What is Dogecoin (DOGE)?
What is Dogecoin (DOGE)?
Dogecoin is a decentralized, peer-to-peer, anonymous cryptocurrency with fast and instant transactions. Dogecoin was created on Dec. 6, 2013, by Billy Markus and Jackson Palmer.
Like Bitcoin, you can send and receive Dogecoin anonymously anywhere around the world. It is designed to be safe and straightforward to use.
Dogecoin was initially designed to be a joke currency created to be a sartorial take on cryptocurrencies like Bitcoin. It originally found adoption from users rewarding meme creators, and it has remained a preferred currency for leaving tips on entertaining and engaging content on sites like Reddit and Twitter.
This is important for creators of content that are not yet at the size and scale to be paid for their content directly from the platforms they post content on. For example, a content creator on Youtube may not have enough views or subscribers to be paid by Youtube, but they can now be paid directly from fans in the form of Dogecoin.
Dogecoin does not impose a fixed capped limit on the supply of coins, making it an inflationary cryptocurrency. This is different from other cryptocurrencies like Bitcoin, which has a fixed supply cap of 21 million.
Dogecoin uses Scrypt technology. Scrypt allows miners to mine new Dogecoin on everyday computers, instead of a warehouse-sized supercomputer. As a result, Dogecoin is much less energy-intensive to create compared to Bitcoin.
The decision not to have a fixed supply cap on new coins was made so that the process of mining Dogecoin could in theory always remain available, profitable and without end. Since its inception, over 120 billion Dogecoin has been created. With no cap limit, this number will continue to increase indefinitely.
The rapid rate of the increased supply of Dogecoin was significantly reduced due to a reduction in block rewards. The reward per block was lowered to 10,000 Dogecoin in Feb. 2018.
Dogecoin has a passionate and loyal community of users that have several successful and unique fundraising efforts.
The first of these fundraising events was in response to the Doge wallet hack in 2013 that saw millions of Dogecoins being stolen. The hack inadvertently gave Dogecoin a lot of publicity and even saw the altcoin trend on Twitter. None of the coins that were taken were ever recovered. However, through the Doge Save event, the community was able to raise enough funds to compensate the victims of the hack.
Another important fundraising event for Dogecoin involved the Jamaican bobsled team. With the help of the Dogecoin community, $50,000 was raised to send the underfunded Jamaican bobsled team to the 2014 Winter Olympic Games in Sochi, Russia.
Following the Dogecoin Foundation's success in the 2014 Winter Olympics fundraiser, a new fundraising event was organized in the Doge 4 Water campaign. The goal was to raise donations to build two water wells in support of a remote region in Eastern Kenya after the area had been plagued by drought caused by climate change, inadequate investment in water resources and a lack of access to clean water. The campaign was a great success raising over $30,000 in just a few days.
Another noteworthy fundraising event came in the sponsorship of race car driver Josh Wise during his NASCAR career. By raising $55,000 worth of Dogecoin, Wise raced with a Dogecoin/Reddit themed car to compete at the Talladega Superspeedway. Although Wise never had much successes with the car, it was still a memorable event for Dogecoin.
Dogecoin made headlines after announcing Elon Musk as its new CEO after an April Fool's Day poll from the community. As a decentralized network without a central authority, the position of Dogecoin CEO does not exist. In response to being named as CEO without his consent, Musk tweeted that "Dogecoin Rulz" and later stated in a tweet that Dogecoin might be his favourite cryptocurrency.
Dogecoin is based on Litecoin. This means that any future updates and upgrades on the Litecoin platform will also appear in Dogecoin.
Original Author: Billy Markus
Initial Release: December 6, 2013
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