You can buy Dogecoin in Canada in three simple steps:
1. Choose from one of the many crypto platforms that allow for the trading of Dogecoin
2. Deposit money into your account through one of the platforms approved funding options
3. Make your first purchase after finding dogecoin on the platform
1. Choose a Crypto Investment Platform
The first step in buying Dogecoin will be to choose an investment platform.
Similar to stock trading platforms, cryptocurrency platforms allow users to buy, sell, and hold a wide range of cryptocurrencies.
Almost all cryptocurrency platforms will allow trading for major coins like Bitcoin and Ethereum, but lesser-known coins may not always be supported.
Before selecting a platform, users should conduct research to ensure that the cryptocurrency they are interested in is available for trading.
As Dogecoin becomes more popular, an increasing number of platforms are supporting the coin.
Perhaps one of the most well-trusted and established companies is Wealthsimple.
Through their Wealthsimple Crypto platform, the company has created a user-friendly experience that makes it easy to buy and sell Dogecoin.
One important fact to know about Wealthsimple Crypto is that the platform does not actually allow for direct ownership of the underlying assets.
Users can not actually withdraw Dogecoin from the platform, as the cryptocurrency needs to be converted back to cash before being taken out of accounts.
With other platforms, users are given private keys and additional layers of access to the actual coins, allowing them to move their crypto out of the platforms and into wallets or other secure storage options.
While Wealthsimple Crypto does not offer this, the tradeoff is that the platform allows users with little knowledge of the crypto sector to get started without needing to set up complicated wallets, keys, or other security measures.
Another option for Canadians to purchase Dogecoin is through Binance.
As one of the largest and most well-known crypto trading platforms in the world, Binance offers support for over 200 coins, including Dogecoin.
Benefits of Binance include low trading fees and the ability to fund accounts with a variety of currencies, including CAD, USD, EUR, and many others.
A similar platform to Binance is Coinberry.
Launched in 2017, the company has established a great reputation for security.
In fact, Coinberry is registered with FINTRAC as a Money Services Business, meaning that it has passed a number of licensing requirements that put it in line with major financial institutions.
One benefit of Coinberry over Binance is a user-friendly platform that is great for beginners.
With so many new things to learn about the cryptocurrency space, having an easy-to-navigate application can make it a lot easier for those who want to dip their toe into this new asset class.
2. Deposit Money Into Your Account
After choosing a platform, the next step to purchasing Dogecoin will be to fund your account.
As a Canadian, most of the platforms will offer a variety of options for account funding.
For example, both Wealthsimple Crypto and Binance allows users to fund accounts through credit card, debit card, or bank transfer.
With so many options, depositing money into your account is a relatively easy process regardless of the platform you choose to use.
Despite the similarities between these platforms, factors such as deposit limits and the amount of time it takes to process deposits may be some things to take into account when making your decision.
3. Purchase Your Desired Quantity of Dogecoin
Once your account is funded, you are finally ready to buy Dogecoin.
Each platform should have the option to look up cryptocurrencies by name.
Once you find Dogecoin on your platform, you can then enter the quantity you wish to purchase.
As Dogecoin prices can sometimes be very volatile, you will need to make sure you have enough funds in your account to make the purchase.
What is Dogecoin?
Started as a light-hearted “meme” project featuring a picture of a Shiba Inu, Dogecoin has gained massive popularity in the crypto world.
As a first-generation cryptocurrency, Dogecoin features many similar features to other early coins.
The coin is very similar in terms of function to Bitcoin, and the founder has stated that it took only three hours to create back in 2013 due to Dogecoin copying many parts of Bitcoin’s source code.
One main difference between the two is that Dogecoin has no hard cap on the number of coins in circulation.
While other cryptocurrencies like Bitcoin have a finite amount of coins to be “mined”, Dogecoin issues 5 billion new coins every year.
To date, over 100 billion coins are in existence.
The crypto was relatively unknown until the past year when many crypto enthusiasts became interested in the light-hearted concept of Dogecoin.
Most famously, Elon Musk tweeted his support for the coin several times, going as far as mentioning that he was working with the developers to improve the transition efficiency of the coin.
Dogecoin Historical Performance
Historically, Dogecoin has been a highly volatile cryptocurrency.
The best period of performance began around January of 2021 when online users rallied around the coin on platforms like Reddit and TikTok.
Prices rose by over 800 percent in one day.
This spike lead to more mainstream attention, including Dallas Mavericks owner Mark Cuban announcing his team would be accepting Dogecoin as payment for tickets.
Prices rose to a high of $0.50, representing a nearly 7,000 percent yearly gain and briefly making Dogecoin the 5th largest cryptocurrency in the world in terms of market capitalization.
Is Dogecoin a Good Investment?
For those who had great timing in 2021, buying Dogecoin was a very profitable investment decision.
Despite the 7,000 percent gain that Dogecoin saw over the course of 2021, there is no guarantee that this type of return can be replicated.
At the beginning of 2023, Doge was trading around $0.07.
As a highly speculative cryptocurrency, investing in Dogecoin can come with a lot of risks.
Investors should do their research and make decisions based on their own financial situation.
Frequently Asked Questions
- Can I Buy Dogecoin in Canada?
Yes, several cryptocurrency platforms in Canada currently offer the ability to buy, sell, and trade Dogecoin. While there are dozens of platforms for cryptocurrency trading, not all of them currently support Dogecoin. It is important to ensure that the platform allows for the purchase of Dogecoin before you create an account.
- Can You Buy Dogecoin on Wealthsimple?
Yes, Wealthsimple Crypto currently allows Canadians to purchase Dogecoin. While the application makes purchases simple, it is important to understand that the Wealthsimple Crypto does not actually allow for true ’ownership’. Users cannot withdraw the coins from the platform and are compelled to convert the coins to cash first.