Wow. Much coin. So crypto.
Dogecoin is a cryptocurrency that started as a joke in December 2013 by software engineers Billy Markus and Jackson Palmer, copying Litecoin, which itself is a clone of Bitcoin, and features the Shiba Inu dog in its branding. The coin gained a devoted following that attracted people who liked the idea of crypto but wanted to make fun of Bitcoin, people who liked dogs, and anyone who wanted to participate without being particularly serious about crypto.
Dogecoin does not require a lot of active management, which is a reason for its appeal, and it has become more popular as the crypto space has recovered tremendously in 2020. The coin has picked up in terms of usage, and besides being used for tips on Twitter, DOGE can now be used to buy Tesla merchandise and at some Supercharger stations.
Dogecoin is not particularly innovative, and Bitcoin and Litecoin are actively managed and frequently updated to address bugs and shortcomings, but Dogecoin does get updated occasionally, with some differences such as having a shorter block time than Litecoin's. Unlike Bitcoin's, its supply isn't limited — currently, there are 132.6 billion DOGE in existence, and more may be minted.
Dogecoin's biggest celebrity fan is Elon Musk, CEO of Tesla and SpaceX, who has voiced his admiration for Dogecoin on numerous occasions, mostly on Twitter, with his tweets often propelling the price of Dogecoin to new heights. In a Clubhouse interview in February, Musk explained why he likes Dogecoin. "Arguably the most entertaining outcome, the most ironic outcome would be that Dogecoin becomes the currency of Earth of the future," he said. Rapper Snoop Dogg is also on board, as is Kiss singer Gene Simmons.
Buying DOGE is similar to owning any other cryptocurrency: one can either keep their coins on the exchange or transfer them to their own wallet software. Most major exchanges do offer support for Dogecoin, including Gemini, Coinbase, and Binance.
In summary, while Dogecoin started as a joke, it has gained a devoted following and become more popular as the crypto space has recovered tremendously in 2020. Its appeal lies in not requiring a lot of active management, being easy to purchase, and its celebrity fans such as Elon Musk, Snoop Dogg, and Gene Simmons.