What’s Dogecoin and the way do you spend money on it?

We all know the cryptocurrency at this point in time. Bitcoin started the trend in 2009 and has grown in value from just 30 cents a decade ago to over $ 40,000 at the time of this writing. This incredible growth has led other companies to follow suit and now there are quite a number of altcoins to invest in.

Check out a crypto stock site. You will see a lot to make your money. At the time of writing, tether is $ 1. Ethereum is a shadow over $ 1500. And Dogecoin is only $ 0.04. Somehow we’ve got to the point where memes have real value.

History of Dogecoin

To explain Dogecoin you need to study the history of the internet. You have to go all the way back to 2013. You’ve probably seen the doge meme – the one with the Shiba Inu surrounded by poorly written Lolcat-style dialogue. Very wow. Much doge. Anyway, at the end of 2013 Dogecoin was developed by the two software engineers Billy Markus and Jackson Palmer.

Originally conceived as a hoax, the goal was to create a more recognizable peer-to-peer currency than Bitcoin. And what better way to make something instantly identifiable than to be inspired by a flash-in-the-pan meme?

In the time since its inception, it has established itself as a typing mechanism for content creators. r / tipworthy is a subreddit based on the concept of tips in cryptocurrency. There were even petitions asking OnlyFans to tip Dogecoin.

It was developed using the protocols of two other currencies, Luckycoin and Litecoin, as they used encryption technology. Because of this, miners cannot use SHA-256 bitcoin mining machines to get at them. You will have to use FGPA and ASIC devices instead, which are much more complex to manufacture.

Make meme ories

Oddly enough (or not that weird given its origins), Dogecoin seems to have been at the center of trends in recent years. In June 2020, a TikTok trend tried to push the price up to $ 1. That’s nowhere near $ 40,000 for Bitcoin, of course, but it would bring the total to $ 127 billion. Which is a big deal.

Reddit users added more than 800% in value when the Gamestop Short Squeeze drama ran. It was also promoted by Elon Musk, Snoop Dogg, and Gene Simmons, one of the most beloved rich geniuses.

Coin Troversy

Image: Unsplash

Since you can’t have a good story without a bit of a scandal, it is worth mentioning the Moolah scam. The short version is that Moolah was a cryptocurrency that was set up to make it easier for people to buy and sell Dogecoin.

First, it dipped into the community with charitable drives, including a $ 2,500 donation to a cancer charity and (admittedly inadvertently) a $ 15,000 donation to a Dogecoin Nascar racer. Eventually, the man who ran Moolah, Alex Green, began soliciting investments.

Do you want to know how much he received? More than $ 500,000.

Do you want to know what happened to Moolah? A few months after the third and final round of investments, bankruptcy was filed.

Every penny the Dogecoin community put into Moolah was lost.

It also appears that Alex Green was a wrong name. The culprit was really Ryan Kennedy, who had done this stunt several times in the past. Oh, and he was also tried and convicted of three rapes. He sounds like an all-round classmate, I think we can all agree.

How to choose the puppy

If you are interested in Dogecoin and want to get involved in the action, here’s what you should know.

Invest

Image: Pexels

There are a few online exchanges that offer Dogecoin. Personally, I used Crypto.com which is easy to grapple with. Once registered and set up, you can add some funds and then choose which theoretical currency you want to put your real money in. You need to pay a little attention to the app every day, but there is a lot of potential to make some cash (no financial advice, mind you).

Download crypto.com for Android here and for iOS here.

Mining

a dog digs

Image: Pixabay

Aside from that, your other option is to break it down yourself. Or, in this case, dig. Because dogs dig. If you have a reasonably decent PC, you can get your own share of the pie. However, when the currency reaches its limits, it becomes harder to reach them. Which in theory should increase the value.

If you want to solo my solo (sorry I can’t bring myself to say dig) you will provide the hashing power yourself. This has the benefit of being the only person who gets the rewards. This is also the riskier option as solo mining is better for large operations. It is more likely that you will suffer a loss that way.

As the currency has become scarcer (there is a limit on each altcoin) the hash rate has grown incredibly bloated. This means the juice is likely not worth the pressure. With this approach, you are more likely to end up with the closely related Litecoin.

Many people join forces in pooled mining. It’s almost like the Power Rangers grew up, dumped the megazord, and became a team of investment bankers. With attitude. It is more likely that your investment will pay off this way, but the rewards are shared between members of the mining industry. By doing things this way, you also have a better chance of beating the bigger surgeries.

What you need for mining

Dogecoin mining

Image: Pexels

A pc. Windows, Mac OS or Linux are sufficient. If you’re just tinkering, you don’t need a lot of power under the hood, but if you’re serious you need a meaty GPU along with some ASICs (application specific integrated circuits).

When it comes to software, it depends on what you’re using for mine in the first place. Pooler’s cpuminer is ideal for CPU mining. EasyMiner is ideal for getting started with GPU mining. If you’re working with ASICs all-in, try CGMiner or MultiMiner.

For those jumping into pooling, try prohashing, or multipool. Both support Scrypt mining pools. This is what you need to get your digital paws on Dogecoin.

Is it worth investing in Dogecoin?

Dogecoin itself has never exceeded seven cents since it was founded eight years ago. There are also concerns that it is about to be dismantled. For comparison: Bitcoin will not be fully mined until 2041. This means a couple of things. First, it’s getting harder and harder to get at. Second, it was originally created using 100 billion coins, so chances are it will never be particularly successful.

On the other hand, as with any new currency, chances are that this could be the next big thing … (Please note: I am NOT a financial advisor and have no financial qualifications. Don’t blame me if you invest and end up ending up with your home, yours Partner and your firstborn child.)

Do you have any thoughts on that? Let us know in the comments below or post the discussion on Twitter or Facebook.

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