Unlike any other cryptocurrencies like Bitcoin and Ethereum, Dogecoin (DOGE) is a bit different in terms of its history. For starters, this popular coin is created as a meme for Bitcoin. It features a Shiba Inu dog from a once-popular meme. Despite its odd beginning, Dogecoin also works the same way as the other cryptocurrencies, allowing peer-to-peer transactions in a censorship-resistant manner. In 2021, Dogecoin surged abruptly and was named the fifth-largest cryptocurrency by market cap.
How Does Dogecoin Work?
Similar to other cryptocurrencies, Dogecoin runs on blockchain technology, a secure digital ledger that stores all transactions created using decentralised digital currency. All users have an identical copy of the Dogecoin blockchain ledger. To keep all transactions secure, Dogecoin’s blockchain network uses cryptography.
The History of Dogecoin
Bitcoin, one of the most popular cryptocurrencies and technological innovations, enables users to exchange digital money at low fees. However, with Bitcoin being an open-source, it has provided everyone an opportunity to duplicate it. Expectedly, almost everyone did. Clones such as Litecoin and Peercoin began to exist.
To join the trend, software engineers Billy Marcus and Jackson Palmer created a satirical cryptocurrency and named it Dogecoin. Dogecoin, pronounced as “dohj coin,” is a cryptocurrency that started as a joke in late 2013. It is a bitcoin parody that serves no actual purpose but rather generates some humor. It is named after a famous internet meme focused on bad spelling habits. Hence, the name “doge” instead of “dog.”
The Dogecoin’s Surge
On December 6, 2013, the Dogecoin network went live. That same day, the then-Bitcoin parody gained million visitors. After a few weeks, it went through a huge breakout moment. The coin’s value rose almost 300% in less than 3 days.
From a parody, the cryptocurrency had surged more than 100,000% in 2021, according to Forbes. In fact, it has reached its all-time high with a market capitalisation of $92 billion, placing it next to Bitcoin, Ethereum and Binance Coin.
With popular personalities such as American rapper Snoop Dogg, Kiss rock star Gene Simmons and billionaire Tesla and SpaceX CEO Elon Musk, continuously making an effort to talk about Dogecoin, more and more retail investors are now realising this cryptocurrency’s real value, often sending it to its record-breaking high prices.
Where to Buy Dogecoin?
Unlike Bitcoin, Dogecoin cannot be found anywhere. Coinbase and Gemini, for instance, do not offer Dogecoin purchases. Fortunately, major exchanges such as Binance offer DOGE especially in Australia, Canada, United Kingdom and Singapore. USA residents on the other hand can opt for Kraken, a US-based cryptocurrency exchange and bank.
How to Store Dogecoin?
If you are planning to join the crypto community in today’s dogecoin trend, you will need a secure place where you can store your coins. Here’s a list of the top three Dogecoin wallets you might want to consider:
Jaxx Liberty, formerly known as Jaxx Wallet, is a multi-coin wallet that is accessible on both desktops and mobile phones. This platform enables users to create and manage multiple digital assets. It supports over 80 cryptocurrencies including Dogecoin.
For people handling small amounts of DOGE, Dogechain Wallet can be a sensible option. With this online wallet, your encrypted files will be stored in the cloud. Thus, you’ll still be able to access your coins regardless if something happens on the Dogechain servers.
Official Dogecoin Wallet
Another way to store your coins is through the official Dogecoin wallet. It allows easy and safe transactions and storage. The official Dogecoin wallet comes in desktop and mobile versions for Android devices.