Alice is in touch! By now almost every novice crypto investor or anyone simply interested in cryptocurrencies has heard about Dogecoin. The main cryptocurrency of memes has gained incredible popularity since the beginning of 2021. For several weeks in a row, it broke records for mentions on social networks and on all thematic forums. Today we will talk about the DOGE effect and why so much attention is paid to this cryptocurrency.
Dogecoin was born thanks to a product manager at the Sydney, Australia office of Adobe Inc, Jackson Palmer. He wanted to make fun of the hype around cryptocurrencies and create a cryptocurrency with a meme of a Shiba Inu dog as its logo, as an alternative to Bitcoin. Some say that he just wanted to show that any idea can become a cryptocurrency.
At the same time in Portland, Billy Marcus, a software developer at IBM, wanted to create a digital currency. He was interested in the hype around the new currency and turned to Palmer with a proposal – to develop software for the already real Dogecoin.
On December 6, 2013, the network started working. Initially, the project attracted the attention of only a select Reddit community. These people would send tips to each other in Dogecoin. It is noteworthy that on the day of the coin launch, the Dogecoin site had more than a million visitors.
The first significant jump in the DOGE price was on December 19, 2013, when the price for the currency jumped by almost 300% in three days. After that, the meme cryptocurrency aroused the interest of cryptocurrency investors. The cryptocurrency increased the network’s liquidity and user confidence after being listed on the Moolah exchange in 2014.
Afterwards, DOGE focused on creating its own image and brand. The cryptocurrency has many projects under its belt, ranging from donations to the bobsled team trip to the Sochi Winter Olympic Games, eco-projects for Kenya, and even guide dog training for autistic children.
In 2017, the currency crossed a new milestone – the market value of $ 2 billion.
And in 2019, users of the new social network TikTok caused another big jump in Dogecoin, the number of adherents became many times more, and videos in support of the dog were on all social networks.
This year saw Dogecoin raise eyebrows again. The token shot up over 800% in 24 hours due to a campaign to wreck predatory hedge funds. This rally was organized by a group of Reddit users, headed by an individual known as WSBChairman. The run took flight when the strategy got the nod of approval from the world’s richest man and founder of Tesla Motors, Elon Musk.
Now we see that the comic cryptocurrency has long ceased to be a joke. It has many advantages and strong support among influential people. One of which is Tesla CEO Elon Musk,
Kiss guitarist Gene Simmons,
American rappers Snoop Dogg,
and many other celebrities.
Why is everyone so passionate about DOGE? Let’s see what advantages Dogecoin has:
1. Speed and cost. Doge boasts fast transactions and low transaction fees.
2. Unlimited offer. The coin was originally limited to 100 billion coins, but was later replaced with an unlimited supply.
3. Powerful network effect. The Dogecoin Community is known for its friendly and welcoming group. The Reddit, Twitter, and TikTok community is actively pumping DOGE. The cryptocurrency has dozens of memes, thousands of hashtag mentions, and millions of followers.
4. Charity. DOGE users use the currency for good deeds. For example, they raised over $25,000 in Dogecoin to help send the cash-strapped Jamaican bobsled team to the 2014 Olympics. They also partnered with a water charity to mobilize thousands of people to access clean water in Kenya.
5. Dogecoin can be mined alongside Litecoin by using a technique known as merged mining (or “AuxPoW”, which stands for “auxiliary proof of work”), which allows multiple cryptocurrencies to be mined at the same time.
6. Many celebrities actively promote and publicly admire the coin. The main supporter, Elon Musk, has already shown his loyalty to DOGE more than once. And over the past month, many bloggers, pop stars, and movie actors have also added to the powerful Dogecoin community. The network has its own hashtags on this topic #DogecoinToTheMoon #dogeArm.
Of course some experts also highlight the disadvantages of DOGE:
1. It is a coin of lower value, relatively less stable and mature than other coins on the market.
2. It has less security compared to other altcoins. However, since the transactions are small, the security risk shouldn’t be a big problem.
3. Mining DOGE is not profitable because the cost of electricity is more than the reward for mining. However, clever manners came up with how to mine both DOGE and Litecoin at the same time, so that the network power is maintained at a high enough level to ensure security (there are many miners)
The cryptocurrency has gained recognition on major exchanges such as Binance and Kraken. Dogeсoin is available for storage and exchange in the Lumi multi-currency wallet. I will tell you the steps to add it to your assets.
To create DOGE wallet storage:
1. Open the Lumi Wallet app
2. Find the “wallets” list
3. Click “add wallets”
4. Search DOGE
5. Click the toggle switch
1. Open the Lumi Wallet app
2. Tap the «exchange» button at the bottom of the screen
3. In the first line, select the currency you are exchanging, in the second line, look for DOGE
4. When you are sure that everything is filled out correctly, click the “EXCHANGE” button.
Time to look at the results. DOGE started from a joke and turned into one of the largest cryptocurrencies today and occupies the 10th spot on the portal coinmarketcap.com
Its followers are a real army of amazing, enthusiastic people who welcome newcomers with cordiality. The meme cryptocurrency has gained its fame not only because of its technology, but also its strong community and their belief in the success of the currency. Followers say it is the currency of the future. As they say, we will see in time!