Recently(via Twitter), Elon Musk gave whales(Individuals who own over 5% of the crypto, and combined 50% of the total market) an ultimatum to sell most of their dogecoins in order to allow the altcoin to have a future and in effect truly become the 'crypto of the people', or he would not be able to back it with his full support.
We all gasped and waited to see if the whales would oblige and sell. However, it seemed whales were a bit resistant. After-all, who would give up all their profits so easily. Recently, a shift began to take place. A few large dogecoin holders came forward and committed to sell or atleast come to some compromise as a token of support for the cryptos future. One such whale being @MadDogecoins who became a USD Multimillionaire from trading Dogecoin since 2013.
But there is still one major problem; a massive dogecoin wallet(possibly the biggest) is still accumulating dogecoins as if in some defiance.
Elon Musk and many others have come to the belief that this whale might just be an exchange wallet or something very similar.
To be specific, It's now widely believed that the major dogecoin Exchange Nemesis/Whale is non other than Robinhood?
How? Let's take a look at Robinhood's Crypto policy
Robinhood Crypto and Robinhood Financial
"Your cryptocurrency assets aren’t part of your Robinhood Financial account. Your brokerage account is with Robinhood Financial LLC and allows trading of stocks, ETFs and options, while cryptocurrency trading is done through an account with Robinhood Crypto, LLC. Robinhood Crypto is licensed to engage in virtual currency business activity by the New York State Department of Financial Services, as well as a number of other state money service business regulators. Robinhood Crypto is not a member of the Financial Industry Regulatory Authority (FINRA) or the Securities Investor Protection Corporation (SIPC). Cryptocurrencies are not stocks and your cryptocurrency investments are not products protected by either FDIC or SIPC. Robinhood Financial, LLC and Robinhood Crypto, LLC are wholly-owned subsidiaries of Robinhood Markets, Inc."
Basically, if you purchase crypto currency on Robinhood, you actually do not own the crypto. Without owning your private keys, and having the ability to send and receive and make purchases with dogecoin; you are in essence only investing in it's value. Some people are cool with that, but this is very harmful.
Without owning your "Private Keys", Robinhood owns all your crypto; You don't.
Robinhood can halt buying or selling at any point and force dogecoin's price to dip.
We all saw this first hand, both with dogecoin and a handful of stocks during the GameStop/WallStreetBets fiasco. Robinhood basically halted and limited buying, causing countless stocks to Dip drastically and causing many people to lose money. Robinhood basically took the side of the HedgeFunds and whales over the people. This was ironic, because they came in sheep's clothing pretending to be for the people. Now they have shown their true colors.
So how can dogecoin reach it's full potential if you have an exchange like Robinhood, who have the power to manipulate dogecoin. In the sense that they can halt any dogecoin rise and cause dips. Then make phony excuses as to why you can't buy the crypto.
So, What's The Solution?
The solution is for Robinhood to upgrade their app to allow private keys(The ability to own, transfer to and receive dogecoins from third parties). This would truly be a game changer.
Robinhood have stated publicly that they are working on a solution to this issue.
"We don’t currently provide you with access to your wallet or your wallet address. You own the cryptocurrency assets in your account, and you can buy or sell them at any time. We’re evaluating features to allow you to safely transfer coins to and from Robinhood, and we’ll update you when these features are available." -Robinhood
Once this solution put into effect, and even now...dogecoin may have a clear trajectory to the moon!
But we have to all play a part and hold Robinhood accountable to back up their words with actions. Robinhood would no longer be able to act questionably, knowing you could easily transfer out their crypto(Something you cannot do now).
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