Dogecoin (DOGE)

Table of Contents:

• What is DogeCoin?
• Who created DogeCoin? What was this cryptocurrency for?
• How to mine DogeCoin?
• DogeCoin quotes - where to buy it?
• How much does DogeCoin cost - how to check its price?
• DogeCoin wallet - what should you know about it?

What is DogeCoin?

This cryptocurrency definitely stands out from the competition. Its characteristic feature is its hilarious character, because it was created in the form of an innocent joke. In addition, it is symbolized as a Shiba Inu dog, which often appears in memes - funny pictures circulating on the Internet.

Surprisingly, this virtual coin has gathered a very large community around it. DogeCoin has become a mascot loved by the whole world. As a side note, it is not useless, with its help users can make peer-to-peer (P2P) transfers, i.e. those where intermediaries are forgotten and transactions take place on a special blockchain between two people. On the official website of this project, we can read that it is a digital currency that allows easy money transfers over the Internet.

Who created DogeCoin? What was this cryptocurrency for?

The history of DOGE dates back to 2013. It was then that Jackson Palmer tweeted that investing in DogeCoin is almost certainly a good thing! So far, this post has been removed, however, the Internet does not forget such things. Of course, there was a lot of irony and sarcasm in this tweet, and Palmer himself was perceived as a very skeptical analyst. However, after receiving a positive response from the cryptocurrency community, he decided to buy the dogecoin.com domain.

At the same time, Billy Markus, who deals with programming at IBM, wanted to create his own cryptocurrency, but the problem was to promote it. When he came across a thread related to DOGE, he contacted the originator of this unusual idea to obtain permission to create software that will allow the DogeCoin cryptocurrency to see the light of day.

In the same year, the coin presented as Shiba Inu hit the market. Interestingly, just two weeks after its release, the price of this cryptocurrency increased by 300%.

How to mine DogeCoin?

The code of this cryptocurrency is based on Luckycoin - and it also comes from Litecoin. Initially, the reward the miners received for extracting the DogeCoin block was random. In March 2014, it was changed to a static award.

The DOGE cryptocurrency uses the Scrypt algorithm - such as in Litecoin. This is a Proof of Work (PoW) based coin. What is DogeCoin mining? Well, the miners of this cryptocurrency receive remuneration for checking transactions in the blockchain. Simply put, computers solve complicated mathematical puzzles. When one of them finds a solution, it adds a new block to the blockchain. And for this you need computing power.

It is worth noting that mining Dogecoin is much easier compared to mining the most popular cryptocurrency - Bitcoin. This is due to differences in algorithms. While BTC uses SHA-256, DOGE is script-based. As a result, mining DogeCoin is less energy-consuming, so miners can use normal computers for this process. Thus, more people can simply mine this cryptocurrency.

Although the number of DogeCoins you can get for each block mined is high, the price of this cryptocurrency is relatively low compared to Litecoin or Bitcoin. At the current rate, the reward for DOGE mining is .... USD, while for Bitcoin it is ... USD.

It is worth mentioning that DogeCoin miners can mine this cryptocurrency in two different ways: alone or together with other people in the so-called mining pool. What are the characteristics of such group kicking? Well, users combine their computing power to mine cryptocurrencies faster, and then share the profit. This is an advantageous solution because miners can get less DOGE but more often.

What does a beginner user actually need to mine DogeCoin? Well, it is a PC with the Windows or Linux operating system and access to the Internet. The cryptocurrency miner also needs a wallet to which he will assign the coins he mines. In this case, it's best to use the wallets recommended on the official DogeCoin website.

DogCoin - where to buy it?

This cryptocurrency can not only be mined, because users can buy DOGE on cryptocurrency exchanges. Due to its popularity, this coin is currently listed on many reputable platforms. For example, DogeCoin is paired with USDT on Binance or Huobi Global.

A certain list of places where DOGE is available can be found here.

How much does DogeCoin cost? How to check its price?

The DOGE cryptocurrency currently ranks 37th in the CoinmarketCap ranking. As of this writing, its market capitalization is $ 436,074,859 (as of 8/19/2020). The current price for one DogeCoin coin is $ 0.003464.

It should be remembered that cryptocurrency rates are not constant, they are subject to strong price fluctuations. Its ATH - i.e. the highest price level of DogeCoin was recorded at 0.018773 USD - it was the peak of the cryptocurrency bubble at the time. This coin achieved exactly this result on January 7, 2018.

Looking at the DogeCoin chart for several years, we can see that it has had many ups and downs in its history. There was also a big hype on DOGE in 2020, when one of the users promoted this cryptocurrency using ... TikTok. A short video encouraging to invest in DogeCoin fell into a vortex, which helped this coin rise a few steps higher in the CMC ranking. After some time, however, the DOGE price returned to its usual levels.

DogeCoin wallet - what should you know about it?

Before starting any investment, it is important to know where you can store cryptocurrencies. Well, they are assigned to special wallets - they are not really in physical form. However, their balance is added to the appropriate address.

Each cryptocurrency wallet consists of two keys: private and public. While the former is used to unblock access to virtual coins and confirm transactions, the latter is simply an address where we can accumulate cryptocurrencies, or other people can send them to us. It can be compared to a bank account - although it is not the best combination - in a moment I will explain why. First, however, I will mention that the private key may reflect a password or a PIN without which we cannot log in and gain access to funds. The public key is our account - anyone can transfer funds to it, but no one except us can take them out. The difference between a bank account and a cryptocurrency wallet, however, is that in this case, we ourselves are responsible for our funds. Only we know our own private key, if we lose it, no one will be able to help us regain access to funds. This has its pros and cons. On the one hand, we gain full control over our own money - no one else can lay a hand on it, on the other hand, we have a huge responsibility.

An important point to know is that not every cryptocurrency wallet supports the same coins. So keep this in mind when making your choice!