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Dogecoin – A Joke Currency?
Dogecoin is a cryptocurrency that was introduced as a “joke currency” on the 6th December 2013. The cryptocurrency grew fast and even created an online community all by itself. It got to a capitalization of US$60 million early 2014, and by December 2017, it already had an in its books, a capitalization of US$1 billion. Compared to other cryptocurrencies, it had a fast coin production schedule when it started. 100 billion coins were already in circulation by mid-2015, with an additional 5.256 billion coins every year afterward. As of the 30th of June 2015, it had mined 100 billion Dogecoins.
While there are few mainstream commercial applications, Dogecoin has been seen mainly as an Internet tipping system, in which social media users grant its tips to other users for providing interesting or noteworthy content. Thanks to crowdfunding efforts, a gold coin representing the cryptocurrency is scheduled to reach the Moon’s surface in 2019.
History of Dogecoin
Dogecoin was created by Billy Markus who just happens to be a programmer from Portland, Oregon. His goal for the cryptocurrency was simple. He just wanted to be able to reach more people than Bitcoin. He also wanted to distance it from the controversial history of other coins, especially bitcoins. At the same time, Jackson Palmer, a member of Adobe Systems’ marketing department in Sydney, was encouraged on Twitter by a student at Front Range Community College to make the idea a reality.
The founder completely based it on the existing cryptocurrency, Luckycoin, which features a randomized reward that is received for mining a block, although this behavior was later changed to a static block reward in March 2014.” Finally, Dogecoin officially came about on the 6th of December 2013. While it was originally intended to produce 100 billion Dogecoins, it was later announced that the network would produce infinite Dogecoins.
Trading Volume of Dogecoin
Over the period of its initial creation, there were a few security breaches, and these things contributed its growth. It got so bad that it created a lot of buzz on social media, especially Twitter. However, this was soon taken care of. To help the individuals who lost funds on Dogewallet after the painful breach, the Dogecoin community started an initiative with the goal of helping to donate funds to those who had lost them. Just a month later, money was donated to cover all of the coins that were lost. As of the first month of 2014, Dogecoin’s trading volume was more than that of bitcoin and all other crypto-currencies. By the 25 January 2015, it had a market capitalization of USD 13.5 million. “Jackson Palmer announced that he was taking an “extended leave of absence” from the cryptocurrency community in April 2015.”
Dogecoin reached a $1 billion market cap In January 2018.
Uses and Exchanges of Dogecoin
Several online exchanges offer DOGE/BTC and DOGE/LTC trading. Three exchanges, Mengmengbi, Bter, and BTC38, offer DOGE/CNY trading. On January 8, 2014, AltQuick.co was the first exchange to launch DOGE/USD exchange. On January 30, 2014, Canada-based exchange Vault of Satoshi also announced DOGE/USD and DOGE/CAD trading. On February 2014, Hong Kong-based exchange, Asia Nexgen announced that they would support the trading of Dogecoins in all major currencies. China-based exchange BTC38 also added their support on the Dogecoin exchange, boosting the market capitalization within 24 hours. Dogecoin somehow happened to be the second most traded currency within that short period, following only Bitcoin. On September 2014, UK-based exchange Yacuna began offering DOGE/EUR and DOGE/GBP trading.
On January 31, 2014, trading volume across the major exchanges was valued at USD 1.05 million. The market cap was USD$60 million. The three exchanges that accounted for the majority of the volume were Bter (60%), Cryptsy (23%), and Vircurex (10%). Online communities such as Reddit and Twitter were also used for trading tangible items in exchange for DOGE. As a result of this, users share currency-related information. On December 23, 2013, Tristan Winters of the online journal Bitcoin Magazine discussed what was needed for Dogecoin to replace bitcoin.
The first Dogecoin ATM was showcased at Coinfest in Vancouver in February 2014. Two bitcoin ATMs are supporting Dogecoins and other altcoins opened in Tijuana, Mexico on March 17, 2014.The use of Dogecoin has also been attempted in real estate transactions and has been used in the pornography and poker industries. Weather forecasting mobile app, web application, and website Doge Weather‘s creators also request tips on maintaining their website. Other things you need to know about Dogecoin is that:
Can you Mine Dogecoin? Dogecoin Mining Volume?
- There are over 500 people now mining it: While it still seems that amongst all these, Dogecoins are still not that popular, there are actual people constantly mining it. In a popular mining pool belonging to Dogecoin, a whole lot of users put their computational resources together to create the Doge coins. To this end, there are over five hundred people on it according to recent statistics. This is such a big deal that the founders and creators of the pool had to try to seek new servers.
Dogecoin and Luckycoin
- Dogecoin has a relationship with Luckycoin:
On a subreddit, we recently discovered that Dogecoin is based on Luckycoin. A user complained that while he was trying to encrypt his dogecoin wallet, he received a warning that he could lose all of his “Luckycoin.” While they haven’t hidden the relationship they have with Lucycoin, it still seems a little distracting. What this means is that both cryptocurrencies use Scrypt and in other terms and by certain popular opinions, Dogecoin probably sampled the Luckycoin wallet.
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