What Is Dogecoin (DOGE)?

Dogecoin was created by software engineers Billy Markus and Jackson Palmer as a joke satirizing speculation in the crypto world. Derived from a Litecoin-based codebase, the project uses the Scrypt mining algorithm and has a block time of about 1 minute. Because merged mining with Litecoin has been possible since 2014, miners can secure both chains with the same computing power.

Dogecoin has no supply cap; a fixed 10,000 DOGE is produced in every block. Because the annual new supply stays constant in amount, the percentage inflation rate falls over time. Thanks to its low transaction fees, it has stood out for uses such as sending tips and small payments, and has built a strong community culture.

Dogecoin is regarded as the first example of the memecoin category. Its price is highly sensitive to community interest and social media; sharp price moves have been seen after posts by well-known figures such as Elon Musk. This leaves the asset open to high volatility.