- Dogecoin went live in 2013, intending to mock Bitcoin.
- There are debates on whether Dogecoin is a memecoin or not. From every indication, Dogecoin is still a memecoin despite sporadic price increases.
Dogecoin is one of the biggest cryptocurrencies out there despite the colossal debate it faces. People always ask, is Dogecoin still a meme coin? The answer to this question is multi-faceted, which is why you need to continue reading.
What is a Meme Coin?
- It is very important to understand what is a meme coin before we start talking about Dogecoin. Meme coins are usually a type of cryptocurrency created without any utility in mind. Furthermore, these meme coins, as the name suggests, are joke cryptocurrencies. In other words, they often appear as a joke for a particular thing.
- For instance, the Dogecoin meme coin was a meme against Bitcoin using the Shiba Inu dog. The same as the Pepe token, based on the “Pepe the Frog” meme. A meme coin can be about anything. There’s even a meme coin about Elon Musk, Barack Obama, and other famous people. There’s even a meme coin made as a joke for the bald head of Coinbase CEO Brian Armstrong.
- Also, there’s a vital part that we must mention. Understanding what is a meme coin entails knowledge of its volatility. Apparently, there are four major categories of cryptocurrencies. There are Bitcoin, altcoins, stablecoins, and meme coins. Among these classes of cryptocurrencies, meme coins are the most volatile. A meme coin can be $2 in the morning and might turn to $0.0002 in the evening, and vice versa.
What is Dogecoin?
- Dogecoin is a memecoin created in 2013 as a joke against larger establishments of cryptocurrencies such as Bitcoin and Ethereum. Created by Billy Marcus and Jackson Palmer, the former claimed that he sold all his DOGE in 2015. However, there’s no verification about this.
- Dogecoin operates using a proof-of-work blockchain. In other words, it uses a similar blockchain as Bitcoin, where miners earn rewards for approving and validating transactions. In 2014 due to network security issues, Dogecoin agreed to merge its network with Litecoin (LTC).
- Apparently, unlike Bitcoin, there’s no cap on Dogecoin’s supply. In other words, an unlimited amount of Dogecoin can exist without any issues.
- Since Dogecoin went live, it has had an exciting run in the crypto industry. However, the big break of this cryptocurrency came with the involvement of the wealthiest man in the world.
- Apparently, Elon Musk’s affiliation with Dogecoin took the memecoin to new levels. One of the most prominent was after his tweets about Dogecoin. Furthermore, at one point, he declared Dogecoin to be his favorite cryptocurrency.
- There are many instances of Elon Musk’s affiliation with Dogecoin. There was a time he changed Twitter’s logo (now X) to that of Dogecoin. Furthermore, one can even buy some Tesla merchandise with Dogecoin. All these give more meaning to “What is Dogecoin?” Apparently, its original goal is to become the cryptocurrency of the people, and it is doing just that.
Uses of Dogecoin meme Coin
- Despite being a meme coin, there are many uses of Dogecoin. Even before the meme coin saw the limelight, it already had a minor use case.
- One of them is tipping for content creators. Primarily on Reddit, Dogecoin helped to reward content creators on the platform by acting as a tip. Aside from posts on Reddit, enticing and helpful comments received these tips.
- Dogecoin also acts as a payment cryptocurrency in many cases. We have seen Elon Musk’s Tesla use Dogecoin as a payment method. Perhaps the most prominent selfless act was when people used Dogecoin to raise funds for the Jamaican bobsled team.
Dogecoin’s Competition Against Top Altcoins
- Despite many regarding this cryptocurrency as a meme coin, it gives very tough competition for even the biggest altcoins. This is not a fallacy but a proven and tested face. Furthermore, many metrics already show Dogecoin beats many altcoins hand down.
- First is the market cap rankings. In the crypto industry, a market cap is the total value of a cryptocurrency. In other words, a market cap represents the worth of a cryptocurrency. Here, Dogecoin beats many top altcoins. At the time of writing, Dogecoin is in the 8th position in the rankings. To put it in a better perspective, Dogecoin is more valuable than Solana, Litecoin, Tron, Polygon, Polkadot, Avalanche, and many other altcoins.
- Furthermore, Dogecoin also makes headway in daily trading volume. At press time, this meme coin ranks 13th. Much better than many altcoins.
Is Dogecoin Still a Meme Coin?
- Some factors should be in place to answer the question,” Is Dogecoin still a meme coin.”
- The first is the function of Dogecoin. This factor is critical to determine if Dogecoin is still a meme coin. Generally, an altcoin should have a use case or real-life application before the project launch. For instance, the Cardano ecosystem helps other developers to create DeFi applications. Furthermore, Pancake Swap helps to swap cryptocurrencies.
- For Dogecoin, there is still no defined use case or application. It is said Dogecoin is a payment cryptocurrency. However, there’s no application for it yet. There are speculations Elon Musk might integrate it into the upcoming Twitter payment. But there’s no confirmation yet.
- Also, Dogecoin lacks a proper team of developers. Furthermore, there’s no proper communication between the developers and community members.
Conclusion
From every indication, there’s an answer to the question of “Is Dogecoin still a meme coin.” Despite beating many cryptocurrencies hands down in several metrics, Dogecoin still needs to implement many things to come out as an altcoin. Apparently, the meme coin doesn’t have a use case yet. It claims to have, but there’s no active propagation and integrations of such use cases.
It’s been a while. But I absolutely love this piece. Best analysis I’ve read about Dogecoin. Damn!