Dogecoin, a digital coin initially created as a prank, has risen over 800 percent over the past 24 hours as it became known as GameStop’s cryptocurrency counterpart. Centered on the famous “doge” meme at the time featuring a Shiba Inu dog, Dogecoin was founded in 2013.
In the last few days, Doge’s revival was attributable to enthusiasm from a Reddit community named SatoshiStreetBets.
Dogecoin’s price stood at about 12.01 p.m. at $0.070755. According to Coingecko, it up over 800 percent from 24 hours ago.
A New Wall Street Bet
Although in recent years it has taken a backseat to bigger cryptocurrencies such as bitcoin and ether, its revival from a Reddit community named SatoshiStreetBets in the last few days has been down to excitement.
Satoshi is the name of the enigmatic creator who founded bitcoin, or a community of people.
A few Redditors suggested that DOGE should be taken to $1 a coin. The crypto-currency has never reached $1. It was trading about $0.000232 in 2013 when it started.
In the past, Elon Musk, the Tesla founder who previously tweeted about stocks before and sending them rising, tweeted about DOGE and suggested it was his “fav cryptocurrency” in April 2019.
To generate pain for hedge funds who are shorting or betting against the company, the Reddit community WallStreetBets seems to be driving the narrative of purchasing GameStop shares. A so-called short squeeze is generated by acquiring GameStop shares, pressuring funds to cover their losses. This would drive the stock higher.
In order to purchase them back at a cheaper price in the future so that they can pocket the profits, short sellers borrow shares to sell them.
But there’s no such shorting dynamic at stake for DOGE from hedge funds. Instead, a community of individuals seem to be only attempting to drive the blockchain higher in order to earn profits.
What exactly is Dogecoin?
Dogecoin is an Internet meme based on the famous cryptocurrency “Doge” and has a Shiba Inu logo on it. Dogecoin is basically a Litecoin clone. Introduced as a’ prank currency’ on 6 December 2013, Dogecoin quickly developed its own online community and achieved a capitalization of US$60 million in January 2014.
Compared to other cryptocurrencies, Dogecoin has a high initial coin growth schedule: 100 billion coins were in circulation by mid-2015 and another 5,256 billion coins per year afterwards. It had mined the 100 billionth Dogecoin as of 30 June 2015.
Dogecoin was created by Billy Markus from Portland, Oregon, and Jackson Palmer from Sydney, Australia. All were targeted at building a fun cryptocurrency that will appeal beyond the current Bitcoin group.
Dogecoin is primarily used as a tipping scheme on Reddit and Twitter, where people advise each other to build or share constructive content. The group has placed together several prominent activities while planning fundraising events for worthwhile causes.
Dogecoin has achieved interest in internet events, primarily regarded as a meme, such as a tipping system in which members in the social network advise others to have appropriate or prominent content.
In return for DOGE, online platforms like Reddit and Twitter, where members also communicate currency-related information, trade in real, tangible artifacts takes place.
More recently, DOGE has garnered the interest of billionaire Elon Musk along with being the subject of Tiktok memes.
