DogeCoin – The “Meme” Crypto
DogeCoin (DOGE) is a cryptocurrency based on the Doge meme that was released in December 2013. The Doge meme features a Shiba Inu dog saying things in broken English, and this meme captured the hearts, minds, and souls of internet users. DogeCoin uses the Scrypt proof-of-work (PoW) algorithm, where miners cryptographically hash transactions into blocks and add them to the blockchain in order to maintain and secure the network.
Computer processing units (CPUs), graphics processing units (GPUs), and application-specific integrated circuits (ASICs) can be used to mine Scrypt. During the early years of this crypto, the most powerful mining machines, ASICs, hadn’t been developed for the Scrypt algorithm. This made the coin ideal for people who wanted to mine cryptocurrency with their personal computers or makeshift GPU farm; even more so than Litecoin, because the network mining difficulty of this coin is lower. Moreover, miners earn whole DogeCoins (DOGE), instead of tiny fractions of Litecoin.
The coin’s subreddit became an extremely active and fun place to be; users (known as shibes) constantly tipped each other with thousands and sometimes up to millions of DOGE. Trading of DOGE for fiat became a big business on the reddit Dogemarket, and this ended up being the training ground for many people who eventually became big-time Bitcoin dealers.
There were also famous water bowls in the DogeCo1n chat room and internet relay chat (IRC), where people earned tons of DOGE just for chatting. If an active shibe would have held onto all their DOGE winnings from reddit and the chat waterbowls until the present day, they could easily have profited thousands of dollars, due to the massive increase in cryptocurrency prices during the past year.
Third Most Popular Crypto
There was a long period of time that this coin was the 3rd most popular cryptocurrency, behind only Bitcoin and Litecoin. This seems incredible for a cryptocurrency that is almost a total copy of Litecoin, but what makes the difference is the active social media and mining communities.
Notably, the coin has fallen from its dominance a bit due to cryptocurrencies like Ethereum that bring innovative new technology to the table. However, it still has an impressive market cap of $347 million which is the 42nd highest out of all cryptos. Additionally, daily trading volume is $10 million, indicating that this coin’s investment and trading continues to be quite active to the present day. It is likely a good idea to keep some DOGE in your crypto portfolio, and it also makes a great gift to give to people who are just getting started with cryptocurrency. DogeCoin is a friendly gateway to the cryptocurrency world, and could even go to the moon.
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