Dogecoin is a cryptocurrency. It seems that digital currencies are not all serious. For example, if you want to know what Dogecoin is, your question will introduce you to a world where it seems a new class of currencies is emerging. For example, this currency is known as the first “meme coin,” and who knows how many other “firsts” will emerge in this world! The FFMag website is here with you and introduces you to all the “firsts” and “seconds” up to the “last” so you don’t fall behind on cryptocurrency world information.
What is Dogecoin?
By reading this article, you will become familiar with the world’s first “meme coin” in the crypto market. This meme coin is a native blockchain network and digital currency specifically for this network, symbolized by DOGE and denoted by the currency symbol Ɖ. In the explanations of the formation of this coin, it is said that its launch started as a simple internet joke and later gained a very reputable position with the support and endorsements of famous individuals such as Elon Musk, so much so that it ranks among the top 10 cryptocurrencies in the world and is known for its advantages such as high speed and low fees.
If you want to know more precisely what Dogecoin is, we must say that this currency is among the peer-to-peer and open-source altcoins, initially introduced with the aim of confusion in the internet space. The reason was the very high prevalence of Bitcoin, which prompted the creators of this coin to create a digital currency that is not as serious as BTC, to create a joke and confusion in the internet and cryptocurrency world; something that didn’t remain at that level and gradually gained power.
Dogecoin Launch Date
This cryptocurrency emerged in 2013 by its creators to lighten up the very dry and restricted space of digital currency.
Who are the founders of Dogecoin?
The creators of this beloved currency were “Billy Markus” and “Jackson Palmer,” who initially chose a cute and funny logo for their currency, which was the use of the image of a Shiba Inu breed dog (a Japanese breed), alongside an internet meme.
In fact, before these two introduced their currency, the terms “Doge” and “image of this beautiful and funny Shiba Inu breed dog with the term “meme” or internet humor were well known and popular among users. When they wanted to write humorous or funny texts, they used this image as a symbol. So if you asked someone what Dogecoin is and they remembered it with a laugh as “meme coin” or “joking coin,” give them credit and don’t be surprised.
Now you might want to get to know the creators of Dogecoin more; so stay tuned.
Billy Markus
Billy is a software engineering graduate and before he thought of designing his meme coin, he worked at IBM. In 2013, he decided to launch a website that introduced humorous behavioral patterns; so he bought the domain Dogecoin.com and made one of his jobs a joke with digital currencies. The result was the formation of Dogecoin.
Jackson Palmer
Palmer is known for his role as senior project manager for Adobe’s cloud data growth project. His activities in the field of marketing analysis, content management, and Business Cstayst market research began in 2009, continuing with his employment at Adobe after 7 months; but in the new company, his important activities in the field of software development took shape.
After naming these two as the main actors of Dogecoin, other individuals can also be mentioned; such as Langer Hans, Ross Nicoll, and Patrick Lodder who were effective assistants and companions in expanding this digital currency and tried to introduce it as a secure payment method in various companies.
How does Dogecoin perform?
Now that you are familiar with the nature of this currency and know what Dogecoin is, it’s time to get acquainted with its performance with the help of FFMag explanations.
Read More: What is Solana (SOL)?
Consensus Algorithm
If you have read other articles on this site about the performance of digital currencies in the Litecoin domain and are familiar with them, we must say that Dogecoin falls into the same category of currencies. The technology or algorithm used in it is a consensus algorithm based on Proof of Work (PoW). Therefore, miners of this currency cannot use the mining equipment and Bitcoin production algorithm, SHA-256.
Generally, Dogecoin can be considered a fork of Luckycoin. In this category of coins, the reward system is random. The developers of this currency also decided to maintain this reward system based on its initial humorous conditions.
Dogecoin and Bitcoin
General similarities in the mining and reward receiving process between Dogecoin and Bitcoin indicate that our desired currency mining also requires processes where miners deploy their electrical power and computer systems to the network and receive rewards for verified outputs. The significant difference between these two currencies lies in the final number of mined units.
Bitcoin production is capped at a specific ceiling, namely 21 million units; however, there is no limit for Dogecoin. The only restriction defined is a certain amount of its production per year to prevent inflation.
Functioning Method
To fully understand what Dogecoin is and how it works, it’s important to note that the technology used in it is blockchain and a decentralized pattern. With each valid and confirmed transaction, a new block is formed and added to the network chain, which acts as a general ledger, and a copy of it is available to all users or nodes.
Merge Mining
At a point in time, around the middle of 2014, the price of Dogecoin faced a significant decrease to the extent that there were concerns about the network being vulnerable to attacks. To address this concern and potential future problems, its developers turned to the use of the “Merge mining” network. Currently, it operates using the processing power it receives from networks belonging to Litecoin; therefore, if you intend to collaborate with this network as a miner, you need to be familiar with Litecoin and go to it to gain access to Dogecoin mining units alongside Litecoin units.
Me, Shiba Inu, and Doge
Hearing the name Doge and its symbolic dog image reminds me of a beautiful dog of that breed that I had and unfortunately lost! Now, whenever I open cryptocurrency market websites or apps and see the name Doge, I remember it… Now tell me, with such conditions, can I make a right deal in crypto? If you were in my place, would you only work with Doge or would you completely abandon it? For now, until you help me, I’m forced to deal with various currencies and buy and sell them until the fate of mine, Shiba Inu, and Doge becomes clear!
Conclusion
For those who ask what Dogecoin is and have no information about it, the best way to explain and introduce this network and its exclusive digital currency is to talk about the time of formation, how it was launched, and the goal of launching this network. Doge is among the top 10 cryptocurrencies in the crypto market and operates based on blockchain network; therefore, its algorithm is based on PoW consensus. You can give the FFMag website address in response to anyone who asks what Dogecoin is.
Also Read: What is Polkadot (DOT)?
By David Taha