Coinbase said on Thursday that it would give away $1.2 million in dogecoin. Dogecoin’s value skyrocketed when Coinbase revealed on Tuesday that Pro users will be able to trade it.
As of Thursday, Dogecoin, which began as a joke, was the sixth most valued cryptocurrency.
Coinbase’s Doge Giveaway
On Thursday, Coinbase announced that it would give away $1.2 million in Dogecoin to encourage people to adopt its newest cryptocurrency trading option.
To be eligible for the competition, users must purchase or sell $100 in DOGE via Coinbase by June 10th, according to the business. By June 17, Coinbase aims to award one prize worth $300,000, ten prizes worth $30,000, and 6,000 prizes worth $100.
The giveaway comes after the business announced on Tuesday that Coinbase Pro customers would be able to trade dogecoin on its platform.
The news, along with a tweet from Elon Musk mentioning the meme currency, boosted the value of dogecoin by as much as 41%.
According to CoinMarketCap, Dogecoin has the sixth-largest market worth among all cryptocurrencies as of Thursday evening, following a huge spike in May that saw its market worth climb to over $85 billion.
Dogecoin began as a joke in 2013 by two programmers, but has since grown in popularity owing to Redditors and endorsements from Musk and other high-profile celebrities, prompting major crypto trading platforms such as Robinhood, eToro, and Gemini to begin allowing transactions in recent weeks.
A Timeline of DOGE’s Recent Rise
Dogecoin and other cryptocurrencies soared in April 2021, aided in part by the direct listing of cryptocurrency exchange Coinbase on April 14, despite the fact that that platform did not provide Dogecoin trading. Its price originally rose to $0.10 on April 14, before reaching a new high of $0.45 on April 16 (up 400 percent in one week), with approximately $70 billion in trading activity in the previous 24 hours.
Dogecoin’s market capitalization was approaching $50 billion at the time, making it the fifth-highest-valued cryptocurrency, with a year-to-date growth of more than 7,000 percent. Interest in Dogecoin led to an outage in electronic trading site Robinhood’s cryptocurrency system on April 15, which was triggered by “record demand,” raising fears among experts about the cryptocurrency industry becoming a speculative bubble.
The value of Dogecoin first reached the symbolic threshold of $0.50 on May 4, 2021, a more than 20,000 percent rise in a year.
Despite, or possibly because of, predictions of a boom in interest in Dogecoin as a consequence of Elon Musk’s participation on Saturday Night Live, Dogecoin plunged 34% from $0.711 at the start of the program to $0.470 45 minutes later on May 8, 2021. The next morning, Dogecoin had dropped to a swing low of $0.401, a 43.6 percent collapse and a $35 billion loss in value.
On May 9, 2021, SpaceX announced a Dogecoin-funded rideshare journey to the Moon, making it the first cryptocurrency-funded space trip. This was verified by Elon Musk on Twitter.