Dogecoin information comes in place! A coin that was invented for fun. Looking back, Dogecoin was launched in 2013 by American programmer Billy Marcus and Australian Jackson Palmer. Clearly no one was paying attention to it initially, and really how can you take a cryptocurrency with the logo of a Japanese meme seriously.
Dogecoin cryptocurrency is still a joke, true or false?
What Is Dogecoin?
Dogecoin was created in December 2013. The plan was to create a cryptocurrency that would be used by a large number of people in charge of different lifestyles. In addition, the creators of Dogecoin wanted to distance themselves from Bitcoin, which was once associated with “black” traffic (i.e. criminal, drugs, weapons). Dogecoin was a cryptocurrency meme whose community treated it as a fun stuff, but with practical benefits as it repeatedly supported fundraising for charitable causes.
Understanding Dogecoin is without a doubt a very difficult thing as it’s a serious platform with a number of advanced technologies. Dogecoin is based on the open-source code of Luckycoin, which was a modified version of Litecoin.
Dogecoin uses the Scrypt algorithm, which has been called revolutionary since its use. In addition, this algorithm helps achieve higher speeds and is generally more accessible to novices in the cryptosphere. Dogecoin appeals to users who create content on platforms such as Reddit and YouTube.
How Did Doge Become Famous?
It is often quite difficult to say why Dogecoin or another cryptocurrency climbed up or fell down. However, speaking of Dogecoin at the end of January 2021, there are some factors contributing to the coin’s growth. And it all started with a belief in success. The Reddit community, which entered into a war with investment funds, decided to take down the GameStop chain of game stores, wondered: if it was possible to increase the value of GameStop, why not increase the value of Dogecoin?
The Reddit community believed it, and soon the value of the “coin” increased. At its peak, it reached 1500% of its value.
And also some of the credit for the success and popularity of the coin goes to Elon Musk and his tweets. He, in his favorite manner, started to issue tweets, sort of like Dogecoin ads. Elon released tweets such as “Dogecoin is the people’s cryptocurrency” and “No lows, no highs, just dogs” which led Dogecoin to become a trend on Twitter. Dogecoin began to grow by several thousand percentage points, with the coin’s valuation jumping to 10 billion dollars in a few days.
Ethereum founder Vitaly Buterin supports Dogecoin and is investing in this cryptocurrency.Ethereum founder Vitaly Buterin, in June 2021, said he likes Dogecoin (DOGE) and suggested cooperation between Dogecoin and Ethereum for scalability.
According to Buterin, the main problem with Dogecoin scalability is that simply increasing parameters without any additional action makes it difficult to verify the chain.
That doesn’t sound like a joke anymore, does it?
How Dogecoin Works
Dogecoin works as a decentralized alternative to cryptocurrency that can be used for both speculation and remittance . Because it is open source, developers and programmers can access the code and make improvements. Because it is a decentralized peer-to-peer network, it has no central server to regulate its operation. Its operating protocol is the Proof of Work (PoW) consensus. This is the same protocol used in Bitcoin. Coins are created through mining, where network operators validate transactions on the blockchain and are rewarded in the form of Dogecoin units.
Can Dogecoin Be Like Bitcoin?
One advantage Dogecoin has over Bitcoin is that transactions are fast and there is almost never any network congestion. Since transaction costs are very low, this makes DOGE a good option for those who want to transfer money without overpaying for transactions. While Bitcoin takes about 10 minutes to confirm a transaction, Dogecoin does it in less than 1 minute.
Another advantage is cryptocurrency mining, which is much more affordable than bitcoin mining. This is because Bitcoin’s hashing rate is much higher than Dogecoin, which forces Bitcoin miners to invest much more in their computing power to solve complex mathematical problems to verify transactions.
Another Important Statement
SpaceX and Tesla founder Elon Musk and American entrepreneur and billionaire Mark Cuban believe that Dogecoin (DOGE) represents the most secure means of exchanging digital assets.
Such stunning backstory has arisen around what appears to be a joke and a publicity stunt. In early 2021, Dogecoin created thousands of new millionaires, while thousands lost most of their investments in the coin. How all this will end in the future, no one knows. Dogecoin can be hated, Dogecoin can be loved, but it cannot be ignored.