Hello income streamers! Sorry that I’ve been gone lately, I’m in the last two weeks of my school year and I’ve had tons of finals and homework. But I’m back now, and would love to tell you all about the first coin I ever loved: Dogecoin!
Dogecoin is a type of cryptocurrency that was spun off of Litecoin, a Bitcoin spin-off itself that uses the Scrypt algorithm o mine and validate transactions. This algorithm was intended to use less computing resources than SHA-256, the one Bitcoin uses, but the competition among miners has made it just as demanding. So, while mining dogecoin may no longer be feasible, there’s plenty of ways to get some!
“And why would I want some, Steve? Isn’t this coin based off a meme?” I’m glad you asked! What makes dogecoin special is the culture surrounding it. A lot of the action in our community is on Reddit at /r/dogecoin and it is probably the friendliest place on the Internet. They are incredibly beginner friendly, and most of the exchange of dogecoin actually occurs through ‘tipping’, when people give away dogecoin for a funny comment or a good article post. So if you’re looking for dogecoin to play around with and to learn about cryptocurrency, hop on over and participate in a giveaway! There’s also plenty of faucets around, but they tend to give out ridiculously low amounts.
Trading dogecoin can also be quite profitable, if done right. Dogecoin tends to be a stable coin, given its established and devoted user base, but can sometimes be vulnerable to pump-and-dumps where groups buy up a lot of dogecoin at once to pump its price higher, only to dump it at the top and let the price crash. These events are rare, and don’t hurt long term investors since the coin price ends roughly where it starts. A good long term strategy for trading is to buy the same amount every month, similar to the MoonPledge, so that you don’t get caught trying to time the market and instead ride the upward trend of dogecoin.
Another thing that makes dogecoin unique is that there is much higher inflation, making each dogecoin worth very little compared to 1 Bitcoin. This may seem bad, but actually makes owning dogecoin a lot more fun, as you get to tell your friends you’re a millionaire in dogecoin :). And that’s the best part about dogecoin: its so easy to spread the word! When people see you enjoying your cryptocurrency and using it to tip other friendly folks on the internet, buying cool shirts, or sponsoring a NASCAR driver, they get interested in the important movement of cryptocurrencies as a whole. So get on over to Reddit, a faucet, or a friendly doger and get involved!