What Is Dogecoin and Why Should We Care?

The rise of Bitcoin led to a lot of people making, losing, and spending money. As of today, one Bitcoin sits at around nearly $34,000. Obviously, this had led to an enormous surge in the cryptocurrency market, but none have been as successful as BTC. However, recently, a new challenger has approached the throne and is catapulting off Reddit traders, memes, and maybe a little help from Elon Musk. 

Back in 2013, a meme called “Doge” broke the internet. Typically surrounding a picture of a Shiba Inu dog with comic sans font, it became a staple of internet culture, one which is still prominent today. 

As BTC rose, Dogecoin was created. Yes, it’s based on the meme. Like BTC, Dogecoin supporters take as much seriousness in the investing as they do the comedic enterprise that comes with it. With a system so vast and complex as currency, many think that it would be funny to put a meme in control. 

Hence, Elon Musk recently voiced his support for Dogecoin, noting, “Dogecoin was made as a joke to make fun of cryptocurrencies. But fate loves irony. The most entertaining outcome and the most ironic outcome would be that dogecoin becomes the currency of Earth in the future,” also confirming, “Occasionally I make jokes about dogecoin but they are really just meant to be jokes.”

Today, one Dogecoin sits at around 3.4 cents, a modest (but respectable) price. Although almost everyone is betting against the currency, some look to it as the second coming of BTC, an opportunity that made (and lost) millions of dollars for investors. 

Overall, the most exciting part about Dogecoin is the fact that it holds no inherent value whatsoever. People invest in the currency simply because they’re interested in it and think that other people will be as well. Whereas historical precedence or materials like gold back other currencies, Dogecoin doesn’t hold any of that. 

I personally don’t think that anything called “Dogecoin” will ever come close to the price of BTC, but that’s not to say that you shouldn’t invest in it. Even if the price spikes from 3 cents to 6, you’ll find yourself doubling your money. The one worry (that applies to all cryptos in general) is that they only have value until people stop caring about them. After that, they’re just a blip on a screen.