Mad Money"s Jim Cramer Warns About Dogecoin — Says DOGE Is a Security, SEC Will Regulate
The host of Mad Money, Jim Cramer, has warned about dogecoin (DOGE). He said that the meme cryptocurrency is a security and will be regulated. He also questioned the supply of dogecoin. Jim Cramer’s Dogecoin Warning
Jim Cramer, the host of CNBC’s Mad Money, warned about investing in dogecoin (DOGE) Thursday. Cramer is a former hedge fund manager who co-founded Thestreet.com, a financial news and literacy website.
“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.
Many people disagreed with Cramer. Some expressed to the Mad Money host that dogecoin is not a security, questioning how he came to the conclusion that it is. Some people slammed Cramer for his lack of knowledge of blockchains and DOGE’s supply.
Dogecoin co-creator Billy Markus replied to Cramer: Please learn how blockchain works. It’s already well known how many there are and how many are created everyday. It is in the public code on the public blockchain, easily viewable by anyone.
“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 works the same 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.”
SEC Chairman Gary Gensler is currently focusing on regulating cryptocurrency exchanges. He believes that many cryptocurrencies listed on exchanges are securities and must be registered. However, the SEC boss has refrained from discussing any particular crypto, including ether. The SEC is also currently in an ongoing lawsuit with Ripple Labs and its executives over the status of XRP.
Dogecoin is the 11th largest cryptocurrency by market cap. At the time of writing, the price of DOGE is 16.60 cents based on data from Bitcoin.com Markets. Its market cap is about $22 billion.
The meme cryptocurrency has many supporters, including Tesla CEO Elon Musk and Shark Tank star Mark Cuban. Musk sees dogecoin as the best cryptocurrency for transactions.
Recently, Tesla began accepting dogecoin for some merchandise. Musk, who is known in the crypto community as the Dogefather, also personally owns the meme cryptocurrency. Tags in this story cnbc doge, cnbc dogecoin, doge is a security, doge supplies, doge warning, dogecoin regulation, dogecoin warning, Jim Cramer, Jim Cramer doge, Jim Cramer dogecoin, mad money doge, mad money dogecoin
What do you think about Jim Cramer’s dogecoin warning? Let us know in the comments section below. Kevin Helms
A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. Ethereum Fees Drop 35% Since Last Week, Average ETH Gas Fee Still Above $30 per Transfer ALTCOINS | 1 day ago Boxing Legend Mike Tyson Says He"s "All in" on Solana Crypto — Asks Fans How High SOL Will Go ALTCOINS | 4 days ago
Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleYield App Launches V2, and It’s More Than Just a New Look Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItRevolut Launches Banking Services in Spain Featuring Deposit Insurance
Revolut, a leading fintech platform and neobank, has received a special banking license to operate in Spain. User deposits are now insured up to €100K, with the coverage being provided by Deposit and Investment Insurance, a Lithuanian state company. The ... read more.NYCB and Group of Banks Join to Launch USDF Stablecoin Swiss National Bank Trials CBDC in Transactions With Five Banks Tesla Begins Accepting Dogecoin Payments — Some Merchandise Can Only Be Purchased With DOGE Kingdom of Tonga May Adopt Bitcoin as Legal Tender, Says Former Member of Parliament