Dogecoin, The Meme Coin That Took Over The World

Dogecoin, The Meme Coin That Took Over The World

Pejman Zwin

Content

Introduction

Introduction

Cryptocurrency is starting to play a crucial role in the global economy.

The whole modern blockchain and cryptocurrency as an asset class started with Bitcoin in 2009.

Since then, many cryptocurrencies have hit the market to become the de-facto internet money, with big plans, massive roadmaps, and enough seriousness.

Most of them are dead now.

Cryptocurrency that is just a joke

What about a cryptocurrency that is just a joke?

It now holds a market cap of over 20 billion dollars sitting at the 10th floor of the cryptocurrency ranking. Yeah, your guess was correct; It is Dogecoin.

A crypto joke that took over the world.

There are a lot of cryptocurrencies out in the world trying to make a difference and eat a slice of the crypto cake.

A very few of them succeed.

They have plans, roadmaps, teams, and infrastructure, But soon enough, many cryptocurrencies come and go.

Dogecoin stays.

Want to know how it happened?

A meme coin became big with an increasing community and wealthy supporters.

You will find all you need to know about Dogecoin and what it can be in the future.

Scroll down to read the whole story.

Dogecoin, meme coin, dog coin

It’s a fork of Bitcoin with slight changes.

It was built to mock cryptocurrencies.

So it’s a cryptocurrency trying to mock them.

How funny!

They call it a meme coin because there is the face of a Shiba Inu dog on its symbol.

Shiba Inu dog is an old internet meme based on a video of a Shiba Inu dog that was so funny and became viral back then.

Dogecoin uses the face of that Shiba Inu as a logo.

So Dogecoin is a meme coin because it’s based on an internet meme, and it’s a dog coin because of the fun and friendly Shiba Inu dog for all the dog lovers out there.

The critical thing about Dogecoin is that it’s a real blockchain despite being a meme coin.

It contains a simple cryptography algorithm called Scrypt.

It has a block reward of 10,000 Dogecoins and nearly 132 billion circulating tokens.

It’s a decentralized peer-to-peer token that you can send and receive worldwide, and it can quickly send through the internet without any third party.

A massive, heartful community is what empowers Dogecoin with diverse types of people, from ordinary people to the world’s richest man, Elon Musk.

The thing about Dogecoin that cheers me up is that it’s a coin for people.

They do a lot of charity work; they provide clean water for the poor, sponsor different athletes and players, tip each other for tweets with Dogecoin, and more.

You only need to check out their Reddit community and join the 2 million Doge lovers, a community population even more than Ethereum (1 million).

It started as a joke but then became popular as it helped people make micro-transactions and use it as a lightweight blockchain and cryptocurrency.

You can mine any amount of Doge as you wish, and it is not limited to a fixed supply.

That makes Dogecoin keep a meager transaction fee, thus making it fast and lightweight.

Dogecoin is a blockchain and a cryptocurrency, but it doesn’t hold any intrinsic value for any sake.

It’s just a fun and friendly coin with a robust community.

However, Dogecoin supporters have caused the currency to gather developers and ideas to make Dogecoin a utility cryptocurrency with actual-world usage.

Still, no roadmap or plans have been published yet.

Further reading

What is Dogecoin’s backstory?

What is Dogecoin’s backstory?

In December 2013, Bitcoin reached $1000 for the first time, made the world fascinated, and attracted extreme attention worldwide.

After Bitcoin surpassed $1000, a computer programmer, Billy Markus, built a cryptocurrency as a joke to mock Bitcoin and other cryptocurrencies.

He had no intention of growing the Doge ecosystem or whatsoever.

Create a meme coin

Meanwhile, Jackson Palmer, a product manager and data scientist working at Adobe, visited the Dogecoin website and decided to join Billy to make the first-ever meme coin by the end of 2013.

Billy Markus named himself “Shibetoshi Nakamoto” for fun.

It’s a combination of Satoshi Nakamoto (Bitcoin’s creator) and the Shiba Inu dog.

He wanted to mock the Bitcoin community and create a meme coin and a friendly peer-to-peer payment system for fun, with no intention of becoming a real cryptocurrency.

A month after launching the Dogecoin website, it hit 1 million visitors and raised a lot of fans.

They called it “friendly money” and attained a lot of investments later that month.

Meanwhile, China banned Bitcoin for mining and investing, and Dogecoin hit 450% growth in a single day.

In 2015, Jackson Palmer left Dogecoin and the crypto space for personal reasons.

The real growth happened when many celebrities started supporting Dogecoin and tweeting about it.

One of these celebrities is Elon Musk. He is the richest man and a space industry pioneer.

He started tweeting about Dogecoin in early 2021 and declared interest in Dogecoin, causing the price to reach 800% within a few days of tweeting.

Many other celebrities started tweeting about Dogecoin and Elon Musk, including Snoop Dogg and Gene Simmons.

A few months later, Mark Cuban announced that his NBA team, Dallas Maverick, would start merchandise sales with Dogecoin, which reached over 20 thousand purchases.

In early 2022, Coinbase listed Dogecoin due to its massive community and demand for the popular Dogecoin.

Many other platforms started listing Dogecoin, including Robinhood, a stock market trading platform that has added a cryptocurrency section lately for trading and investing them.

Community enrichment, celebrities’ support, and many exchanges listing it led to Dogecoin surging 20,000% growth within a year, hitting a market cap of $20 billion, which is traded with a 1 billion dollar daily volume.

It’s good to mention that Elon musk has recently suggested Twitter start allowing purchases and transactions with Dogecoin for Twitter Blue and more.

Elon Musk recently attempted to buy Twitter, so what was once a suggestion could now change in the near future.

Further reading

What is the technology behind Dogecoin?

What is the technology behind Dogecoin?

Billy and Jackson have used Luckycoin’s stack of code to develop Dogecoin, a fork of Litecoin, and Litecoin is also a fork of Bitcoin.

It uses a type of timestamping and cryptography called Scrypt.

Luckycoin's code

They used Luckycoin’s code because it has a dynamic block reward, and it’s not determined how many coins a miner would get by solving a block.

Dogecoin is dependent on the Litecoin network if you want to mine Dogecoin.

You need to provide a Litecoin miner, mostly ASIC (Application Specific Integrated Circuits), and start mining DOGE with Litecoin miners and network.

Billy Markus used a dynamic block reward to ensure that Dogecoin Stays a meme and not an actual coin.

It could make miners not rely on the network with its unlimited supply.

However, Dogecoin changed the block reward to a fixed amount of 10,000 DOGE.

It’s funny that they started as a meme coin.

Still, they have been trying to turn the project into a utility cryptocurrency because it has gained a strong community and influential supporters.

Vitalik Buterin, Ethereum’s founder, has joined Dogecoin’s counselors and Elon Musk to turn Dogecoin into a utility token and a working blockchain due to its lightweight design and decentralization.

Therefore, Dogecoin is a proof-of-work blockchain with a Scrypt-based hash algorithm written in C++.

It contains 10,000 DOGE rewards for every block with one minute block time, much faster than Bitcoin, which is 10 minutes.

Although Dogecoin has an unlimited supply, it has a deterministic inflation rate.

It’s an inflationary token, but only a fixed amount of 5 billion coins will add to the supply every year, making it a reliable option for payment as it gains more demand.

Dogecoin has a supply of 132 billion as of now.

Further reading

How does Dogecoin work?

How does Dogecoin work?

The Dogecoin network is pretty much like Bitcoin and Litecoin.

They all use a proof of work consensus mechanism and some hash algorithm for timestamping data and cryptographic addresses.

So if you have read about Bitcoin and Litecoin, you’ll find it easy to know how Dogecoin works as a proof of work cryptocurrency.

  1. A wallet address with public and private keys asks to send a specific amount of DOGE to the network.
  2. The request is sent to all active miners in the network, and they start examining the request as if it’s a true or a false claim.
  3. 51% of the nodes (miners) should accept the request to make the transaction happen in the network. They should validate the transaction so that changes are done in the network, and the sender sends the amount of DOGE they want.
  4. 19,800 transactions will be put into a block (a data unit in a blockchain). Then miners will try to solve the block and find its hash code (mathematical computation). The winner takes 10,000 DOGE as a reward. Miners will validate all transactions, and changes will be done in the network.
  5. Validators (miners) accept the validation of the block after examining it and add the block to the chain of blocks containing a hash code for itself and one for the previous block.
  6. Changes in a block will change the whole chain of blocks as they are chained together with two hash codes, one for themself and the previous block. 51% of the nodes should accept the change and create a new block with hash codes to change the blockchain.
  7. After validating the transaction and accepting the sender’s request, DOGE coins are sent to the receiver’s wallet through a public address.

Where can I buy Dogecoin?

You can buy Dogecoin everywhere that offers cryptocurrency exchanges or even on stock trading exchanges like Robinhood or eToro.

There are many pairs of DOGE with other cryptocurrencies and fiats such as DOGE/USDT, DOGE/BTC, DOGE/ETH, DOGE/EUR, and many more pairs on different exchanges.

Here we will share a list of famous Dogecoin markets with their trading volume (June 2022):

  • Binance

Dogecoin Trading volume: $129 million

  • Coinbase

Dogecoin Trading volume: $19 million

  • FTX

Dogecoin Trading volume: $24 million

  • Huobi Global

Dogecoin Trading volume: $7.5 million

  • Kucoin

Dogecoin Trading volume: $9.5 million

  • Gate.io

Dogecoin Trading volume: $35.5 million

  • ByBit

Dogecoin Trading volume: $13million

  • Bitthumb

Dogecoin Trading volume: $6.5 million

You can buy Dogecoin in decentralized exchanges like Uniswap (Ethereum network) and Pancakeswap (Binance Smart Chain) in addition to 1inch dex as well.

Further reading

How to buy Dogecoin?

How to buy Dogecoin?

There are many ways to buy Dogecoin.

Now I will describe the easiest ways to do it.

The first way is to use a crypto exchange like Binance. Here are the steps:

  • The first step is to sign up for the Binance app
  • Then, you need to deposit money using your credit card
  • Exchange your cash for USDT or BUSD
  • Find the DOGE/USDT or DOGE/BUSD pair or any other pair that you want using the search bar
  • Using the trading window, you can buy or sell DOGE.

The second way is to use a decentralized exchange such as Pancakeswap.

If you don’t have an exchange account and are not interested in creating one, using a decentralized exchange is your choice.

All you have to do to buy Dogecoin using this method is:

  • First, you need to create a digital wallet using Trust Wallet app.
  • The second step is to deposit money into your wallet and buy USDT, BNB, or any crypto you assume is best.
  • After that, open the pancakeswap website and click on the swap option.
  • Now, you should connect your wallet by clicking on the “Connect Wallet” option. There is a Trust Wallet option, and it will show you a QR code. Scan it with your Trust Wallet app, and after the process is complete, you should see your wallet address in the top right corner.
  • In the swap section, you can see that you have two options to select. Select the crypto that you have in your wallet first. For the second part, you should search Dogecoin’s smart contract address. Then click on import. Caution: Be careful that anyone can create cryptocurrencies, and there are plenty of similar tokens like Dogecoin. Make sure you search the contract address, which is unique and safe.
  • Enter the amount of money you want to spend and click on swap. After a few seconds, the Dogecoin will be added to your wallet, and you are good to go!

What are some wallets to hold Dogecoin?

Wallets to hold Dogecoin

Almost all the Binance Smart Chain (BSC) wallets and Ethereum wallets support Dogecoin with native tokens and the DOGE network itself.

Some of the software wallets you can hold your Dogecoins are:

  • Multidoge (Dogecoin’s native wallet; light wallet; on PC)
  • Dogecoin Core (Dogecoin’s main wallet; full wallet; on PC)
  • Dogecoin Wallet (Dogecoin mobile android wallet)
  • Trust Wallet (Mobile multi-chain wallet owned by Binance)
  • Metamask (Mobile Ethereum wallet)
  • Atomic Wallet (Mobile multi-chain wallet)

You can also use hardware wallets to hold your Dogecoin, the most secure way to keep your coins. Some of the known hardware wallets are:

  • Ledger Nano X
  • Ledger Nano S
  • Trezor Model One
  • Trezor Model T-Next generation
  • SafePal S1
Further reading

How to mine Dogecoin?

How to mine Dogecoin?

As I mentioned before, Dogecoin is a fork of Litecoin, and Litecoin is also a fork of Bitcoin.

To mine Dogecoin, you need a Litecoin miner ASIC or a powerful graphic card (GPU).

Start mining Dogecoin

If you want to start mining your Dogecoin, here are the steps to begin your mining:

  • First, you need to buy a mining hardware. Remember that you can only mine Dogecoin using Litecoin miners. So far, The best Litecoin mining hardware in the market is Bitmain Antminer L7. Buying a powerful miner is undoubtedly a good investment because you can earn more while using it, and it will not be outdated soon. After purchasing the device, remember to install all of the necessary drivers.
  • For the next step, you should join a mining pool. By joining a mining pool, you are sharing your ASIC or GPU power with other miners worldwide. What’s the use? Your chances of winning and receiving the reward will increase, but you will share the reward with the other miners.
  • The third step is to connect your device to the mining pool. After choosing your mining pool, on the pool website, you can find out more info on how to connect your device to the pool.
  • The next step is to create a Dogecoin wallet so that you can receive your mining reward. Your wallet address is also known as your payout address.
  • Finally, after you have done all these steps, you should be good to go. Your hash rate and rewards are displayed in your mining pool website panel. Enjoy earning!

What are the price predictions for Dogecoin?

Dogecoin is 90% down from its all-time high ($0.73) and is now traded at $0.08. There are two main resistance zones and a heavy support zone where there is a congestion of buy orders and a lot of demand.

Support zone: $0.07

Resistance zone 1: $0.17

Resistance zone 2: $0.31

Timeframe Dogecoin

Dogecoin is in a downtrend structure in which sell orders are more significant than buy orders.

As you see in the analysis board, $DOGE is being traded at $0.08 in its heavy support zone.

In a support zone, there is always a rise in demand volume.

At the moment $DOGE price should react to this dynamic support line.

If it breaks the critical resistance line and 100 MA line, and 200 MA line, the downtrend is over.

If an uptrend structure shapes in the chart, there are two resistance zones that the price needs a high demand volume to break.

Another scenario is that the price stays in a downtrend and falls below the heavy support; if that happens, lower price levels are expected.

There are more things to consider.

$DOGE has reached its 100-day moving average, where a dead cross has happened.

It means that 100 MA has crossed down the 200 MA, which is a sign for Dogecoin being bearish (down rally) for a couple of weeks.

But still, there are promising signs too.

Dogecoin has passed four waves of the Elliot waves, and the 5th wave is meant to be bullish.

It implies that Dogecoin will start another big uptrend rally toward its all-time high.

If breaking the resistance cluster, it can move toward the next resistance at $0.31 and hopefully break that.

But if it fails, landing again at $0.07 is the most probable scenario that can take place.

If it reaches the support zone ($0.07), it’s an up-and-coming area for Dogecoin to bag some tokens and hold.

Given any scenarios, all analysis trials are just possible things to happen but are still not 100% true.

Nothing in the market is inevitable, especially in the cryptocurrency market.

Any closing thoughts about Dogecoin?

Dogecoin has survived many ups and downs until now by being a funny meme coin with one of the most significant communities in the crypto space.

They are pushing themself up with the aid of famous supporters and a circle of counselors, like Elon Musk and Vitalik Buterin.

Community is what brings Dogecoin a lot of demand and as a way of payments and microtransactions.

Dogecoin has also planned to land on the moon with the help of Elon Musk’s space-faring company, SpaceX, in the first quarter of 2022.

It can make the DOGE price go to the moon too.

Besides the massive community efforts and help of famous and rich supporters, Dogecoin has announced that they will publish a roadmap for the future to make the project a utility cryptocurrency and put it into actual use.

They have plans for the moon landing, expand their marketing strategies, and become a payment option on the internet, such as payments and tips on Twitter.

What makes Dogecoin survive is its influential supporters.

Elon Musk doesn’t seem to be stepping down on it, and he is promoting it every day with his Tweets and suggestions.

Dogecoin is likely to reach the $0.07 support zone because of the whole market’s bearish structure.

Bitcoin dropped under $35,000 once again, forming a bearish setup.

But the support behind it and a few plans to become more useful will make Dogecoin rise again and hit new ATH if the market rallies up.

Further reading
Frequently Asked Questions about Dogecoin (FAQ)

Frequently Asked Questions about Dogecoin (FAQ)

How to buy Dogecoin?

You can buy Dogecoin in most exchanges, whether centralized or decentralized. Create an account in your preferred exchange, deposit money, and search for DOGE. Click on DOGE/USDT or DOGE/BTC and start trading using the trading panel. You can find the complete guide in this article.

Where to buy Dogecoin?

Dogecoin is currently one of the most traded coins in the world. Therefore it is available on most of the exchanges. But if you are not sure which one is better and safer, consider using high-volume exchanges or decentralized exchanges like Pancakeswap.

What is Dogecoin?

Dogecoin is the first meme coin. It was created as a joke, but after a while, everything changed, and many influencers and celebrities started to support this meme coin. Now it is in the top 10 list of cryptocurrencies. If you are curious about it, read this article.

How to mine Dogecoin?

Dogecoin is a fork of Litecoin; because of this, in order to mine Dogecoin, you need a Litecoin miner device; while setting up the device, make sure to install the necessary drivers. After that, you need to join a mining pool. It would be best if you also created a Dogecoin wallet to receive your reward. In this article, you can find our complete guide to mine Dogecoin.

How much is Dogecoin worth?

Dogecoin is currently tradeable at approximately $0.08, with a market cap of $10,750,000,000. Also, you can have access to Dogecoin’s live price on CoinMarketCap.

How to pronounce Dogecoin?

Dogecoin is based on the doggo meme, so the reasonable pronunciation should be /Dog-coin/, but it’s not! The popular pronunciation for this word is /Dohj-coin/.

Who owns Dogecoin?

Billy Markus first created Dogecoin, and after a while, Jackson Palmer joined him to shape this cryptocurrency. Recently Jackson Palmer left the team due to personal matters.

Thanks for reading!

Further reading