Dogecoin (DOGE) is a cryptocurrency that runs on blockchain technology much like Bitcoin and Ethereum. While it has a lower market value than other popular cryptos, Dogecoin can be mined faster than Bitcoin because of its scrypt algorithm. Another important difference between Dogecoin and Bitcoin is that there is no lifetime cap on the number of Dogecoin that can be created.
Find out more about how Dogecoin works, what it does, and how to invest in it with our helpful guides.
What is Dogecoin?
Billy Markus and Jackson Palmer, who are software engineers, launched the open-source cryptocurrency named Dogecoin in 2013. A picture of a Shiba Inu, which is a Japanese breed of dog, is the crypto’s logo. The logo and back story behind Doge was intended as a joke of sorts, giving it the title as the original “meme coin”.
Dogecoin was based on Litecoin (LTC), using the same proof-of-work (PoW) technology for mining. Because of this, those who mine Litecoin usually choose to mine Dogecoin (in merge mining to boost profits.
Dogecoin is mostly used for tipping social media posters on Reddit and Twitter. However, some online travel agencies, web hosting companies, video game retailers, and restaurants even accept Dogecoin as a form of payment.
Overall, Dogecoin holds weight due to its lower price and volatility due to unlimited supply — and the occasional tweet from Elon Musk.