Is it a full-fledged cryptocurrency?
Or maybe an internet joke?
What is certain is that this altcoin is getting attention.
What was the origin of Dogecoin and will it ever equal Bitcoin's valuation?
What is dogecoin?
To fully outline what dogecoin really is, we have to go back to December 2013, when the Internet was loud with the scandal related to SilkRoad - the criminal equivalent of eBay or Allegro in which you could buy weapons, fake documents or drugs. In connection with the arrests made by FBI agents in this case, the media probably for the first time really got interested in Bitcoin - the settlement currency of SilkRoad. BTC began to be perceived as an instrument of criminals, which clearly spoiled the opinion of this cryptocurrency. Jackson Palmer and Billy Markus decided to remedy this.
They have created an extremely positive cryptocurrency based on the Bitcoin protocol. The whole concept of the new token was inspired by the doge meme popular at that time, i.e. the Shiba Inu dog. It is the image of this dog that the creators of Dogecoin placed in the cryptocurrency logo.
Dogecoin, with its appearance and the idea behind it, won the hearts of members of the crypto-community and started the fashion for creating more and more crazy altcoins. In the early stages of its existence, Dogecoin was so popular that its value increased sixfold in just three days. However, the mere idea of popularizing Dogecoin was not enough to keep the price at these levels, and the initial craze surrounding the cryptocurrency has subsided.
Despite the fact that Dogecoin's supply is not limited by anything (so it is an inflationary cryptocurrency as opposed to a deflationary Bitcoin), the community of this coin remains noticeable on the Internet. Most Dogecoin users don't see it as an investment (one DOGE costs a fraction of a penny) but rather as an instrument of good and positive fun.
The great advantage of Dogecoin is its extremely intuitive software. Even inexperienced users with no experience with virtual coins can set up an account and start mining currency in just a few minutes!
"Favorite currency of Elon Musk "
Musk tweeted several entries about dogecoin, ranging from containing only its name to indicating that it is "the people's cryptocurrency." The head of Tesla also published a photo montage from the movie "The Lion King", in which he raises dogecoin up.
The market reaction was a rapid increase in the dogecoin rate. Currently, it is more expensive by 67.7 percent. up to $ 0.053741. Previously, the cryptocurrency rate even reached USD 0.059.
"Anything Musk tweets about is immediately skyrocketing because it has such a strong impact on followers in both social media and business," said Markets.com chief analyst Neil Wilson. "People are literally investing in him and his ideas and don't care what the fundamental sense is," he added.
