June 25, 2021

What Is Dogecoin?

6 min read

Dogecoin is a decentralized peer-to-peer open-source cryptocurrency based on the Litecoin structure. It is thought about to be user-friendly, less political, and more of a buddy-buddy altcoin. DOGE is available in helpful when internet users want to tip each other, purchase some smaller products on the web or donate.

Let’s dive into the interesting Dogecoin back story and find out how this eccentric cryptocurrency pertained to exist, what are its fortes and disadvantages, and why individuals keep using it a growing number of nowadays. We’ll likewise speak about mining, storing, and trading DOGE, and check out the large Dogecoin community and its future potential customers.

Dogecoin Technology

Dogecoin is based upon the Litecoin source code. Both blockchains use the Scrypt algorithm and the Proof-of-Work algorithm. Unlike Litecoin, Dogecoin has an unrestricted supply. Mining DOGE is 2.5 times faster than Litecoin’s, which also means that deal verification is quicker. We even more discuss the matter in the Changelly article about Dogecoin mining.

DOGE can be saved in a number of software application and hardware wallets. For example, Dogecoin Core will download the complete Dogecoin blockchain on your PC, turning it into a practical Dogecoin Node. Lighter software application wallet choices are MultiDoge or an online wallet Dogechain. They also enable you to keep, send, and receive DOGE. When it comes to hardware wallets, DOGE is compatible with both Trezor and Ledger.

Dogecoin is listed on the most popular crypto exchanges and forms different market pairs.

By the method, our service is here to offer you speedy exchange and purchase alternatives. Compared to other cryptocurrencies, Dogecoin is fairly easy to mine. It is faster and less power-consuming to mine DOGE than, say, BTC with its SHA-256 algorithm: the mining trouble is significantly lower.

The mining reward is 10 000 DOGE per block. Numerous users choose to mine DOGE in a mining swimming pool, joining computing powers with other miners. If you want to investigate among those, take a look at Best Dogecoin Mining Pools 2020.

Dogecoin (DOGE) History

Dogecoin was created in December 2013 by an American software application engineer Billy Marcus and an Australian item manager Jackson Palmer. The idea was to oppose Bitcoin’s hype (it was growing in 2013) and make a less severe, less high end cryptocurrency that people would associate with.

Back in 2013, in prehistoric times by meme standards, a “doge” meme was a thing: countless people were publishing a picture of a Japanese Shiba Inu canine, surrounded by a cloud of silly and ungrammatical phrases.

Future Dogecoin co-founder Jackson Palmer wasn’t an exception to the trend around the adorable dog. To top it off, he was an amateur cryptocurrency enthusiast. In November 2013, he absentmindedly tweeted, “Investing in Dogecoin, quite sure it’s the next big thing.”, having no clue he had actually just made an incredibly precise prediction.

Many Twitter users responded to Palmer’s tweet, then a thread about Dogecoin appeared on Reddit. Meanwhile, the other future Dogecoin co-founder, Billy Marcus, was being in his home in Oregon attempting to come up with a concept for a cryptocurrency that would attract a broader public. He encountered Palmer’s tweet and quickly believed it was amusing and worth putting in motion.

Marcus wrote to Palmer and began to reconfigure Bitcoin’s source code right now. The two started working as a team, and less than a week later on, the Dogecoin cryptocurrency was born. The Shiba Inu dog became its sign and part of the logo.

In the first several weeks of Dogecoin’s presence, hackers assaulted the Dogewallet and took $12,000. The Dogecoin community reacted with warp speed, raising enough money to cover all the coin-holders’ losses in just one month.

dogecoin price chart
Dogecoin rate chart This occurrence didn’t affect Dogecoin’s image much. On the 19th of December 2013, DOGE price grew by 300%. It dropped after 3 days, however then rose again in January and kept gradually increasing. In 2014, Dogecoin even surpassed Bitcoin by traded worth and got in the Top-10 most popular cryptocurrencies list on Coinmarketcap.

In 2015, Jackson Palmer left the task, inducing an avalanche of rumors about Dogecoin’s prompt fall. DOGE survived thanks to its loyal neighborhood’s efforts. In January 2018, the coin peaked with an all-time high of $0.017-$0.018. A series of ups and downs followed, and since July 2020, Dogecoin trades at $0.003223 and has its rightful put on the Top-30 world cryptocurrencies list.

Dogecoin Community

One of the most notable features of Dogecoin is its devoted and active community. Millions of people use DOGE today– some of them started out as the Doge meme fans, others joined when the currency ended up being a popular ways of tipping on Twitter and Reddit.

Many more entered into the Dogecoin community after it showed itself to be more than simply a cryptocurrency. It is a neighborhood with a specific set of worths and an approach, where sharing, encouragement, charity, and overall amiability are cherished.

While popular men and women of fortune play on the heavy-weight Bitcoin market, normal web users pick Dogecoin as their method into the crypto world. DOGE doesn’t cost much, but that’s precisely what makes it easy to use. Dogecoin allows people to toss around little sums of cash as a gesture of appreciation.

Though it might appear that Dogecoin is a ridiculous joke that went too far, rest assured that it’s not the case, at least not any longer. Members of the DOGE community (they call themselves Shibes) are known to be really active on social media and to participate in charitable jobs, contributing DOGE or tipping people with it. They’ve created an app called DogePal– a simple method to pay with DOGE.

There are several charities, like SocksForTheHomeless or DogePizza, also established by passionate DOGE users and maintained by Dogecoin’s viewpoint lovers.

DogePizza for the Homeless! from dogecoin

  • DOGE is mainly used for: Tipping. If you like a joke or a meme or a piece of useful information on social media, you can tip its author with some DOGE. There are even unique bots for that on Reddit. They instantly move DOGE to the recipient upon being called;
  • Charity and fundraising. Different platforms raise cash for good causes using DOGE;
  • Buying small items. Most online platforms that accept payment in Bitcoin deal with DOGE also;
  • Online casinos.

Dogecoin vs. Bitcoin

Bitcoin and Dogecoin are pretty the exact same things. Nevertheless, Dogecoin has started as a joke and later on ended up being a community-favorite cryptocurrency. We’ve made a table comparing these two cryptocurrencies:

Dogecoin Bitcoin
Date of production 2013 2009
Creator Jackson Palmer Satoshi Nakamoto
Market Cap Over $7 billion Over $928 billion
Associated celebs Elon Musk Marc Andreessen, Jeff Currie
Mining hardware GPU ASIC
Difficulty 5,064,416.04 13,912,524,048,946

What is Dogecoin– FAQ

In this area, we discuss the questions that may arise during your Dogecoin expedition.

Will Dogecoin ever be important?

Dogecoin is now hyping! Elon Musk enhanced Dogecoin’s rate a number of times by posting about it on Twitter. So the coin is currently valuable. As we have currently discussed in the DOGE price forecast, the Dogecoin cost can reach $0.08. As Mr. Musk says, to the Moon!

How does Dogecoin work?

Considering that DOGE was created as a fun implies of payment, it works similar to Bitcoin. Users can pay for items, make donations for charitable companies, and more.

How do I buy Dogecoin?

There are many ways to purchase Dogecoin, for example, on a p2p platform or an exchange. By the method, Changelly uses you to purchase and swap DOGE for low rates in a matter of minutes. Have a look at our cross-rates in the widget below.