Dogecoin is a cryptocurrency invented by software engineers Billy Markus and Jackson Palmer, who decided to create a payment system that is instant, fun, and free from traditional banking fees. Dogecoin features the face of the Shiba Inu dog from the “Doge” meme as its logo and namesake.
As is the case with any crypto, the volatility alone means that investors must trade Dogecoin with care.
As previously mentioned, the other issue that Dogecoin holders face is the endless supply.
This means that any intrinsic value could be diluted as the crypto market gets flooded with more Dogecoin.
As Bitcoin and Litecoin gain market interest, their finite supply remains an allure that Dogecoin is unable to compete with. This leaves holders facing downward pressure as the broader market makes ground.
On the tech side, there have been no material changes to the Dogecoin blockchain in recent years. This means that Dogecoin could also become dated and fall behind its peers.
There have been reports of Dogecoin Shibes leaving the Dogecoin community in favor of more current platforms.
As things stand, the Dogecoin community has been key to delivering price support. The community has, in the past, raised funds to return monies to those who have been hacked.
Once the community begins to weaken, Dogecoin may lose ground without any blockchain enhancements.