Dogecoin: Volatility is Opportunity
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Despite its humble origins as a ‘joke’ originally designed by two budding software engineers, DogeCoin has a lot of legitimacy as an investment; present and future. In fact, dogecoin might just take over as one of the first cryptocurrencies to recover as early as possible in 2023.
The reality of Dogecoin
To understand the true value of dogecoin you must first understand the concept of dogecoin as an investment. Unlike Ethereum or Bitcoin, Dogecoin doesn’t bring anything new to the market.
It doesn’t promise a new form of technology backing token production or cybersecurity. In fact, due to being originally designed in jest, Dogecoin is actually an inflationary token as it can be infinitely generated, with 132B tokens currently circulating in wallets. In many ways, this may actually make $DOGE a more sustainable currency in the distant future.
Design and Purchase
Dogecoin was designed as an offshoot of the P2P ledger Bitcoin model, making the question of ‘how to buy Dogecoin’ just as simple to answer as Bitcoin’s, albeit with some extra steps.
Dogecoin was made to be a fun, casual side project that boomed following a media frenzy thanks to the likes of supporters Elon Musk and Mark Cuban.
Tech & Community: Signs of Growth
These technical factors are some of Dogecoin’s greatest assets for growth. Whilst Bitcoin investors have to deal with high transaction rates and worries of high environmental impact, Dogecoin takes less computational power to mine and has much lower transaction fees. This even answers certain countries’ difficulties with their own currencies.
These factors are becoming more important in crypto as the world takes another look at the market. Following the FTX catastrophe, the community is looking for less impactful tokens. This could make $DOGE a more media-popular token in the future.
Community, in fact, is even more important than technical factors when looking at Dogecoin’s bounceback in 2023. Dogecoin is community-driven; followers of the token enjoy its challenge to the overly serious nature of the finance world. With no intrinsic value to the economy, the worth of Dogecoin is purely symbolic, only really worth its weight in publicity and entertainment.