The famous Elon Musk and other investor enthusiasts increased the price of Dogecoin today. Its look-alike Bitcoin is all set to record much high in currency markets. Dogecoin started as a dog meme on the internet back in 2013, when the cryptocurrency was over 30% to a high of $0.085 which makes around 6.2pence. In the past month, its trading rate was around $0.0075c which makes 0.5pence. It has increased about 1030% up till now.
Meanwhile, its big brother Bitcoin has increased up to 25%, regardless of the $5,000 upsurge to $44, 8999 making the record today. The stream of tongue-in-cheek advocacy from billionaire Tesla boss Musk along with Kiss bassist Gene Simmons and the rapper Snoop Dog has ascended the value of Doge. The recent rise in the price has put the market value of Dogecoin over $10 billion which makes it amongst the top 10th priceless cryptocurrency inflow by market capitalization.
At the same time, Bitcoin marked a different record price when it came to the news that Tesla (possessed by Musk) supplied $1.5 billion in the previous months. One of the commentators describes the purchase as ‘one bubble investing in another bubble’.
What is Dogecoin?
The official website described it as “Dogecoin is a decentralized, peer-to-peer digital currency that enables you to easily send money online”. IBM developer named Billy Markus and Adobe data scientist named Jackson Palmer invented this cryptocurrency for the first time back in 2013 as a substitute for Bitcoin and the satire about cryptocurrencies by the internet world.
Regardless of, or perhaps due to this reason, it has surged in price by 1,250% in only a year – way faster than its big brother. Dogecoin is named after a Japanese Shiba Inu because his picture went viral in 2013. The internet acted way nicer in past times.
The code is established on Litecoin and it can be mined by using the same method as other digital currencies are using. It is carried because its supply is infinite. Most of the time, it has been used to grant tips on social media.
A Brief Background of Dogecoin
Initially, a product manager at Sydney – an Australian office of Adobe Inc. -named Jackson Palmer, produced Dogecoin back in 2013 to ridicule the publicity of cryptocurrency. Palmer is honored as a “skeptic-analytic” witness of the innovative technology, and his original tweets tell about his new venture of cryptocurrency ironically. While he started getting constructive feedback on the internet, he purchased the domain ‘dogecoin.com’.
At the same time, a software developer at IBM named Oregon Billy Markus, who craved to develop a digital currency but according to the Dogecoin buzz he faced troubles in advancing his efforts. Markus collaborated with Palmer and he managed to get the approval to create the software supporting an actual Dogecoin.
The Dogecoin’s code created by Markus with the help of Luckycoin, that itself is directed from Litecoin, and originally employed a random bonus for block mining. Moreover, that was switched with a static bonus back in March 2014. Dogecoin works on Litecoin technology. It is a proof-of-work coin.
Both Markus and Palmer inaugurated the coin on December 6th, 2013. Straightaway in two weeks, the price of Dogecoin hopped on 300%, probably because China had forbidden its banks to invest in cryptocurrency.
The Hike Period
Dogecoin managed to record itself as a pleasant form of Bitcoin by having Shibu – Japanese dog as its official logo. The informal presentation of Dogecoin fits the wave of the booming crypto community. The infinite supply and script technology of Dogecoin remained a part of an argument for a quicker, more versatile, and user-friendly form of Bitcoin.
Dogecoin is considered an “inflationary coin“, on the other hand, other digital currencies including Bitcoin are considered “deflationary coin” since there is a presence of ceiling on the number of coins that will be produced. In four months of the year, the mining rewards release the quantity of Bitcoin into circulation which is halved and the rate of inflation is halved as well until all coins are discharged.
To fund the Jamaican bobsled team’s tour to the Sochi Winter Olympic tournament in January 2014, the Dogecoin society devoted 27 million Dogecoins worth probably $30,000. Again, In March, to construct a well in Kenya, the Dogecoin society had also devoted $11,000 worth of Dogecoin. They sponsored NASCAR driver Josh Wise with $55,000 worth of Dogecoins.
Swirling Fun-Controversy around this crypto
The unchecked humor about Dogecoin had lost some of its hilarity back in 2015 when the crypto society commonly began to become more thoughtful. The departure of Jackson Palmer from the Dogecoin community had shattered. He left it because he thought the doge community had become so toxic. This toxic community surrounded the digital coin and the money it was producing.
Alex Green as known as Ryan Kennedy – British national- was amongst that toxic society that produced a Dogecoin alternative known as Moolah. Alex Green (his nickname) was honored as a high-end visitor who donated $15,000 rather than $1,500 by mistake to the NASCAR charity event.
Alex Green’s exchange act persuaded the community members to give a massive amount of funds in response to his exchange. However, after a while, it appeared that he had utilized the funds to purchase more than $1.5million worth of Bitcoin. Following this got him a high-end living. Individually, Kendy was found guilty of many degrees of rape and imprisoned to 11 years in jail.
What happened to Dogecoin during the Hike in 2017-2018?
Subsequently, the Dogecoin price surged along with the other crypto-verse during a hike period that reached the crest by the end of 2017. Anyhow, it diminished with other cryptoverse on the onset of 2018. During its peak, the trading rate of Dogecoin was about $0.18 when it had a market capitalization of about $2 billion.
During the 2019 summertime, Dogecoin faced another rise in the value with the other cryptocurrency in the market. Dogecoin investors were glad when the digital crypto exchange Binance top-listed the Dogecoin. Many people thought that Elon Musk- the CEO of Tesla had endorsed the coin in his cryptic tweet.
What happened to Dogecoin in 2020?
Dogecoin’s framework is not the only source of interest for the coin’s creators; anyhow, they are still volunteers. The one aspect that keeps it operating and trading is its sharp-minded community of miners.
Similarly, Zachary Mashiach belonging to CryptoIQ states:
Numerous Scrypt miners still prefer Dogecoin (DOGE) over other Scrypt PoW cryptocurrencies. Indeed, the Dogecoin (DOGE) hash rate is roughly 150 TH/s. It is just below the Litecoin (LTC) hash rate of 170 TH/s, likely because Dogecoin (DOGE) can be merge mined with Litecoin (LTC), meaning miners can mine both cryptos simultaneously using the same work. Essentially, practically everyone who mines Litecoin (LTC) chooses to mine Dogecoin (DOGE) as well, because merge mining Dogecoin (DOGE) increases profits.
The market capitalization of Dogecoin on December 21st, 2020 was about 43 with a market cap of $611 million.
How To Buy Dogecoin?
Dogecoin might have initiated as a meme, but it managed to proceed as a peer-to-peer digital cryptocurrency. The reason is just like any other cryptocurrency: Dogecoin transactions can be transferred straight from one person to another through the internet without having to pass through an intermediary man as any bank.
Provided this, the specifications regarding the Doge’s financial policy that derived it to become more compelling to the connoisseur and less compelling to investors, attracted an authentic portfolio in long run.
From Where to Buy it?
If you are inclined to accept only little tips over the internet chat, It may not cost you much to become a millionaire, but it can get hard.
In case if you are not inclined to step up the game of your lavish DODE lifestyle, you still have hindered of reasons to purchase Doge.
Many crypto exchanges do not feature Doge except Binance and Kraken. These are the two massive entrepreneurs who do it. It is accessible in the United States with the help of the Robinhood app whose company of easy-chair consumers aided in fueling its recent cost. Although there are many ways to buy Doge, Kraken is the most reliable global exchange to purchase it.
Besides seeking the lowest fee, Kraken is repeatedly listed as one of the most reliable and secured crypto exchange industry in the world. This is a matter of fact because once you lose the secret code to your Dogecoin; it can be arduous to get your funds back, in some cases it is impossible.
Should I invest in Dogecoin?
If you think of yourself as someone who will see their investment diminished in an erratic manner or who is one of the risky betters to contemplate Reddit’s WallsStreetBets channel making suitable investment guidance, then No!
Masab Farooque is a Tech Geek, Writer, and Founder at The Panther Tech. He is also a lead game developer at 10StaticStudios.
When he is not writing, he is mostly playing video games