Here is the fast answer: PayPal does not accept Dogecoin as a mode of payment. This means you can’t use the PayPal interface directly to buy, transfer, and sell DOGE. The only cryptos that PayPal offers are Bitcoin, Bitcoin Cash, Ethereum, and Litecoin.
There are many articles out there that are misreporting that you can buy Dogecoin with Paypal but what they mean is that you can use PayPal to fund your account with a brokerage like eToro or a crypto exchange such as Coinbase and then buy Dogecoin. That is kind of a sneaky way for those articles to appear in search results but slightly misguiding.
Below I have some more detailed information for you about Dogecoin, crypto, and PayPal.
- Understanding Dogecoin
- PayPal and Cryptocurrency Support
- Does PayPal Accept Dogecoin?
- How can I use my PayPal account to buy Dogecoin?
- Is PayPal the best way to buy Dogecoin
- What about the other cryptocurrencies that Dogecoin offers?
- So tell me more about the PayPal wallet
- Alternative Ways to Use Dogecoin
If you’re a Dogecoin holder, you may be wondering if PayPal has added support for this popular cryptocurrency yet. Established in 1998, PayPal is a leading online payment system that’s widely used for online purchases, money transfers, and other financial transactions. Over the years, PayPal has been expanding its services to accommodate the growing demand for digital currencies, such as Bitcoin and Ethereum. But what about Dogecoin?
Before delving into PayPal’s support for Dogecoin, it’s important to understand what this cryptocurrency is all about. Originally created as a joke in 2013, Dogecoin quickly gained a massive following thanks to its fun and friendly nature. The coin’s mascot is a Shiba Inu dog, which has become a popular internet meme. Despite its humble origins, Dogecoin has grown to become a serious player in the world of digital currencies, with an impressive market cap and a loyal community of supporters.
What is Dogecoin?
Dogecoin is a decentralized cryptocurrency that operates on a peer-to-peer network. It uses a unique consensus algorithm called Scrypt, which ensures that transactions are processed quickly and efficiently. Unlike traditional currencies, Dogecoin is not backed by a central authority or government. Instead, its value comes from its growing user base and the demand in the open market.
One of the interesting things about Dogecoin is that it was created as a parody of Bitcoin, which was the first cryptocurrency to gain mainstream attention. However, despite its humorous origins, Dogecoin has proven to be a legitimate and valuable digital currency.
The rise of Dogecoin’s popularity
Over the years, Dogecoin has experienced several surges in popularity, thanks in part to social media campaigns and celebrity endorsements. In early 2021, Dogecoin saw a massive spike in value thanks to a tweet from Tesla founder Elon Musk. Since then, the cryptocurrency has continued to gain traction among investors and traders alike.
One of the reasons for Dogecoin’s popularity is its accessibility. Unlike other cryptocurrencies, which can be difficult for the average person to understand and use, Dogecoin is relatively simple to buy and sell. This has made it a popular choice for people who are new to the world of digital currencies.
PayPal and Cryptocurrency Support
As one of the world’s leading payment platforms, PayPal has been at the forefront of the digital currency revolution. In recent years, the company has started to add support for various cryptocurrencies, allowing users to buy, hold, and sell these assets directly through the PayPal app. But what exactly is PayPal’s history with cryptocurrencies, and which ones currently have support?
PayPal’s history with cryptocurrencies
PayPal first started exploring the potential of cryptocurrencies in 2014, when it partnered with several Bitcoin payment processors. At the time, Bitcoin was still a relatively new and unknown asset, and many people were skeptical of its potential. However, PayPal recognized the potential of digital currencies to revolutionize the way we think about money and began to experiment with different ways of integrating them into its platform.
Over the years, PayPal has continued to explore the potential of cryptocurrencies, partnering with various companies and organizations to better understand the technology and its applications. In late 2020, the company made a major announcement: it would start allowing users to buy and hold Bitcoin, Ethereum, Litecoin, and Bitcoin Cash directly through the PayPal app.
This move was seen as a major step forward for the cryptocurrency industry, as it opened up a new world of possibilities for mainstream adoption. This first step is also seen as one of the major contributors to many cryptocurrencies like Dogecoin achieving all-time highs later on in 2021.
Current cryptocurrencies supported by PayPal
As of this writing, PayPal supports the following cryptocurrencies: Bitcoin, Ethereum, Litecoin, and Bitcoin Cash. These assets are all well-established and widely used in the cryptocurrency community and have proven to be reliable and secure over time.
Users can buy, hold, and sell these assets directly through the PayPal app, with no need for a separate crypto wallet or exchange account.
This makes it easy for beginners to get started with digital currencies, as they can use PayPal’s familiar interface and security features to manage their assets.
PayPal’s stance on adding new cryptocurrencies
Despite its growing support for digital currencies, PayPal has been cautious about adding new assets to its platform. In a recent interview, PayPal CEO Dan Schulman stated that the company is exploring the possibility of adding more cryptocurrencies in the future, but that it’s taking a thoughtful and strategic approach to the process. He emphasized the importance of regulatory compliance and user safety and said that any new assets added to PayPal would have to meet certain rigorous standards.
Overall, PayPal’s support for cryptocurrencies represents a major milestone in the evolution of digital currencies. By making it easy for users to buy, hold, and sell these assets, PayPal is helping to bring cryptocurrencies into the mainstream and make them more accessible to a wider audience. As the cryptocurrency industry continues to grow and evolve, it will be interesting to see how PayPal adapts and expands its offerings to meet the changing needs of its users.
Does PayPal Accept Dogecoin?
Now that we’ve covered PayPal’s history with cryptocurrencies and its current offerings, let’s get to the question at hand: does PayPal accept Dogecoin? The short answer is no, PayPal does not currently support Dogecoin. However, this could change in the future, as PayPal has signaled that it’s open to adding new cryptocurrencies that meet its standards for safety and compliance.
Official statements from PayPal
In response to user inquiries about Dogecoin, PayPal has issued a statement saying that it does not currently support the meme coin. The company cited a variety of factors, including regulatory considerations and its own internal policies for adding new assets. However, PayPal also acknowledged the growing popularity of Dogecoin as it is consistently in the top 10 coins by market capitalization.
Potential reasons for not supporting Dogecoin
There are several potential reasons why PayPal might be hesitant to add support for Dogecoin.
- For one, the cryptocurrency’s lack of a clearly defined use case and governance structure could make it a riskier investment than more established assets like Bitcoin or Ethereum.
- Additionally, regulatory uncertainty surrounding cryptocurrencies, in general, could make PayPal more cautious about adding newer, less mainstream assets.
The Impact on Dogecoin Users and Investors
While the news that PayPal does not currently support Dogecoin may be disappointing for some users and investors, it’s important to remember that there are other options available.
There are several cryptocurrency exchanges that support Dogecoin, as well as online retailers and services that accept it as a form of payment.
Additionally, users can always convert their Dogecoin to other cryptocurrencies or fiat currency using a reputable exchange.
How can I use my PayPal account to buy Dogecoin?
As I said you can’t use PayPal to directly buy Dogecoin. What you can do however is use your PayPal account to fund your account on a cryptocurrency exchange. Most exchanges and brokerages accept PayPal deposits as a payment option.
Here is how you can use PayPal to buy Dogecoin on Coinbase for example
Steps to fund a Coinbase account with PayPal and buy Dogecoin:
- Sign up for a Coinbase account: If you don’t already have a Coinbase account, sign up for one at Coinbase.com. You will need to provide your personal information, such as your name, email address, and phone number, and verify your identity.
- Add a PayPal account: After signing up for a Coinbase account, go to the “Settings” tab and click on “Linked Accounts.” Then click on “Link a New Account” and select “PayPal” as the payment method. You will be asked to enter your PayPal login credentials.
- Verify your PayPal account: Once you have linked your PayPal account, Coinbase will ask you to verify it. You will need to enter the verification code that was sent to your PayPal email address.
- Add funds to your Coinbase account: After you have linked and verified your PayPal account, go to the “Trade” tab and select “Deposit.” Then select “PayPal” as the payment method and enter the amount you want to deposit. Click “Continue” and confirm the transaction.
- Buy Dogecoin: After your funds have been deposited into your Coinbase account, go to the “Trade” tab and select “Dogecoin” as the cryptocurrency you want to buy. Then enter the amount you want to spend and click “Buy.” Confirm the transaction and wait for the Dogecoin to appear in your Coinbase wallet.
- From there you can move your DOGE to your own Dogecoin wallet. To do this you need to copy the address of your wallet and paste it into the send field in Coinbae. Alternatively, you can scan the QR code.
That’s it! You have successfully funded your Coinbase account with PayPal and bought Dogecoin.
Is PayPal the best way to buy Dogecoin
Absolutely not. PayPal charges you a significant chunk for the transaction. There are multiple ways to load money onto an exchange. For example, the transaction fee for using PayPal with Coinbase is 1.5% from PayPal and 1.5% from Coinbase. And that is if you are transferring more than $1000. If you are transferring less than that then PayPal charges even higher transaction fees.
The best way to fund your brokerage or crypto exchange is to use make a transfer from your bank account which will take 3-5 business days but is free.
How about if I use a credit card?
Then you are going to pay even more in transaction fees. Binance which claims to have the lowest fees charge 2% for a credit card deposit. The main reason people use a credit or debit card is that the deposit is instant. But that is never a good reason. You should definitely not buy Dogecoin in a rush because it means your emotions have taken over and you are not thinking straight.
What about the other cryptocurrencies that Dogecoin offers?
There are a few reasons you should avoid using PayPal to buy crypto
The first is that their trading fees are high. If you want to buy any of the cryptos they offer you are better off doing this on Robinhood or another trading platform where fees are much lower or even 0.
The second is that PayPal’s wallet is custodial. You do not have access to the private keys. Of course, if you like you can move your crypto to your own wallet. However, if you are planning to do that why use PayPal in the first place?
So tell me more about the PayPal wallet
Dogecoin’s digital wallet is not a separate mobile app. Rather, PayPal operates the wallet in the background like you would experience with an exchange. The PayPal app itself just shows you your balance. Unlike a crypto wallet, there is no two-factor authentication (2FA) necessary for the app. However, 2FA is available on the web version of PayPal.
While PayPal has a solid reputation and great customer support, if you want to be 100% secure that you won’t lose your crypto you need to move it to cold storage. This entails buying a cold wallet such as a Trezor or Ledger device.
If you really want to get your head around wallets you need to read up on what a wallet address is.
Alternative Ways to Use Dogecoin
If you’re a Dogecoin holder who’s looking for ways to use your assets, there are plenty of options available beyond PayPal. Here are some of the most popular ways to use Dogecoin:
Crypto exchanges that support Dogecoin
There are several cryptocurrency exchanges that support Dogecoin, including Binance, Kraken, and Bitfinex. These exchanges allow users to buy and sell Dogecoin directly and often offer additional features such as margin trading and staking. However, it’s important to do your research and choose a reputable exchange with strong security features.
Online retailers and services accepting Dogecoin
Many online retailers and service providers have started accepting Dogecoin as a form of payment. Some of the most well-known examples include the Dallas Mavericks, Namecheap, and the Space merch stores.
For a comprehensive list check out the top 50 businesses that accept Dogecoin as payment.
Converting Dogecoin to other cryptocurrencies or fiat currency
If you’re looking to cash out your Dogecoin holdings, you can convert them to other cryptocurrencies or fiat currencies using a reputable exchange. This can be a good option for users who want to avoid the volatility of the cryptocurrency market or who prefer to cash out to a more traditional form of currency. Just be sure to choose an exchange with low fees and a good reputation.
Overall, Dogecoin remains a popular and influential cryptocurrency despite not currently being supported by PayPal. While this may change in the future, there are plenty of other options available for users and investors who want to buy, hold, or use the meme coin in other ways. Whether you’re a seasoned crypto pro or a newcomer to the space, it’s important to do your research and choose the right platforms and services for your needs.