What is Dogecoin?
Dogecoin is a fun cryptocurrency that is completely anonymous, decentralized and extremely secure.
On their website they describe it as: “a fun, new and rapidly growing form of digital currency.”
The cryptocurrency was born in 2013 and was created by Jackson Palmer and Billy Markus as a joke. They were inspired by the meme of a ‘Shiba Inu’ dog that at the time became very popular on the Internet. However, despite being born from a joke, it has earned a good place in the cryptocurrency market capitalization ranking and currently occupies the 30th position. Dogecoin has managed to gain many loyal followers and its community has managed to do great things with the cryptocurrency. They managed to raise funds so that the Jamaican bobsled team could go to the Sochi Winter Olympics and to build a well in rural Kenya to provide access to clean water.
Development Team
The founders are Billy Markus and Jackson Palmer. And, while Markus trusts and remains very involved in the project, Palmer has his doubts. The community continues to support the project.
Based on Litecoin
The cryptocurrency was based on Litecoin and, therefore, the changes that were made to Litecoin on the Bitcoin platform are also in Dogecoin.
At the time Dogecoin was launched there was a risk that a 51% attack could be carried out, so its developers designed a merged mining operation with Litecoin in 2014. To strengthen its network and at the same time make the Litecoin network more secure, both cryptocurrencies can be mined together.
One of the reasons that made this cryptocurrency so popular is that transactions are validated much faster than those of Litecoin or Bitcoin.
Its Technology
Like the others, it uses blockchain technology, that is, a huge digital database, also called a ledger, which is responsible for storing transaction information.
Each of the Dogecoin transactions are stored in its blockchain, that is, in each of the nodes that form its network. For this reason, the blockchain is decentralized.
Mining
The network nodes compete to confirm the transactions that are being carried out. To do this, they enter a type of lottery in which they have to guess the code that is assigned to the newest block of transactions that is added to the blockchain. The node that manages to guess it is rewarded with 10,000 DOGE.
Every minute a new set of Dogecoin transactions is confirmed, therefore, every new minute a node receives the reward.
Token
It is a cryptocurrency derived from Bitcoin that has its own network, therefore, it did not have an initial coin offering (ICO). The coin has no total supply limit, the only limit is 5 billion coins annually. At the time of writing this post, the total number of coins in circulation is 125,652,078,627 DOGE and its market capitalization is $453,256,367 USD.
The fact that its token supply is unlimited may mean that its price never increases as much as other cryptocurrencies like Litecoin and Bitcoin, which do have a limited supply.
Buying Doge
In the following table you can see a list with the names of the cryptocurrency trading platforms that we recommend, as well as the payment methods that each one offers and the estimated deposit time.
| Exchange | Available Crypto | Instruments | Deposit Methods | Exchange Review |
|---|---|---|---|---|
Kraken | -Bitcoin -Ethereum -Cardano -Doge -450 more | -Crypto spot pairs -Crypto futures | -Crypto -VISA/Mastercard | Review |
Binance | -Bitcoin -Ethereum -Cardano -Doge -500 more | -Crypto spot pairs -Crypto futures | -Crypto -VISA/Mastercard | Review |
CEX.IO | -Bitcoin -Ethereum -Cardano -Doge -60 more | -Crypto spot pairs -Crypto futures | -Crypto -VISA/Mastercard -Skrill | Review |
Steps to follow to buy cryptocurrencies on a exchange
Choose a Cryptocurrency Exchange
Selecciona un exchange confiable que ofrezca DOGE. Opciones populares incluyen Coinbase, Gemini, Kraken, Best Wallet, entre otros.Register and Verify Your Account
Crea una cuenta en el exchange y completa el proceso de verificación (KYC), que puede incluir subir documentos y verificar tu identidad.Add a Payment Method
Vincula un método de pago válido como tarjeta de débito/crédito, transferencia bancaria, o pagos móviles como Apple Pay o Google Pay.Deposit Funds (if necessary)
Deposita dinero fiduciario (como USD, EUR, CRC, etc.) en la cuenta de tu exchange. Algunas plataformas permiten comprar directamente sin depósito previo.Find and Select DOGE
Dirígete a la sección de “Buy” o “Trade”, busca Dogecoin (DOGE) entre los activos disponibles y selecciónalo.Specify Purchase Amount
Indica cuánto DOGE deseas comprar o cuánto dinero quieres invertir. El sistema calculará automáticamente la cantidad de DOGE correspondiente.Review and Confirm the Transaction
Revisa todos los detalles (precio, comisiones, cantidad) y confirma la operación. Se ejecutará tu compra.Securely Store Your Dogecoin
Después de comprar DOGE, decide si lo mantienes en el exchange, lo transfieres a una wallet digital (hot wallet) o lo guardas en una wallet física (cold/hardware wallet) para mayor seguridad
Doge Wallet
There are 4 types of wallets compatible with Dogecoin.
- Software wallet: On the cryptocurrency’s own website we can download 2 software wallets.
- Dogecoin Core: This is a special wallet as it turns your computer into a node of its network. This wallet contains its entire blockchain and its download may be a bit long.
- MultiDoge: This wallet stores just the necessary information so you can use Dogecoin. Your computer will not become a node.
- Online wallets: Dogechain, for example, is a wallet that allows you to use the blockchain of Dogecoin without storing anything on your computer.
- Paper wallets: wallets that you can print and store as you prefer.
- Hardware wallets: they are hardware devices that are kept disconnected from the internet for greater security.
