What is Dogecoin?
Dogecoin (DOGE), one of the most frequently heard cryptocurrencies in recent times, appeared in December 2013. Dogecoin (DOGE) and its derivatives are on the agenda due to the greater preference of cryptocurrencies for investment and trading purposes today.
It was produced by Dogecoin (DOGE) Jackson Palmer and Billy Markus, who were designed to create a fun payment system without traditional banking transaction fees. By January 2014, the currency had surpassed numerous cryptocurrencies, including Bitcoin, by total trading volume. This Dogecoin (DOGE) continued its rise, reaching a peak of $ 0.017 on January 7, 2018.
Since Dogecoin (DOGE) is not an innovation in blockchain technology, its transfers are carried out through the blockchain network established by the Litecoin Cryptocurrency. Updates to the Litecoin network also apply to the Dogecoin (DOGE) network.
When it first appeared, Dogecoin (DOGE) was given a random reward to the user for each block mining for investment purposes, while in later times this reward was converted to static.
What are the features of Dogecoin (DOGE)?
Dogecoin (DOGE), named after a famous internet character, is designed to be a more accessible and friendly cryptocurrency. In this way, it was thought that Bitcoin would be able to access users who escaped its complexity.
From the point of view of the Dogecoin (DOGE) market, this currency is known for having one of the most active and largest communities. This cryptocurrency, which is widely used especially for tipping service, is also preferred for the purpose of financing various projects. In the form of Tip Use, users tip the other user for contributions or senders that they believe should be recognized. It is stated that this is effective.
The most important feature that distinguishes Dogecoin (DOGE) from other cryptocurrencies is that it is inflationary, not deflationary. So there are no restrictions on dogecoin (DOGE) in circulation. Continuing mining will not become profitable after a while when Bitcoin and similar currencies reach the limit. For this reason, Dogecoin (DOGE) is also advantageous in terms of long-term transactions.
How is Dogecoin (DOGE) mining done?
For people who have the idea of buying Dogecoin (DOGE), usually the first step will be Dogecoin (Doge) mining. In its simplest form, this transaction is rewarded with a new Dogecoin (DOGE) as a result of confirming transactions on the Dogecoin (DOGE) blockchain. But for this confirmation, complex mathematical equations need to be solved, and for this purpose equipped computers with powerful features are preferred.
When mining Dogecoin (DOGE), there are differences in block duration, difficulty level, algorithm and reward aspects compared to other cryptocurrencies. For example, for Dogecoin (DOGE), the block time per minute is 1, which means 10 minutes for Bitcoin and 2.5 minutes for Litecoin. So Dogecoin (DOGE) mining is faster than others.
For mining, users are given two different options: solo and mining pool. In the Solo, the person does the operations on his own. In Pool logic, there is a group of users who approve transactions and aim to win prizes and increase their processing power by sharing them. If mining is carried out within the scope of the pool, you will need to pay a fee for it. In addition, some of this will remain to the person when the award is received.
When Solo mining, the waiting time is long and the risk is slightly higher. In other words, the time to wait to receive the first block reward can be weeks or months. But when a prize is won, there is no share, and all of it remains to the user. In this way, there will be no need to pay a fee. When determining the gain, the Dogecoin (DOGE) TL price, which is currently valid, will apply.
How to buy Dogecoin (DOGE)?
For those who want to invest in cryptocurrencies, the answer to how to buy and sell Dogecoin (DOGE) is often curious. For this, either mining is done or these transactions need to use a specially created cryptocurrency exchange.