Cryptocurrency Gains More Ground: China, Venmo Coming Into Play As Dogecoin Hogs Spotlight

Source: CoinGeek

Cryptocurrency remains among the key conversation pieces of the financial world this week, and the buzz was mostly centered on a rising digital asset – Dogecoin. Meanwhile, it appears that more players are willing to take part in the expanding crypto universe that is Bitcoin.
It is expected that from hereon, cryptocurrency trading will be more simplified with the entry of online payment service Venmo, PayPal, the payment app’s parent company, announced the news on Tuesday and indicated that trading of virtual currencies on the platform can start for as low as $1.

Big Push To Mainstream Use?

Venmo’s embrace of crypto assets will allow users to buy and sell four of the most popular digital coins to date – Bitcoin, Ethereum, Litecoin, and Bitcoin Cash. According to PayPal, online traders can make use of the payment service to discover everything they need to know about cryptocurrency.

The intention is “to demystify the process of buying and selling” of the token and the payment firm seemed quite confident that Venmo will prove to be the platform of choice, specifically for the newbies trying their hands in crypto trading.

The rollout has already commenced but PayPal has sent out an advisory that it will take some weeks before all Venmo users can access the new service.

Venmo making its presence felt in cryptocurrency trading is seen as another milestone moment as it could pave the way for a broader institutional acceptance of digital coins. Such sentiment was partly fueled by the earlier decision made by giant companies like Tesla to integrate crypto assets into their business processes.

China Could Be Toning Down On Bitcoin

The Bitcoin momentum has reportedly been felt in China as well. The People’s Bank of China (PBOC), which is the Asian economic titan’s central bank, described the token on Monday as an “investment alternative.” The statement came as a surprise and steered away from China’s stance on the matter in 2017 when it cracked down on crypto trading.

Coming from Li Bo, deputy governor of the institution, industry watchers said the comments issued were “progressive and significant,” and could signal a regulatory adjustment that will favor the exchange of Bitcoin and other digital currency in China, presently the world’s second-biggest economy.

China’s main reservation about Bitcoin is financial stability and by its actions so far, Beijing seems not immediately prepared to lift the restrictions on the crypto asset. The country’s central bank, however, hinted that regulation of the digital currency would be minimal if online trading is permitted anew.

And Li stressed that the regulatory requirements are to mitigate the risks deemed attached organically to cryptocurrency.

Dogecoin Is Riding High

Clearly, these good words about cryptocurrencies are driving the assets to record levels, and the latest beneficiary is Dogecoin. The token was created in 2013 and designed only as a joke by software engineers. But the fun exploded and is now worth $53 billion as of April 2021.

The high volume of adoption fired up Dogecoin’s incredible growth and the value per unit now hovers between 40 and 45 cents. This week, the price shot up to a high of 42 cents or 20% from previous trading days.

Again, Tesla CEO Elon Musk played a hand in boosting Dogecoin’s popularity. Musk promotes the relatively new crypto asset in his social media posts, and the drum beating is paying off. Dogecoin is now regarded as the fifth most-traded cryptocurrency and traders can’t seem to get enough of its allure.

Part of Dogecoin’s charm is its current affordability. The trading price is still under $1 and investors are optimistic that the asset will eventually experience explosive growth the way Bitcoin did.

When Bitcoin was introduced in 2009, it started under a dollar too. Now a coin’s worth can be between $55,000 and over $60,000. And to keep track of the movement of this and other crypto assets, it’s best to rely on solid information offered by reputable financial service providers.