What is Dogecoin? Why is it so popular, all of a sudden?

In 2013, Dogecoin (DOGE) was created as a joke and a poke of fun at the crypto industry. But now it’s one of the world’s biggest cryptocurrencies. How did it happen?

What is Dogecoin?

Dogecoin is a cryptocurrency that is named from the “Doge” Internet meme. It started to mock the industry and quickly built up a lively community of enthusiasts. It came in 2013 and run into a market cap of $9 billion during its early 2021 price surge.

Who created and founded Dogecoin?

At first Jackson Palmer, an Adobe employee, couldn’t believe the huge number of altcoins that launched in 2013. As a joke, he said in his tweet that he was investing in Dogecoin (a fake coin based on a popular meme featuring a Shiba Inu dog). As the result, several people thought he was on something. They said the industry really need a token that could counter the controversial coins on offer. So Palmer made a team with Billy Markus, a programmer, to make Dogecoin in reality.

Actually, Palmer told in 2018 that Dogecoin was always like a hobby project, like a side project thing. But in the fact, the community is quickly formed around the cryptocurrency and took it much further than Palmer had expected and anticipated.

What are the Benefits of Dogecoin?

a. Speed and Cost

Dogecoin provides fast transactions and low transaction fees. These are important for wide adoption.

b. Unlimited Supply

Originally Dogecoin is limited to 100 billion coins. Later it was changed to an unlimited supply. As the result the price very stable.

c. Community

Dogecoin is known for its active community. The more than 300,000 members of the dogecoin subreddit are known for being a friendly and welcoming bunch.

d. Philanthropy

The same community has been known to exist for good causes. The community helped to raise over $25,000 in Dogecoin to send the cash-strapped Jamaican bobsled team to the 2014 Olympics. They also teamed up with a water charity to raise thousands to improve clean water access in Kenya through the Doge Water initiative.

How does Dogecoin work?

The advantage of the never-ending supply of Dogecoin tokens is their relatively stable price. The deficiency is that prices usually stay very low. Most people enter the crypto world as an investment, therefore they hope that if they keep the tokens for a long period of time, they can sell them for a profit.

Not so with Dogecoin. Due to the high supply of tokens and low prices, it isn’t attracted investors who want to keep their currency. The result is a highly liquid and free-flowing peer-to-peer digital currency.

But, Crypto investors and experts believe that Dogecoin will increase in value over time. Because of that, the good method for making money is by buying and holding Dogecoin. As it is sometimes known, long-term crypto investing or “HODLing” is one of the best strategies when investing in Dogecoin.

What can you do with Dogecoin?

The main purpose of Dogecoin is as an online 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 digital currency, or you can get your Dogecoin from a Dogecoin faucet. A Dogecoin Faucet exists as a website that will give you a small amount of Dogecoin for free as an introduction so that you can begin interacting in Dogecoin communities.

Besides, Dogecoin also can be an instrument for trading and investment.

How many the price of Dogecoin?

According to CoinMarketCap, The price of Dogecoin is $ 0.0001- $ 0.003 and relatively stable from December 2013 until December 2020. Although Dogecoin had little increased in its price in 2018 $0.01711, its price is going down and stable again.

In January 2021, the price of Dogecoin started to have a significant increase, and it continues until Mei 8th, 2021 Dogecoin had the highest price in its history that is $ 0.6958.

Since then, the price of Dogecoin seems to go down, and not back or exceed its highest price ever.

Why did the Dogecoin price go up?

Dogecoin is no longer a joke. Its popularity has increased because of the mainstream adoption of bitcoin and other cryptocurrencies this year.

As the loudest and most prominent supporter of dogecoin, Elon Musk often tweets to his 50 million followers and can send the crypto surge. That’s what exactly happened in April when Musk tweeted “Doge Barking at the moon” and shared a photo of a painting by Joan Miró (Spanish Artist), which is titled “Dog Barking at the Moon.”

Thanks to the enthusiasm of Elon Musk for Dogecoin and anticipation of hosting Saturday Night Live (SNL) over the weekend led to a spike in the price of Dogecoin. Elon Musk’s contribution to Dogecoin’s increasing price so highly visible as speculators hopes he will plug the coin live on-air and stimulate further interest.

Popular trading apps and cryptocurrency exchanges' decisions to list Dogecoin have made it more accessible and also coincided with the spike in the price of Dogecoin over the past week.

Elon Musk himself has acknowledged that the noise around Dogecoin is fueled by speculation to hope the price will rise further than its inherent value.

Dogecoin is not widely exchanged for goods and services and limits its use in the real world.

Is it headed to the Moon?

The use of the token phrase “To the Moon” has known for traders who want to see their assets’ prices rise exponentially. So literally, Dogecoin is headed to the Moon.

Elon Musk, the founder of SpaceX, confirmed that his rocket company would launch a mission called “DOGE-1” to the Moon next year. Plus on his Twitter account, he said the mission would be paid for in dogecoins, and be both the “first crypto” and the “first meme in space”.

How to Get Dogecoin?

You can get Dogecoin by buying them at an exchanger.

Archidax is one of the best exchange platforms and can be your choice to buy, sell, and trade DOGE easily and safely.

Source : f.a.s