Investing in Meme Coin [A Practical Guide]
Jackson Palmer, an Adobe product manager, started the whole thing as a joke in 2013. He began promoting his fictitious currency, “dogecoin,” to mock the cryptocurrency craze” on Twitter. It was a sarcastic parody of a famous dog meme at the time, depicting a Shiba Inu. A Shiba Inu, a favourite Japanese dog breed, is featured in one of the most popular comics sans memes. Despite his scepticism, Jackson’s Dogecoin tweets gained traction on Twitter. “One night after work, I had too much time on my hands, and I bought ‘dogecoin.com,’ then I Photoshopped the logo onto the coin and put it up there,” he explained after receiving positive feedback.
The Reddit society rapidly adopted it, letting users talk and vote on information posted by other users on the social network. Bill Markus, a computer expert, was intrigued to request permission to develop the program and make Dogecoin a fully functional cryptocurrency. Markus was granted permission. The infrastructure was set up in less than a month, and the service went live in December of the same year. It’s an altcoin with a Shiba Inu dog logo, which is almost ironic.
Dogecoin Becomes More Prominent
Dogecoin’s value increased by 300 per cent in the first two weeks after its launch, thanks to a combination of viral press and the timing of China’s Bitcoin trading ban. Nonetheless, it had some practical applications. Because of meme culture, Reddit began allowing users to tip each other with Dogecoin, and mobile video games began accepting small in-app payments. Dogecoin’s trading volume surpassed that of any other cryptocurrency, including bitcoin, in 2014. Several trading platforms support it. And the best ones for Dogecoin are Kraken, Coinbase, Voyager, Gemini, Binance US, and Etoro US. With hundreds of options, traders find it challenging to choose one, so others seek advice from professionals.
Making an informed choice is crucial in this industry and that’s why crypto medias like Dart Europe make evaluations of various trading brokers. Their Bitcoin Era review for instance, explains the fundamentals of this trading platform, its legitimacy and accessibility to beginners. More brands will appear if you search for the best crypto trading platform for Dogecoin on Google. Forbes, for example, adds Robinhood to the list. Despite its popularity, keep in mind that not all trading platforms support Dogecoin; thus, double-check the exchange to see if Dogecoin is purchasable. Dogecoin’s popularity has increased steadily since then, and it was the most popular cryptocurrency in the world in 2018. Dogecoin’s popularity has skyrocketed since Robinhood began allowing free purchases and sales. Since Tesla CEO Elon Musk started tweeting about it, there has been a surge in interest in Dogecoin. “Even though it started as a silliness joke, Dogecoin is better suited for transactions,” Musk said, further popularising the cryptocurrency. Elon Musk predicts that the price will skyrocket. The company has grown to a market capitalisation of around $10 billion and trades at the cost of between five and eight cents per share since its inception less than nine years ago.
Is It Great Value for Money? Is It a Valuable Idea?
Despite its popularity, Dogecoin was never intended to have any intrinsic value. Because it is based on the open-source project “Litecoin,” there is no limit to the number of coins that can be created within the system, unlike bitcoin, which has a supply limit of 21 million. On the other hand, Dogecoin has a supply of over 130 billion coins. Enthusiasts predict that the number will grow by five billion coins per year, enticing consumers to actively use and spend cryptocurrency. In the long run, the value of a dogecoin may fall as more of them enter circulation, increasing the inflation rate when there are more coins to mine. If the number of coins in circulation remains constant year after year, it could become a reasonably stable currency with only minor inflation in a few hundred years.
In Conclusion
Two ordinary people decided to create Dogecoin to create something cheerful and amusing. People who wanted to be a part of the joke accepted Dogecoin right away, which was not intimidating at first because it was not meant to be taken seriously. Prices continued to rise as more people bought in, demonstrating that they were getting a good deal. It is not a traditional investment but rather a satirical take on an otherwise serious subject. Dogecoin is one of the first cryptocurrencies people consider when looking for a cryptocurrency they can trust. For one thing, if it becomes widely adopted due to its popularity, its price may rise even further. On the other hand, if the currency’s value is solely determined by the amount of attention that fluctuates wildly on the internet, its value may fall and rise.
