Top Dogecoin influencer Mishaboar has issued a warning to the DOGE community as they hold DOGE. He explained why they should simply focus on holding the spot crypto rather than using leverage to magnify their holdings.
Dogecoin Influencer Issues Warning To DOGE Community
In an X post, Mishaboar warned DOGE holders that there is currently a significant push from influencers and possibly former exchange CEOs to promote platforms that allow people to trade with high leverage. The Dogecoin influencer noted that, in an attempt to convince crypto community members, these influencers and KOLs post screenshots showcasing their wins but never reveal their losses.
Mishaboar claimed that this is a coordinated effort by these platforms, industry insiders, and paid crypto influencers who seek to draw in fresh liquidity from inexperienced crypto traders. As such, the Dogecoin influencer is warning DOGE holders to be careful of this scheme and to avoid losing their money to leverage.
The Dogecoin influencer reminded DOGE holders that by holding spot crypto, they are already dealing with “explosively volatile assets.” He further remarked that they don’t need to compound that risk by trading derivatives with leverage, as they will almost certainly lose it all. Mishaboar added that it is not a matter of if, but when.
He again warned DOGE holders to be careful and ignore whatever these influencers are trying to promote. The Dogecoin influencer advised them to be cautious and unfollow these influencers, as they are seeking to utilize their followers as exit liquidity. Mishaboar also indicated that these influencers mainly shill new coins in a bid to use their followers as exit liquidity once they promote the coin.
Criticism of the Binance Founder “CZ”
In another X post, the Dogecoin influencer seemed to have sarcastically remarked that it is lovely to see Binance founder Changpeng Zhao being celebrated as a “trustworthy guy” by a good part of crypto Twitter. This came just before his warning, where he called out “ex?” exchange CEOs.
Notably, CZ has been more active on “crypto Twitter” and has on several occasions promoted the Aster perpetual decentralized exchange (DEX). His endorsement and involvement in the project as an adviser are believed to have contributed to the rise of leverage trading on the platform, with Aster topping the likes of Hyperliquid on different occasions in trading volume, revenue, and open interest.
Amid the Dogecoin influencer’s warning, the increase in leverage trading has become more apparent with the rise of perpetual DEXs. It is worth noting that the total monthly perpetual DEX volume recently surpassed $1 trillion for the first time, amid increased competition.
At the time of writing, the Dogecoin price is trading at around $0.25, down over 2% in the last 24 hours, according to data from CoinMarketCap.
