be really tasking since you have to keep yourself abreast of goings-on around the crypto market to know whether to sell off your Dogecoin holdings or keep maintaining the same position.

Investors normally adopt different approaches in their investments. Some take the short-term path where they only have to wait within the range of a day to a week before deciding on a selling stance. Others in their own right, could buy Dogecoin and keep it for a mid-term timeframe, meaning in some weeks or months, they’ll come back to check if they have made any profits on their investments. A long-term investment strategy span years before selling off. 

Essentially, the right to sell your Dogecoin holdings is determined by the investment strategy you adopted. If you adopt a short-term strategy, then you have to wait until that time is right before exchanging your Dogecoin. So there is no specific right time to sell. The time is right when your investment strategy says so. 

In between that period when your investment is yet to attain the target you set, a lot of things might happen given that the crypto market is volatile. A bearish news could affect your open position or holdings. Which is why it is advisable to always do analysis whenever you want to invest. The analysis keeps your actions in check even when the trade is going the wrong way. Sometimes, you might have to wait longer than necessary before hitting your target. 

If your analysis is right, a little deviation from that pattern you expected in the charts shouldn’t instil fear in you. An early discovery of an impending bearish movement might save from losing your funds if you invested in Dogecoin or other crypto assets. There are numerous to stay informed of events that may likely happen in the market. The crypto market is driven by relevant information. You can access them via reliable updates and reports. 

As an investor, you can also take advantage of the market opinions of industry experts. However, don’t rely solely on it or follow these opinions blindly, without doing diligent research. These experts are humans and they are fallible as well. You can access the updates released by professionals on this site.

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