What is Dogecoin?Dogecoin was born from an internet meme in 2013, which serves as an alternative to more conventional cryptocurrencies like Bitcoin. It features a Shiba Inu dog, a popular meme at the time, as its mascot and logo. While initially considered a novelty or “meme coin” with limited financial value, Dogecoin has garnered a loyal following for its friendly community and its use in charitable acts and online tipping.The turning point for Dogecoin came in April 2021 when its market capitalization exceeded $50 billion. This placed Dogecoin among the top ten cryptocurrencies by market value. Despite the low value of individual coins, the total worth of Dogecoin skyrocketed due to its vast circulation.
Dogecoin’s design contrasts with Bitcoin’s scarcity-driven model. There is no upper limit to the number of Dogecoins that can be created, leading to an abundant supply. This feature is critical in understanding Dogecoin’s market dynamics; approximately 10,000 new Dogecoins are minted every minute, contributing to its extensive circulation without a supply cap. As of now, the Dogecoin network supports a circulating supply exceeding 130 billion coins.