A pet among the cryptos. Dogecoin, a steady cryptocurrency with no meaningful advantage over other cryptocurrencies, but with the most passionate community of fans.
What Is a Dogecoin
The same as Bitcoin, Dogecoin is a decentralized cryptocurrency working in a peer-to-peer network. It is actually one of the oldest cryptos that endured the test of time, mostly due to the support of its passionate community. It was initially designed as a digital currency for higher trading volume and instant transactions. One of its specificities is the fact that there is no hard cap on the number of Dogecoins that can be produced. Dogecoin is functioning on blockchain, but it uses a different algorithm than Bitcoin does.
Its current position as 26th by market capitalization among cryptocurrencies, says that it may not be the leading crypto, but it has proved its ability to keep steady in stormy weather.
The mascot of Dogecoin is a Japanese dog bread called Shiba Inu, symbolizing friendship. This could be the fact that the designer had in mind – that this cryptocurrency will become one of your best friends. Shiba Inu is the small, but very fast dog from Japan, which is said to adapt well to difficult terrains. At the beginning, he was used for hunting. It likes to be cleaned like no other dog breed. Sometimes aggressive, it is recommended not to let them close to children. Perhaps the most interesting characteristic of Shiba Inu is the scream this dog can produce. It is very high pitched and loud, and it is usually produced if the dog is being handled in a wrong way. Similarly, when Shiba Inu is happy, it will let you know.
How to Use Dogecoin
The same as with Bitcoin, the first thing that you need to do is get yourself an e-wallet. Different Dogecoin wallets come with different features. Whichever you choose, your assets would be more secure than keeping them on a platform. Software wallets are free, while hardware wallets require some investment. However, great number of users decide on a software wallet, because its free, and because so far, we have all been accustomed to keeping our private keys, i.e. passwords in physical form, rather than online. This brings us to another matter: once you get yourself a Dogecoin wallet, you will need to set up the Dogecoin address. For detailed instructions on getting the wallet and initial set up of address, you can watch the video below.
The next thing to do is finding an exchange that trades with Dogecoin. Most of the Dogecoin fans use Kraken, Changelly, Poloniex, YoBit. Remember to always check out the reviews of cryptocurrency exchanges before signing up and buying, as some of the terms & conditions may change rapidly.
Buying Dogecoin itself can be tricky because you cannot buy it directly with a credit card, or a debit card for that matter. Nevertheless, you can buy another cryptocurrency using this payment method (on Coinbase or Coinmama), and trade it for Dogecoin.
A very important step in dealing with cryptos is to withdraw the coins you have bought, from the exchange into your wallet. By doing this, you are taking control over your assets.
Editor’s Note: Check out how cryptos and blockchain are changing the world.