What is Dogecoin?

The cryptocurrency that started as a joke.

At a glance: Symbol DOGE. Launched December 2013. Created by Billy Markus and Jackson Palmer. Uses proof-of-work mining. No maximum supply. Mascot: the Shiba Inu dog from the "Doge" internet meme.

Where it came from

Dogecoin was created in late 2013 by two software engineers, Billy Markus and Jackson Palmer. It began as a light-hearted parody of the crypto boom, using the smiling Shiba Inu from the popular "Doge" meme as its logo. Its software was built from existing code related to Litecoin, and it was put together quickly. Despite the joking start, it caught on and has outlasted hundreds of more serious projects.

A friendly community

Early on, Dogecoin became known for generosity. People "tipped" small amounts to each other on social media, and the community raised money for causes. In 2014 supporters famously funded the Jamaican bobsled team's trip to the Winter Olympics. That friendly, fun image helped it build a large following.

How it works

Like Bitcoin, Dogecoin uses proof of work, so miners use computing power to confirm payments and add blocks. Its blocks arrive roughly every minute, much faster than Bitcoin's ten, which makes payments quicker to confirm. Since 2014 its mining has been "merge-mined" with Litecoin, meaning miners can secure both networks at once, which boosts its security.

Unlimited supply

Unlike Bitcoin, Dogecoin has no cap on the number of coins. A fixed number of new coins (10,000 per block) is created continuously. Because the total supply is already very large, the yearly percentage increase is small, but it never reaches zero. That makes Dogecoin's economics quite different from "digital gold" coins with a limited supply.

What is it used for?

Tipping and small payments, its original purpose.
Payments at some online and physical merchants that choose to accept it.
Speculation. Most people who hold Dogecoin do so hoping the price will rise.

Why the price jumps around

Dogecoin's price has been strongly influenced by social media and by comments from celebrities, most notably Elon Musk. Surges driven by hype can reverse just as fast. Coins that depend heavily on attention rather than a clear practical use are generally among the riskiest to hold.

Risks

Extreme volatility: prices can swing wildly in a single day, and you could lose everything you put in.
Hype and scams: beware fake giveaways and impostor accounts, which commonly target Dogecoin fans.
No supply limit: new coins keep being created.

Following Dogecoin prices on your smartphone

You don't need to sit at a computer to keep an eye on the price. This site works on phones, so you can open the rates page in your phone's browser and switch between US dollars, pounds sterling and euros.

Add it to your home screen. On an iPhone, open the site in Safari, tap the Share button and choose "Add to Home Screen". On Android, open the browser menu in Chrome and choose "Add to Home screen" (the wording varies a little by phone).
Use an exchange or wallet app. Most major exchange apps show live prices and charts, and many let you set price alerts that send a notification when a coin passes a level you choose. Look in the app's settings.
Try a price-tracking app. Several free apps in the App Store and Google Play let you build a watchlist without buying anything.

A word of caution: checking prices constantly can tempt people into rash decisions. Many people find it healthier to check once a day, or to set alerts and then leave it alone.

Want to compare options for buying? See exchanges, or learn what cryptocurrency is.