Dogecoin, the cryptocurrency, shows the true power of memes as
Dogecoin, the cryptocurrency, shows the true power of memes as the coin which is a hard-fork of Litecoin and was introduced as a parody in 2013. The coin was based on the popular Shiba Inu dog and has the same logo.
The popularity of meme gained an internet community quite fast and had a total market valuation of around $60 million by 2014.
The coin started out with 100 billion Doge tokens in circulation and thereafter 5.256 million coins every year get added to the existing network.
This article would help you to know the creators and the community behind the network and how the dogecoin functions in the current crypto space.
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Dogecoin: A Streamlined History
Dogecoin was created by the programmer Billy Markus and was aimed at creating a cryptocurrency which being a meme phenomenon can still achieve the demographic reach of Bitcoin. Initially, the coin was used as a tipping currency, where the creators on the internet were paid in Doges for their content contribution.
On December 19, 2013, when most of the major cryptocurrencies were getting a beating in the trade market due to the announcement of the Chinese government to forbid the use of Bitcoin in any of the central banks, the Dogecoin saw its prices rise by 300% in a 72 hour period.
Three days later, the Dogecoin saw its first major crash when its prices fell by 80% in a single day. The reason being large mining pools captivating the mining process of the meme coin.
The first ever breach in security for the coin came on December 25, 2013, when millions of Dogecoin were stolen from the main digital Dogecoin wallet. The hacker got access to the file system and changed the send/receive page to a static address. The theft also ensured that the social media was abuzz and Dogecoins received the highest number of mentions on Twitter on the day of the breach.
In order to repay the users who lost their Doge asset during the breach, the Doge community started “Save Dogemas” campaign and as a result, within a month they were able to collect enough funds to repay the people who lost their Dogecoins during the breach.
In January 2014, the total trading volume of dogecoin surpassed that of Bitcoin and other cryptocurrencies combined, however, the market capitalization remained significantly lower.
In January 2018, the coin which was started out as a parody reached a total valuation of $2 billion
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The Original Creators Move Out To Make the Community Truly Decentralized
In April 2015, the original creators of the altcoin took an “extended leave of absence” and transferred over the charges to the community. This decision by the creators helped the Dogecoin become one of the truly decentralized communities where the important decision-making process was distributed among the peers.
After the handing over of power to the community, the Dogecoin reached some of the new heights like surpassing the billion dollars in valuation.
The Dogecoin also has an unlimited supply and started out with 100 billion in circulation. This might be a drawback as the unlimited supply could hamper its trade prices due to many driving factors like inflation.
However, considering the fact that, it started out as a joke, a valuation of 2 billion dollars is definitely not a joke. The popularity of the coin has already helped it to be listed on the major exchanges around the globe against some of the most used trading pairs like BTC and Ethereum.
In conclusion, we can say that the creators who started the Dogecoin as a parody and realized the potential it has reached and decided to take a set-back for the sake of the currency has done a world of good for the altcoin.
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