Dogecoin
| Dogecoin | |
|---|---|
|
| |
| Denominations | |
| Symbol | Ð |
| Code | DOGE |
| Development | |
| Original author(s) | Billy Markus Jackson Palmer |
| Initial release | December 6, 2013 |
| Development status | Active |
| Operating system | Microsoft Windows Linux iOS Android |
| Developer(s) | Billy Markus ("Shibetoshi Nakamoto") Michi Lumin |
| Source model | Free and open-source software (FOSS) |
| License | MIT License |
| Ledger | |
| Timestamping scheme | Proof-of-work |
| Hash function | Scrypt-based |
| Block reward | Ð10,000 |
| Block time | 1 minute |
| Block explorer | dogechain.info |
| Supply limit | Unlimited (approximately Ð5 billion issued per year) |
| Valuation | |
| Exchange rate | Floating (highly volatile) |
| Website | dogecoin.com |
Dogecoin (/ˈdoʊ(d)ʒkɔɪn/ DOHJ-koyn or DOHZH-koyn; DOGE, Ð) is a cryptocurrency created in 2013 by Billy Markus and Jackson Palmer as a humorous payment system intended to satirize the speculative frenzy surrounding cryptocurrencies.1 It is widely recognized as the first “meme coin” and “dog coin,” featuring Kabosu from the popular “doge” internet meme, and is sometimes regarded as a legitimate investment despite its satirical origins.2
Dogecoin was introduced on December 6, 2013, and quickly developed a large and active online community. The cryptocurrency reached a peak market capitalization of over US$85 billion on May 5, 2021.3 On August 16, 2021, English football club Watford FC featured the Dogecoin logo on its shirts as part of a sponsorship deal valued at nearly US$1 million with Stake.com.4
The official website, dogecoin.com, promotes Dogecoin as a “fun and friendly Internet currency,” emphasizing its origins as a joke. Launched on December 6, 2013, by software engineers Billy Markus and Jackson Palmer to parody Bitcoin, Dogecoin gained early popularity on online platforms such as Reddit. Within two weeks of its launch, the project established a dedicated blog and forum and achieved a market value of approximately US$8 million.5
History
Dogecoin, initially created as a joke, was co-founded by IBM engineer Billy Markus and Adobe engineer Jackson Palmer to develop a peer-to-peer digital currency with broader appeal than Bitcoin, distancing it from controversies surrounding other cryptocurrencies.
Officially launched on December 6, 2013, Dogecoin attracted more than one million visitors to dogecoin.com within its first month.6
Jackson Palmer purchased the domain Dogecoin.com and created a splash screen featuring the coin’s logo with scattered Comic Sans text. After seeing the site, Billy Markus contacted Palmer and began developing the currency, designing Dogecoin’s protocol based on the existing cryptocurrencies Luckycoin and Litecoin. 8which use scrypt technology in their proof-of-work algorithm.9 scrypt is a memory-intensive key derivation function employed by cryptocurrencies like Litecoin, designed to resist ASIC-based mining and brute-force attacks, making mining accessible to general users, whereas anther cryptography is used known as, SHA-256, which is a hashing algorithm widely used in Bitcoin for mining and ensuring data integrity, offering fast computation and strong collision resistance.10
On June 24, 2013, Dogecoin surged over 300% in 24 hours, rising from $0.00026 to $0.00095, marking the largest increase among altcoins.11 The surge in Dogecoin’s value occurred while Bitcoin and other cryptocurrencies were declining following China’s ban on bank investments in Bitcoin. Three days later, Dogecoin experienced its first major crash, falling 80% as large mining pools exploited the coin’s low computational requirements.12
On December 25, 2013, hackers stole 21 million Dogecoins, valued between $14,900 and $17,200, from Dogewallet. The meme-based cryptocurrency, popular for online tipping,
prompted Dogewallet to apologize and promise refunds to affected users. 13According to Dogewallet management, the hacker gained access to the platform and redirected all transactions to a single wallet address. 14After the Dogewallet hack, which resulted in the theft of 21 million Dogecoins, the Dogecoin community initiated “Save Dogemas” to reimburse victims. Led by Ben Doernberg, Diego Perini, and Brian Worley, the effort raised over 1.1 million Dogecoins, highlighting the cryptocurrency’s unique culture of generosity, optimism, and support for its users.15
In January 2014, Dogecoin’s trading volume temporarily exceeded that of Bitcoin and all other cryptocurrencies combined, although its market capitalization remained significantly lower than Bitcoin’s. Initially, Dogecoin employed a randomized reward for each mined block, which was changed to a static block reward in March 2014.16
Jackson Palmer officially stepped away from Dogecoin and its community in April 2015, citing the negative and toxic culture within the cryptocurrency space. In 2021, he reiterated on Twitter that he would not return, criticizing the industry as controlled by wealthy figures exploiting vulnerable individuals, a view acknowledged as valid by co-creator Billy Markus.17
On January 7, 2018, Dogecoin’s market capitalization exceeded $2 billion for the first time, coinciding with Ripple surpassing Ethereum as the second-largest cryptocurrency, creating significant wealth for its co-founders. 18On July 8, 2020, Dogecoin trading surged after a viral TikTok challenge encouraged viewers to buy the cryptocurrency, aiming to push its price to
$1 per coin. Its 24-hour trading volume rose 683% to over $878 million, and the price increased by up to 71%, prompting caution from Dogecoin’s official Twitter account.19
On December 20, 2020, Elon Musk posted a tweet about Dogecoin for the first time. Musk tweeted ‘One Word: Doge’. Shortly after, the value of Dogecoin rose by 20%.
On May 10, 2021, SpaceX announced it would accept Dogecoin as payment and launch the "DOGE-1 Mission to the Moon" in 2022. The mission, funded by Dogecoin, aims to demonstrate cryptocurrency use beyond Earth orbit and promote interplanetary commerce. Geometric Energy Corporation announced the first-ever cryptocurrency-funded commercial payload, a Dogecoin-backed 40-kilogram satellite to be launched on Falcon 9, aiming to collect lunar data and demonstrate cryptocurrency use beyond Earth orbit.
On August 16, 2021, the Dogecoin Foundation announced its re-establishment, aiming to support the Dogecoin ecosystem, community, and blockchain development. The Foundation focuses on accelerating Dogecoin Core development, onboarding new contributors, protecting the Dogecoin brand, and promoting global adoption. It also emphasizes collaboration, social impact, and securing sponsorships to fund a full-time development team. The Foundation was revitalized with the inclusion of prominent advisors on its Board, including Ethereum co-founder Vitalik Buterin and Jared Birchall, enhancing its strategic guidance and credibility.