Hi everyone! This is my first ever blog post!!! I decided that I wanted to publish a post on the dogecoin since I love dogs and this "coin" is actually kind of interesting. :)
The Dogecoin is a cryptocurrency coin that features an image of the Shiba Inu dog from the "Doge" internet meme as it's logo. It was released on December 6th, 2013. Ironically, it was initially introduced as a joke currency, but it quickly acquired many followers and fans, and it sold quite rapidly on a wide scale. It quickly developed an online community of its own and then it soon reached a capitalization of over 60 million US dollars by January of 2014! And, compared with other cryptocurrencies, the Dogecoin had a rather fast initial "Mintage Schedule." By the middle of 2015, almost one billion coins were in "circulation," and 5.256 billion coins were scheduled for the following years! By June 30th, 2015, the 100 billionth Dogecoin had been mined! The Dogecoin is referred to as an altcoin, and it has gained traction as an "internet tipping system." The way it works is social media users grant other users Dogecoin tips if those other users have provided interesting or noteworthy content, although there are very few mainstream commercial applications of this.
Dogecoin was created by a programmer from Portland, Oregon named Billy Markus. Markus hoped to create a fun type of cryptocurrency that would have a chance to reach a "broader demographic" than Bitcoin. He also wanted to distance his cryptocurrency from the controversial history of other coins. At the same time Markus was dreaming all of this up, a student at Front Range Community College urged Jackson Palmer (on Twitter, if any of you were wondering), who was a member of the Adobe Systems' marketing department in Sydney, Australia, to make Markus' idea a reality.
After receiving more than one mention on Twitter, Palmer went ahead and purchased the domain "dogecoin.com" and then he added a "splash screen," which featured the coin's logo and scattered Comic Sans text. Markus happened to see the site linked in an IRC chat room and he started efforts to create the currency for real after contacting Palmer. Markus based Dogecoin on an already existing cryptocurrency, which was called Luckycoin. Luckycoin features a randomized reward that is received for mining a block, although later this "behavior" was changed in March of 2014. And Luckycoin itself was based off of Litecoin, which uses "scrypttechnology" in its "proof-of-work algorithm." The use of "scrypt" means that all the "miners" cannot use SHA-256 (Which stands for "Secure Hash Algorithms 2," and they are used by the NSA) bitcoin mining equipment, and that the dedicated FPGA (Field Programmable Gate Array) and ASIC (Application Specific Integrated Circuit) devices to be used for mining are complicated to create. Originally, when the Dogecoin was produced, the producers had set the mining limit at 100 billion Dogecoins, but then, later, they announced that the Dofecoin network would produce an infinite amount of Dogecoins.
On December 19th of 2013, the Dogecoin jumped in value by nearly 300 percent in only 72 hours, it rose from the worth of approximately 0.00026US$ to 0.00095US$, and the volume of Dogecoins produced daily increased to billions. The reason this happened was because China had made the decision to forbid all Chinese banks from investing in the bitcoin economy, which struck quite a blow to Bitcoin and many other cryptocurrencies. Then, three days later, Dogecoin received its first major crash when it dropped by 80 percent. This was partly due to the previously mentioned problem, but it was also due to large mining pools that were seizing opportunities and exploiting the very little computing power that was at the time required to mine the Dogecoin. Then, on December 25th of 2013, the first major theft of Dogecoins occurred when millions of coins were stolen during a hack on the online cryptocurrency wallet platform called Dogewallet. The hacker managed to gain access to the platform's filesystem and modified its send/receive page to send any and all Dogecoins to a static address. The hacking spiked tweets about Dogecoin, which caused it to become the most mentioned altcoin on Twitter at the time, even though this was because of a negative event. To help the people who had lost funds on Dogewallet after the hacking, the Dogecoin community started a program called "SaveDogemas" to help donate coins to those who had been stolen from. Around one month later, enough money was donated to cover all of the coins that had been stolen. On January of 2014, for a brief time, the trading value of the Dogecoin actually surpassed that of Bitcoin and all of the other cryptocurrencies combined! However, its market capitalization remained substantially behind that of the Bitcoin. It reached a market capitalization of almost 13.5 million US dollars by January 25th, 2015. Then, in April of 2015, Jackson Palmer announced he was taking an "extended leave of absence" from the cryptocurrency community. Then, in January of 2018, the Dogecoin reached a two billion US dollar market cap.
I hope that y'all enjoyed that blog post! I am so excited to be a part of the ANA! Here's to many more blog posts! c(: