Perhaps no other crypto asset has a bigger following than Dogecoin. It's a fascinating story, especially when you take into account the coin was created as a joke currency. How did this joke crypto and its mascot become so popular? People love this coin, and the Doge community has presented itself collectively as extremely influential. Doge currently ranks 20th in terms of market cap and 10th in terms of revenue.
There is no cap or limit on the Dogecoin supply, making it an inflationary digital asset. That is just one aspect of Doge that sets it apart from its peers. Deflationary crypto is the name of the game, but you're going to see that Dogecoin is a game changer all the way around. Now, let's talk memes.
Memes spread like wildfire in the digital sphere, just as quickly as breaking news and viral videos. Doge may have been created as a joke, but its mascot, the Shiba Inu dog, became a popularized meme. Suddenly, people were wanting this coin for reasons that weren't addressed by other crypto projects. They simply liked the coin and its mascot, and a community was founded.
"Dogecoin is a decentralized, peer-to-peer digital currency that enables you to easily send money online. Think of it as the Internet currency." (Source: Dogecoin Website)
According to the official Dogecoin website, this crypto asset is thought of as the Internet currency. It has made its way onto many exchanges, has been used as a coin for tipping and has been accepted as payment for goods and services by some companies. Its followers would like to see the price per coin at a more palatable level. Yet Doge, while only valued at $0.0027 per coin, has held strong at those levels for quite some time, even spiking on occasions. I mention that because Doge has a track record, while many other coins spike and then plummet much further, becoming practically worthless.
At one point, all things considered, I figured that Doge could become the new digital dollar. It was just a thought, based on the idea that it is so widely popular to hold and use. Stablecoins are essentially digital dollars, so that's not how Dogecoin is going to make its stand. Will Doge even make a stand?
Something interesting to point out is that its popularity based on a meme didn't rise and fall like a fad. It stuck, and the community of people that believe in this coin is stronger than ever. If that holds, it gives Doge more time to find its niche in the crypto economy. If you think about it, that's really the story for every digital asset. Even the ones that are designed specifically for certain purposes haven't taken the bull by the horns just yet.
The crypto market overall is highly speculative, and very fascinating. And perhaps no other coin has a story as fascinating as Dogecoin. Its creator, Jackson Palmer, jumped ship and left the coin to be managed by other developers. Palmer is still very active in the crypto space, however, and has voiced his opinion about the market and his distaste for recent developments. He feels that there are many people out there just looking to get rich quickly off of trading coins.
While crypto is meant to be used for specific purposes, that part of the economy is still being developed. To Palmer, I would say that every type of commodity is traded for profit out there, and the fact that crypto has ushered in such a powerful wave of opportunist investors is a good thing, not a bad thing. I do see his point, but all pieces of the puzzle must be in place for crypto to be of everyday use. Right now, the pieces he wants in place just aren't there, yet.
As the crypto world and investors get more serious, is Doge going to fade in popularity? Its community has held for nearly 6 years now. At one point, in January of 2018, the market cap for Dogecoin was over $1B. That was when each Doge was worth nearly 2 cents. It's a story that many investors dismiss as a coin without a foundation, but I would argue that perhaps it has the best foundation of all, its online community.
At this point in time, we don't really know what to expect with crypto and how it will be used in the future. We are watching the story unfold in front of us and making assumptions, predictions, staying on top of recent developments, etc. Therefore, it is impossible to state all the reasons why any coin holds a particular value. That's why Doge simply being one of the most popular coins certainly has my attention.
Do you have Doge fever? Allow me to point out first of all that it is quite easy to get your hands on this coin for free. There is a Doge Spin app and Doge Faucets set up to get you started. You could accumulate thousands of Doge for free and simply hold them to see how the rest of the story unfolds. If you would rather buy them, it would only cost you about $27 to purchase over 10,000 coins.
Binance announced a Dogecoin listing in July of this year. Exodus just announced the addition of Doge to its mobile and desktop wallets. Many people in the Dogecoin community are looking to events like a possible listing on Coinbase. That would be a nice short-term catalyst, but what's the bigger picture? One thing I enjoy about the crypto economy is its newness. It's fun to learn about crypto assets and the market. We are in uncharted territory, and we all get to make our predictions.
Personally, I have picked Doge as one of the crypto assets I want to hold. I have taken notice of its popularity, and it is one of my favorite coins, all things considered. What are your thoughts on Dogecoin? Do you see it sticking around and being widely used by the general public? It might seem difficult to get serious about a coin that was created as a joke. It must have practical applications to be useful, but at this point in the crypto sphere, perhaps the best thing Doge has going for it is that people simply like the coin and are willing to use it regularly.