Data: Coindesk; Chart: Axios Visuals
Unlike bitcoin or GameStop stock, dogecoin — a literal joke of a cryptocurrency — is not supply-constrained. If you want more of it, you can mine it — and then, presumably, sell it, given the profit margin of about 57%.
Why it matters: The irrational price rises in cryptocurrencies like dogecoin perhaps help explain why 62% of crypto investors, including 58% of investors with less than $10,000 in crypto investments, expect that they will get rich from their investments in cryptocurrency.
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The big picture: While most investment advice says that wealthier people can afford to take on more risk, that might not be happening in crypto.
Driving the news: 30% of Black investors own cryptocurrency, partly thanks to Clubhouse groups like Black Bitcoin Billionaires.
Tani Chambers, of Black Women Who Invest, told Bloomberg that “We have to take some high risks and make the investments that maybe are a little bit more risky than conservative because we are playing catch-up.”
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