Is Dogecoin a Good Investment: Dogecoin cryptocurrency like bitcoin was created in 2013 as a joke and is the world’s 10th largest cryptocurrency as per CoinMarketCap. Dogecoin’s creators say it is called the “fun and friendly internet currency”.
The token was a satire about the proliferation of dubious crypto coins at the time. The coin was named after the ‘Doge’ a meme based on the Japanese Shiba Inu dog.
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What Is Dogecoin?
The open-source digital currency was created by Billy Markus from Portland, Oregon, and Jackson Palmer from Sydney, Australia. It was started from Litecoin in December 2013. Dogecoin’s creators envisaged it as a fun, light-hearted cryptocurrency.
That would have greater appeal beyond the core Bitcoin audience since it was based on a dog meme. Tesla CEO Elon Musk posted several tweets on social media that Dogecoin cryptocurrency like bitcoin is his favourite coin.
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Who Found Dogecoin?
Dogecoin cryptocurrency like bitcoin was co-founded by IBM software engineer Billy Markus from Portland, Oregon, and Adobe software engineer Jackson Palmer.
Who set out to create a peer-to-peer digital currency that could reach a broader demographic than Bitcoin. They also wanted to distance it from the controversial history of other coins.
Dogecoin cryptocurrency like bitcoin was officially launched on December 6, 2013, and within the first 30 days, there were over a million visitors to Dogecoin.com.
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At the time, Palmer was a member of the Adobe Systems Marketing Department in Sydney and is credited with making the idea a reality. Palmer had purchased the domain of Dogecoin.com and added a splash screen.
Which featured the coin’s logo and scattered Comic Sans text. Markus reached out to Palmer after seeing the site and started efforts to develop the currency.
Markus had designed Dogecoin’s protocol based on existing cryptocurrencies, Luckycoin and Litecoin, which use scrypt technology in their proof-of-work algorithm.
The use of scrypt means that miners cannot use SHA-256 bitcoin mining equipment, and instead must use dedicated FPGA and ASIC devices for mining which are known to be more complex to produce.
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How to Mine Dogecoin?
The difference between Dogecoin and Bitcoin’s proof-of-work protocol is in many ways. One of the differences is by use of Scrypt technology.
The altcoin has also a block time of 1 minute, and the total supply is uncapped. This means that there is no limit to the number of Dogecoin that can be mined.
You can mine Dogecoin either alone or through a mini pool. A Doge miner can mine the digital currency on Windows, Mac or Linux, and with a GPU.
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Until 2014, you can mine Litecoin in the same process of mining Dogecoin, as the processes were merged. Dogecoin’s implementation differs from Litecoin by several parameters.
Dogecoin’s block time is 1 minute as opposed to Litecoin’s 2.5 minutes. Several cases of people using their employers’ or universities’ computers to mine Dogecoin have been discovered.
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What Can Dogecoin Be Used For?
Dogecoin has been used primarily as a tipping system on Reddit and Twitter to reward the creation or sharing of quality content. You can get tipped Dogecoin by participating in a community. That uses the digital currency, or you can get your Dogecoin from a Dogecoin faucet.
A Dogecoin faucet is a website that will give you a small amount of Dogecoin for free as an introduction to the currency so that you can begin interacting in Dogecoin communities.
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How Can You Buy Dogecoin?
You can buy or sell Dogecoin at any exchange that offers the digital currency. Store it on an exchange or in a Dogecoin wallet, and tip Dogecoin in any communities that accept Dogecoin.
For the latest list of exchanges and trading pairs for this cryptocurrency, click on our market pairs tab.
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How High does Dogecoin soar?
Its levels soared high, say as high as 800 per cent, and became one of the most widely traded cryptocurrencies at present. It has seen an increase in price by almost 80 per cent, along with a massive spike of 800 per cent in trading volume.
If we go by numbers and information by Coingecko. Then the cost of Dogecoin hit $0.070755 or Rs 5.16 and reached a record high of $0.072330 or Rs 5.28 at one point.
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But toward the end of 2020, the figures had fallen to $0.0047 or 34 paisa. Its price is up by more than 1,600 per cent so far this year, pushed in recent days by celebrity cheerleading from the likes of Tesla’s Elon Musk.
The rapper Snoop Dogg and the rocker Gene Simmons of Kiss, all promoted Dogecoin on social media. The growth occurred when Bitcoin and many other cryptocurrencies were reeling from China’s decision to forbid Chinese banks from investing in the Bitcoin economy.
However, three days later Dogecoin experienced its first major crash dropping by 80%. Due to this event and to large mining pools exploiting the small amount of computing power required at the time to mine Dogecoin.
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What Caused the Spike?
You must be thinking about what has caused the unexpected spike in the cryptocurrency.
A group of Reddit members were engaged in a discussion about Dogecoin to put it on the same trajectory as the enormous share rises in heavily shorted companies. Such as GameStop, Blockbuster and AMC.
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On January 28, one of the Redditors dubbed Doge as a ‘crypto game’ and GME is the stock ticker for GameStop while others talked about pushing Doge to $1 per coin. The price of Dogecoin has seen both highs and lows over the past few hours.
But Reddit users are determined to keep the momentum going. They are encouraging people to “keep pushing” instead of selling the coin.
Business magnate and founder of Tesla, Elon Musk had also tweeted about Dogecoin earlier. In April 2019, he labelled it as his “favourite cryptocurrency”.
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When Was the Theft of Dogecoin?
On December 25, 2013, the first major theft of Dogecoin occurred. When millions of coins were stolen during a hack on the online cryptocurrency wallet platform Dogewallet.
The hacker gained access to the platform’s filesystem and modified its send/receive page to send any coins to a static address. This hacking incident spiked tweets about Dogecoin.
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Making it the most mentioned altcoin on Twitter at the time, although it was about a negative event. To help those who lost funds on Dogewallet after its breach.
The Dogecoin community started an initiative named “SaveDogemas” to help donate coins to those who had them stolen. Approximately one month later, enough money was donated to cover all the coins that were stolen.
In January 2014, the trading volume of Dogecoin briefly surpassed that of Bitcoin and all other crypto-currencies combined. However, its market capitalization remained substantially behind that of Bitcoin.
Initially, Dogecoin featured a randomized reward that was received for each mining block. However, in March 2014 this behaviour was later updated to a static block reward.
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Is Dogecoin a Good Investment: FAQ
What is Dogecoin
Dogecoin cryptocurrency like bitcoin was co-founded by IBM software engineer Billy Markus from Portland, Oregon, and Adobe software engineer Jackson Palmer.
Who set out to create a peer-to-peer digital currency that could reach a broader demographic than Bitcoin. They also wanted to distance it from the controversial history of other coins.
How to Mine Dogecoin 2021
You can mine Dogecoin either alone or through a mini pool. A Doge miner can mine the digital currency on Windows, Mac or Linux, and with a GPU. Until 2014, you can mine Litecoin in the same process of mining Dogecoin, as the processes were merged.
5 Alternate Dogecoin mining pools are:
1. Aikapool
2. Litecoinpool
3. 1coinPool
4. Multipool
5. Prohashing
Where Can I Trade Dogecoin
1. Set up an account on a crypto exchange that supports dogecoin such as Coinswitch, WazirX, CoinDCX, Bitbns or Zebpay.
2. Cryptocurrency exchange allows to sell, buy or trade cryptocurrency.
3. Download and use apps like Dogecoins WazirX, BuyUcion and CoinSwitch.
4. You can buy, sell and trade Dogecoin through Credit card, Debit card, MobiKwik wallet, bank Transfer, UPI and IMPS Transfer.
Where to Purchase Dogecoin
1. Set up an account on a crypto exchange that supports dogecoin such as Coinswitch, WazirX, CoinDCX, Bitbns or Zebpay.
2. Cryptocurrency exchange allows to sell, buy or trade cryptocurrency.
3. Download and use apps like Dogecoins WazirX, BuyUcion and CoinSwitch.
4. You can buy, sell and trade Dogecoin through Credit card, Debit card, MobiKwik wallet, bank Transfer, UPI and IMPS Transfer.
Why is Dogecoin Rising
On January 28, one of the Redditors dubbed Doge as a ‘crypto game’ and GME is the stock ticker for GameStop while others talked about pushing Doge to $1 per coin. The price of Dogecoin has seen both highs and lows over the past few hours.
But Reddit users are determined to keep the momentum going. They are encouraging people to “keep pushing” instead of selling the coin.
Business magnate and founder of Tesla, Elon Musk had also tweeted about Dogecoin earlier. In April 2019, he labelled it as his “favourite cryptocurrency”.
What Apps Can I Buy Dogecoin
1. Robinhood
2. Bitcoin
3. Bitcoin Cash
4. Bitcoin SV
5. Dogecoin
6. Ethereum
7. Ethereum Classic
8. Litecoin
All these apps are available for trading Dogecoin in the app.
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