Dogecoin (DOGE), also known as “the internet currency,” is one of the most popular cryptocurrencies right now and falls under the ‘altcoin’ category.
Dogecoin was created on December 6, 2013, by Bill Markus, a former IBM programmer, and Jackson Palmer, a marketing employee at Adobe Systems.
It was done as a joke, and to prove that they could reach a broader audience than Bitcoin. Moreover, the men were shown to be right by gaining a vast number of users worldwide.
The name and logo of the currency come from the internet meme, Shiba Inu, a Japanese dog, and the currency’s fun and charismatic mascot.
After obtaining several mentions on Twitter, Palmer registered the domain dogecoin.com. Later, he showed the newly created website to Markus, and the pair launched the crypto coin shortly after Markus finished the development of a Dogecoin wallet.
Based on the lentgh of time DOGE has been around, current development, community sentiment and potential partnerships that could happen in the future. We currently place DOGE in our Moderately Likely to Succeed category.
Like all cryptocurrency, Dogecoin’s original purpose was to expand the crypto market and facilitate the usage of the coin to the general audience.
Dogecoin is utilized mainly in small transactions as an online tipping system. User can tip other users with Dogecoin if they provide useful content on online sites such as Telegram or Reddit.
Outside of tipping, DOGE is also used for buying or selling goods or services on Reddit, Twitter, and Tumblr, to name a few.
Outside of the online social media sites, Dogecoin has been involved in real estate transactions, the porn industry, casinos, and online betting.
Additionally, crypto traders can profit from trading Dogecoins in the crypto market. A trendy trade is the DOGE/BTC pair or the DOGE/LTC pair.
Those who are more familiarized with the forex market can also trade Dogecoin. The coin can be exchanged for most forex currencies. The two most popular exchanges being DOGE to US dollar won, or euro.
Dogecoin depends on the Dogecoin Foundation team. The team formed by a community of casual and highly active users.
The main goal of this foundation is to facilitate the use of the currency through promotion and charity initiatives.
The organization is nonprofit and, as of this writing, has five directors: Jens Wiechers, Felix von Drigalski, Josh Mohland, Debbie Ballard and Patrick Lodder.
The developing team is composed by Ross Nicoll, Patrick Lodder, and Max Keller.
The Dogecoin Foundation had an active online presence until Jackson Palmer left in 2015. From there on, there has been a decrease in updates and modifications from the core team.
Moreover, the lack of activity is helped by the Dogecoin Foundation being set as a non-for-profit. Therefore, the team has no real financial backup to work on the product, which has become a real threat to the cryptocurrency.
These problems meant that the Dogecoin’s future is in the hands of the Dogecoin community. With that said, the community has stepped up to the challenge.
Currently, Oscar Guindzberg, a prominent Dogecoin user, is working with CoinFabrik to facilitate the exchange between DODGE and ETH. The name of the project is called the “Dogethereum Bridge.”
Dogecoin does not use a traditional blockchain system, as most Bitcoin-related cryptocurrencies do. However, there is a reason for that.
DOGE is based on the Litecoin protocol. That means that Dogecoin uses Scrypt as proof of work scheme technology, which helps in getting higher profitability when using graphics cards.
It also uses a P2P network and an SHA-256 (Secure Hash Algorithm).
That said, Dogecoin uses mining since it is still a fundamental process when it comes to cryptocurrency. DOGE miners help to verify any transactions made and thus contribute to guarantee the security and avoid any possible fraud.
Moreover, unlike Bitcoin, there is no limit to how much Dogecoins can be produced.
Lastly, when it comes to user interaction, Dogecoin works just like any other type of cryptocurrency. With Dogecoin, you can buy any good or service without any problem as long as the firm or seller accepts it as a valid form of currency.
The total supply of DOGE that exists is 120,870,524,885 with a circulating supply is also 120,870,524,885 DOGE. More Dogecoins will be created forever while the discussion of setting a hard cap is always brought up for debate.
Some feel the hard cap could hurt Dogecoins potential while the continued creation could help with the health and longevity of the DOGE network.
There are multiple options to Buy DOGE. Below is a simple breakdown using a trusted wallet and exchange we recommend for securing your Dogecoins:
Dogecoin has been picking up so steam in popularity and transactions.
There are also talks of some big players considering the use of DOGE on their platforms.
Although this cryptocurrency started out as a joke when it was first created; the current developers and community have rallied around DOGE and continues to show that it has staying power.
Because of this, Dogecoin can compete in the short term, and it might be around for years to come with continued development and its ever-growing community support.