Bitcoin Parody Suddenly Worth More Than $1 Billion. The Dogecoin was developed as a parody cryptocurrency. But now it has become serious business as the currency has a market cap of $1 billion.
The coin has moved past the $1 billion mark and has quickly risen in value. The coin reached that total on Christmas Day and has only gone up in value since. As of January 6, the coin has a market value of $1.75 billion.
This comes even as the coin itself has a small value. One coin is only 1.55 cents in value. There are more than 112 billion of these coins circulating with the production rate being rather quick.
The coin’s value increased by four times in the past month. This came amid the ongoing worries surrounding the bitcoin and its ongoing stability issues. The ongoing concern that the bitcoin might be too valuable and therefore out of reach for most investors has led others to invest in other currencies. The Dogecoin is just one of many being considered, thus resulting in a dramatic rise in its value.
What is also amazing is that the Dogecoin has had a consistent platform over the years. It has been more than two years since the coin had its last software update.
About the Coin
The Dogecoin was originally made as a currency that is separate from others and would potentially reach a larger demographic than what the bitcoin can handle. It is based off of the Luckycoin currency, which in itself is based off of the Litecoin. The setup uses scrypt technology for proof of work functions, thus keeping traditional mining equipment from being used to produce new coins.
A major part of the currency came from how it makes light of some of the more formal and professional aspects of cryptocurrency. These include a website promoting the currency that looks very casual. The coin symbol itself is even a parody of more serious tones as it features an image of a Shiba Inu dog that was used in the “Doge” online meme.
The Dogecoin was introduced in late 2013 with a rapid mining schedule. It had around 100 billion coins mined in 2015 with about five billion more being introduced every year since.
The coin has been used primarily as a social media tipping application. People can give others coins through social media if those users have produced unique and appealing content.
A Surprising Turn
The fact that the Dogecoin has become so valuable is striking, especially as it was designed to be a more lighthearted approach to a currency that many people have long taken seriously. But as the bitcoin continues to struggle, people are looking into other alternatives for their cryptocurrency investments. The low value of the Dogecoin and its intriguing background has made it a popular option for many to look into.
Today the Dogecoin has become popular enough to where a crowdfunding campaign successfully led to a gold coin that represents the currency being launched into space with the intention of reaching the Moon. The coin is expected to reach the Moon’s surface in 2019.