Why was Dogecoin created? All You Need to Know

What Is Dogecoin?

Dogecoin or DOGE is an open-source, peer-to-peer cryptocurrency. It is classified as an altcoin, which made its official debut in December 2013 with a Shiba Inu dog as its logo. Although it was created as a joke, its core technology came from Litecoin. The coin employing the scrypt algorithm got wildly famous due to its cheap price and limitless supply.

How Was Dogecoin Created?

Jackson Palmer, a product manager at the Sydney, and Billy Markus, a software developer at IBM created Dogecoin as a hilarious and sarcastic take on the rising cryptocurrency craze. They developed Dogecoin with a Shiba Inu dog logo, symbolizing the popular “Doge” joke, inspired by the insanity of the crypto mania. The development process was unexpectedly quick, thanks to the use of code from “Luckycoin,” which was taken from Litecoin. 

“I made doge in like 2 hours,” Shibetoshi Nakamoto claimed in an interview. On December 6, 2013, the internet officially turned into the home of Dogecoin. Billy Markus and Jackson Palmer sought to create a satirical cryptocurrency that poked fun at the excitement surrounding Bitcoin and other cryptocurrencies.

Dogecoin was first distinguished by its scrypt algorithm and randomized block rewards, however, the latter was later altered to a fixed payment. The currency grew into an enthusiastic and vibrant community, which added to its particular character. Despite its roots as a joke, the value of Dogecoin has risen over time, and it continues to capture both crypto fans and mainstream interest.

Why was Dogecoin created?

In December 2013, Dogecoin emerged basically as a humorous and sarcastic response to the rising enthusiasm and buzz around cryptocurrencies. Jackson Palmer and Billy Markus, the developers, sought to add a pinch of comedy and fun into the occasionally serious and technical realm of digital currencies.

Here are some of the reasons to create Dogecoin: 

• Parody: Dogecoin was created as a joke to satirize the excessive speculation and excitement around cryptocurrencies. The creators wanted to emphasize the unreasonable enthusiasm in the cryptocurrency market.
• Community and Accessibility: In comparison to other cryptocurrencies, Dogecoin aimed to be more accessible and consumer-friendly. It had a minimal barrier to entrance and a solid, inviting community.
• Positive Actions: Despite its roots as a joke, Dogecoin’s community engaged in philanthropic deeds and sponsorships, emphasizing the currency’s good-natured and community-driven character.

Dogecoin vs Bitcoin - How are they different?

Dogecoin vs Bitcoin : Dogecoin dubbed the “fun” version of Bitcoin, established a space for itself with its Shiba Inu dog logo and lighthearted approach. Dogecoin has an inflationary framework, whereas Bitcoin follows a deflationary model, with a capped supply resulting in halving events every four years. The limitless supply of Dogecoin, paired with its scrypt algorithm, attracts people looking for a speedier, more flexible, and more consumer-friendly alternative to Bitcoin. 

Both cryptocurrencies have made charity donations, including Dogecoin paying the Jamaican bobsled team’s trip to the Sochi Winter Olympics, sponsoring NASCAR driver Josh Wise, and funding a well in Kenya, demonstrating Dogecoin’s community-driven mentality.