Updated- 25/06/2021, 23:28 IST
The digital currency based on a meme – Dogecoin – has continued to capture public attention as Tesla CEO Elon Musk uplifts the value of the coin through his tweets
Dogecoin (DOGE) is an open-source cryptocurrency that is based on a fork of the Litecoin code. As the name implies, it is mainly based on the Doge meme that swept the Internet in 2013.
Dogecoin created by software engineers Billy Markus and Jackson Palmer, who decided to create a payment system as a joke, making fun of the wild speculation in cryptocurrencies at the time. Despite its satirical nature, some consider it a legitimate investment prospect. Dogecoin features the face of the Shiba Inu dog from the “Doge” meme as its logo.
What is Dogecoin? Things to Know Before Investing
Dogecoin is a cryptocurrency with a fun and friendly brand picture that aims to be a supportive introduction to cryptocurrency. Billy Markus, an Oregon programmer, came up with the concept for a kind of “joke” cryptocurrency.
Dogecoin was officially launched on December 6, 2013, and within the first 30 days, there were over a million visitors to Dogecoin.com
Billy Markus believed that a more lighthearted coin, rather than Bitcoin, may have a greater flexibility in gaining mainstream acceptance. Although Dogecoin is nowhere near the scale of Bitcoin, the ‘joke‘ currency’s market cap has risen from $1 billion to $47 billion according to CoinMarketCap.
On December 19, 2013, Dogecoin jumped nearly 300 percent in value in 72 hours, rising from US$0.00026 to $0.00095, with a volume of billions of Dogecoins per day. This growth occurred during a time when bitcoin and many other cryptocurrencies were reeling from China’s decision to forbid Chinese banks from investing into the bitcoin economy. Three days later, Dogecoin experienced its first major crash by 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
DOGECOINS STOLEN ( 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 Dogewalle. The hacker gained access to the platform’s filesystem and modified its send/receive page to send any and all coins to a static address.
Should you invest in dogecoin?
Dogecoin has been there for more than 7 years now , hence, in terms of its legitimacy, there aren’t any doubts. Secondly, it is said to have a defined purpose of creating a payment system that is free from traditional banking fees. So, if an investor puts money in the coin, he or she is basically participating in a constructive project, but is Doge really worth investing ??
Dogecoin is almost certainly not a good investment in any traditional sense of good investing, but that might just be the reason to buy.
The real reason for the growth of Dogecoin is because of its low value , which is also helpful to teach new investors about crypto and basic principles of demand and supply in the market. Dogecoin is at a low price right now and also considerably popular.