The chief operating officer of the crypto exchange OKCoin says anyone investing in Dogecoin should be prepared for an extremely wild and volatile ride.
Chief operating officer Jason Lau tells Kitco that he believes the Wall Street Bets community on Reddit continues to fuel high interest in the coin that originally started as a meme.
Because institutions are not displaying much interest in Dogecoin, he expects to see larger swings and short-term profit taking.
“It’s obviously fun, and people get behind it, and they spread the message of, you know, this coin it’s about a dog. It’s just fun to talk about it. The virality of Dogecoin has been very high…
Dogecoin over the past seven days is still positive, versus Bitcoin or Ethereum. It is still, at least on a weekly basis, a profitable trade for some.”
Lau says mainstream acceptance of crypto is coming, and he predicts regulation similar to technology companies.
He also says the notion that Bitcoin and crypto are widely used for illicit activity is overblown.
“Bitcoin and blockchain transactions are transparent and on an open blockchain, so anyone can go in and take a look at what is going on… As governments and organizations understand that, this angle of Bitcoin attack or FUD will dissipate.”
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