What is Dogecoin?

What is the cryptocurrency Dogecoin DOGE

The History of Dogecoin

Dogecoin first started off as a meme on forums such as Reddit or 4chan. It has quickly gained much popularity through these forums. People would post pictures of their dog (most of the times of the Japanese breed ‘Shiba Inu’) with funny captions written in the Word font Comic sans. The meme rose in popularity in the year 2013 and fora became filled with Doge memes.

Seizing Opportunity

It is in the same year (2013) when programmer Billy Markus saw an opportunity in the rising trend. He partnered up with developer Jackson Palmer to create Dogecoin, an actual cryptocurrency based on the above mentioned Doge meme. In 2013, Jackson Palmer, a member of the Adobe Systems marketing department, bought the domain dogecoin.com.

The First Tweet

The website started after a Twitter post in which Jackson Palmer stated as a joke that he was going to invest in Dogecoin. His friends, however, loved the idea and suggested that he actually makes Dogecoin a real thing. One night when Jackson Palmer had too much time on his hands, he started working on the first version of his platform

First Look

At first, dogecoin.com only showed a flash page with an image of the Dogecoin logo and a few paragraphs written in Comic Sans. It seemed like a joke that people didn’t take seriously because it was based on an internet meme. However, after years of work Dogecoin.com has developed a fully functional website and even generated a cult status.

The Creator

The coin itself was created by programmer Billy Markus, who is a software developer at IBM. Before the website dogecoin.com was made live, Billy Markus was working on his own project called ‘Bells’. The idea for this project came from a video game ‘Animal Crossing’ where Bells is used as the main currency currency .

Release

After a few weeks, Billy Markus noticed the newly created website and decided to change the logo of the coin to the logo that was used on the website. He also changed the name to Dogecoin. He then contacted Jackson Palmer and together they finished the project. Once they were sure that Dogecoin worked properly, they released the coin.

The Official Release

The official release of Dogecoin took place on December 6, 2013. Two weeks after the release, Dogecoin jumped nearly 300 percent in a period of three days. However, three days later, Dogecoin experienced its first crash of 80%. This crash was due to China’s decision to forbid Chinese banks from investing into cryptocurrency. Another reason was the fact that large mining pools were seizing opportunity in exploiting the very little computing power required at the time to mine Dogecoin.

Specifications of Dogecoin

Ticker Symbol DOGE
Founder(s) Billy Markus
Date of Release 6 December 2013
Consensus mechanism Proof of Work
Hashing Algorithm Scrypt
Maximum supply Infinite
Average Block Time 1 Minute
Mining / Staking reward 10000 DOGE / block
Average blocksize 8.4 Kb
Next Block Halving n/a
Smart Contracts No

The Price of Dogecoin

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Unique Aspects of Dogecoin

Both Billy Markus and Jackson Palmer started working on Dogecoin as a fun side project. During the initial stages, they never thought that Dogecoin would become so popular. In 2013, lots of different altcoins were released on the market. Altcoins are cryptocurrency coins that are similar to Bitcoin and Dogecoin was meant to be one of them. It’s worth mentioning that Dogecoin is included in many charity projects including different charities in Africa and South America.

Rise To Fame

Little did the founders know that the internet would love the coin and the Shiba Inu dog (Kabosu) they used as a mascot. Because of the meme they used, Dogecoin quickly became one of the most popular cryptocurrencies. After the coin rose in popularity so quickly, Billy and Jackson noted that lots of different people who were usually not into cryptocurrency became interested.

Drawing Attention

Different forums were created specifically for Dogecoin and its community. Thus, this community quickly became one of the biggest cryptocurrencies communities out there. The forums were a perfect place for beginners to collect information on how to buy, sell, and trade cryptocurrencies. They also used forums to help each other learn and adapt to the cryptocurrency. Because of this popularity, the founders behind Dogecoin are still working on the project to this day.

Why Use Dogecoin?

Dogecoin is mostly used for tipping people on the internet for funny, smart or useful comments. A Dogetipbot was created for the forum Reddit to simplify the process of tipping other people on Reddit. The Dogecoin community is also known as the ‘nice’ community, due to all the tipping and charities that were started with Dogecoin. A few charities which were encouraged by the Dogecoin community include the following:

  1. Raising money so the Jamaican bobsled team would be able to compete in the 2014 winter Olympics.
  2. 40.000.000 Dogecoin (at the time $30.000,-) was raised to build a well in the Tana river basin in Kenya.
  3. In 2014 the community raised enough Dogecoins to sponsor NASCAR driver Josh Wise. After the fund raising Josh drove a Dogecoin/Reddit-sponsored paint scheme car as a thanks to all the support he received.

Dogecoin is listed on multiple exchanges and, due to its low costs, it is often used to send value from one wallet to another.

Resources of Dogecoin