13 May 2022

Dogecoin And The Role Of Elon Musk In Dogecoin

Dogecoin (Code: DOGE) is:
- The Cryptocurrency trades on some of the leading cryptocurrency exchanges and investment platforms
- A trusted payment system that can be a legitimate investment prospect
- Fun and friendly Internet currency
- A peer-to-peer digital currency that can reach a wider demographic than Bitcoin


The Dogecoin is created by the IBM Software Engineer – Billy Markus and the Adobe Software Engineer – Jackson Palmer. It was introduced on December 6, 2013. The symbol of Dogecoin is the Shiba Inu Dog Face. The Dogecoin is located at https://dogecoin.com/.

Dogecoin is based on the Scrypt Algorithm, and the transaction processing is more convenient than the Bitcoin (BTC). The Dogecoin only takes 1 minute to confirm, while the BTC takes 10 minutes. The Dogecoin Protocol is designed based on the existing Luckycoin and Litecoin cryptocurrencies which use Scrypt Technology in their Proof-of-Work Algorithm. The use of scrypt means that miners cannot use the SHA-256 bitcoin mining equipment, and must instead use special FPGA and ASIC mining tools which are known to be more complex to manufacture.

Supply limit: About five billion Dogecoins will go into circulation every year.

The Dogecoin can grow because:
- It uses proper Online Communities (Reddit and Twitter) to introduce its product and use it as a bonus in trading
- It has its own foundation and online community: the Dogecoin Foundation and the Dogecoin Community
- It has created a special blog and forum
- It owns a market that chooses to own it

Some of the developments that have been made by the Dogecoin:
- It already owns the Copper and Silver Tokens that represent the Dogecoin and they are sold with the private keys (minted in 2014 by Shibe Mint)
- In March 2021, the Dallas Mavericks owner – Mark Cuban announced that his NBA Team allowed the purchase of tickets and products using the Dogecoin
- It become the first Cryptocurrency Funder on a Space Mission by funding the Rideshare Mission to the Moon conducted by SpaceX (announced May 9, 2021)
- On August 14, 2021, the Dogecoin Foundation announced the re-establishment of the Dogecoin Foundation with a renewed focus on supporting the Ecosystem, the Dogecoin Community, and promoting the future of the Dogecoin Blockchain. The Foundation was revived with the addition of the Advisory Board (Vitalik Buterin – Founder and Co-Founder of Ethereum and Jared Birchall – representing Elon Musk).
- Through the Dogecoin Community and Foundation, it conducts fundraising for charities and other important causes: On January 19, 2014, a fundraiser was conducted to help teams who were eligible but could not afford to go to the Sochi Winter Olympic
- The Dogecoin Foundation, led by Eric Nakagawa, started collecting donations to build a well in the Tana River Basin in Kenya in collaboration with Charity: Water
- The market value of the Dogecoin has reached more than $8 million
- It has become one of the largest electronic currencies in the world
- It continues to run even though some countries prohibit investment in the Bitcoin Economy
- Its trading volume can exceed the Bitcoin and all other combined cryptocurrencies

A few things to watch out for:
- The Dogecoin can be stolen: On December 25, 2013, the Dogecoin's first major theft occurred when millions of coins were stolen during the hack of the online cryptocurrency wallet platform Dogewallet. The hacker gained access to the platform's file system and modified its send/receive page to send any and all coins to a static address. To help those who lost funds in Dogewallet after their breach, the Dogecoin Community started an initiative called "SaveDogemas" to help to donate coins. About a month later, enough money was donated to cover all the stolen coins.
- The Cryptocurrencies have had a long and problematic history of fraud

Recent developments on Dogecoin:
The Ren Project has allowed the Dogecoin to be used on the Ethereum Blockchain and access the DeFi Network. The DeFi (Decentralized Finance) is a form of finance that does not rely on intermediaries such as brokers, exchanges, or banks to offer financial instruments, but uses Online Blockchain Technology.


The Role of Elon Musk In Dogecoin

Elon Musk's role in the Dogecoin seems simple and light but it must be a concern because the price of the Dogecoin is always changing and experiencing movement every time the Dogecoin is mentioned by Elon Musk on his Twitter account. Yes, Elon Musk is the most important power for Dogecoin.

By using his Social Media Platform on Twitter, apart from discussing his companies (Tesla, SpaceX, The Boring Company, Neuralink, OpenAI, Musk Foundation, and others), Elon Musk often discusses his views on the Dogecoin too.

Some of Elon Musk's tweets about the Dogecoin that have caught the attention are:
- Elon Musk's first tweet about Dogecoin on December 20, 2020, was: 'One Word: Doge'. Shortly after, the value of Dogecoin increased by 20%.
- Another Elon Musk’s tweet about the Dogecoin was made in early February 2021 with the captions 'Dogecoin is the people's crypto' and 'no highs, no lows, only Doge'. After this tweet was stated, the value of Dogecoin went up by around 40%.
- On April 15, 2021, the price of the Dogecoin increased more than 100% after Elon Musk tweeted the image of 'Doge Barking at the Moon'
- The Dogecoin price increased 11% on May 20, 2021, after Elon Musk tweeted a meme related to Doge
- In May 2021, the price of the Dogecoin increased 10% within hours after Elon Musk tweeted the Reddit link for users to submit proposals to raise the cryptocurrency
- On December 14, 2021, Dogecoin jumped more than 20% after Elon Musk said that Tesla would accept the currency as the payment for Tesla merchandise.

Dear Dogecoin, I will see you on the Moon!



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