If you are an active crypto investor, you’ve probably heard about Dogecoin and its increasing capitalization.
A mere meme-coin has hit the market by storm and has continued to take on other popular cryptocurrencies.
Right now, Dogecoin is about the third largest crypto by capitalization.
But the question on the mind of most crypto investors is, will Dogecoin continue to be valuable? Or is it just another pump and dump cryptocurrency?
Well, I strongly believe that Dogecoin’s Value will continue to rise owing to a few reasons.
Dogecoin has an unlimited supply. This means that the coin is not prone to hoarding, and value will always be created.
Unlike what most people think, having an unlimited supply doesn’t affect the value of a crypto.
Even though the value may not be as high as Bitcoin, there are opportunities for utilizing Dogecoin as a means of exchange, which would further grow it’s value.
Mined Through Scrypt
Dogecoin is mostly mined through scrypt, which makes it one of the easiest crypto to mine.
It takes just less than 1 minute to mine Dogecoin on scrypt. This means less resources and less carbon emission for the environment.
This makes Dogecoin one of the most environmentally safe crypto, which has set up the crypto for widespread adoption by environment-conscious crypto investors.
Mining Merged With Litecoin
Dogecoin mining has been merged with that of Litecoin. This makes it even cheaper to mine, and further requires less resources.
That is why it is considered a more environmentally safe coin.
With its mining merged with Litecoin, you could mine both Dogecoin and Litecoin in record time, making its mining further less than the average 1-minute period.
More Business Adoption
Dogecoin may have started as a joke of a memecoin, but many businesses today are beginning to take it seriously.
Its widespread adoption means that more people are holding Dogecoin and are able to exchange it for value.
This presents a very interesting business case.
Now, businesses around the world, especially tech companies are considering using Dogecoin as a means of payment for their products and services.
With over $68 billion in market capitalization and over $17 billion in total trade volume, Dogecoin can no longer be taken as a joke.
Hence, companies such as Tesla are considering accepting Dogecoin as a means of payment.
It would be interesting to see if Dogecoin goes mainstream as a means of payment for businesses. Its impact would definitely be massive both for its investors and businesses adopting it.
Cheaper Than Bitcoin
You may not have thought that being cheaper could be an attractive investment proposition, but this is true in the crypto world.
Many new crypto investors are looking to buy cheap and sell higher. So, it’s logical that they start investing with a cheap cryptocurrency.
Dogecoin presents that opportunity: A cheap crypto with massive adoption and massive potential to grow in value.
For beginner crypto investors, making a huge capital outlay just to buy a few Satoshis of Bitcoin is considered more risky than using that same money to buy Dogecoin.
Remember that when you buy small, you can only lose small. And when you buy big, you can only lose big.
Even though most investors recognize that investing in Dogecoin could be a gamble, the belief is that the gamble is worth it at its current price.