A first-generation meme cryptocurrency, Dogecoin was first created as a joke to merely poke fun at the rapidly growing number of alternate coins or altcoins in the market. It was later transformed to be used for secure transfer of value around the world at affordable transaction costs. Similar to Litecoin and Bitcoin, Dogecoin is currently used to make peer-to-peer transactions in a censorship-resistant manner.
Though Dogecoin doesn’t solve any unique problem, what led to the cryptocurrency’s phenomenal growth was the hype generated by its supporters. Dogecoin witnessed its largest ever price growth when Elon Musk tweeted in its support. Post the positive words, Dogecoin price grew by folds its creators never imagined. But these are things till the past year.
As the new calendar year has started, investors are worried if Dogecoin is still worth the value it commanded over the past years or if its value has faded with time. Well, after talking to experts, it seems Dogecoin is not yet out of the game. If you’re planning to invest in Dogecoin in 2022, don’t do it before reading the below-shared information.
Dogecoin is Expected to Get an Upgrade
In December 2021, the Dogecoin Foundation published a trail map highlighting what upgrades investors can get to see in the coming years. A trail map is similar to a roadmap, with the only difference of being less rigid. The upgrades were announced keeping in mind Dogecoin’s consensus-based and community-driven approach. Of all the major upgrades lined up, redesigning Dogecoin’s website is top on the list. A crucial part of the redesigning is the inclusion of Dogecoin FAQs named Dogepedia.
Gigwallet is another upgrade the creators of Dogecoin are working on. This change readily aims to make it easier for retailers and exchanges to integrate Dogecoin with zero hassles. The Gigwallet that is under process can be set in a matter of seconds once completed. Creators are also focusing on creating technical standards for Dogecoin that will help developers build Dogecoin products with ease. The ultimate aim of the upgrades is to make Dogecoin easy to work with and more acceptable.
The Number of Merchants Accepting Dogecoin is All Set to Increase
While Bitcoin is currently accepted by over 7,700 merchants worldwide, Dogecoin is only accepted by 2,000. This number is all set to increase in 2022, giving Dogecoin the much-needed price boost. Last year Elon Musk announced Tesla would accept DOGE for merch payments. Besides Elon Musk, the billionaire Mark Cuban is also set to accept DOGE as a viable method of payment. According to Mark, people have already spent thousands of dollars in DOGE in the Dallas Maverick store. Mark believes people prefer using DOGE as a retail payment medium and not as a store of value.
AMC Theatres is another big name on the list that started accepting cryptocurrencies by the end of 2021. The theatre says it will open doors for Dogecoin soon, somewhere around March 2022. With such big names joining the bandwagon and accepting Dogecoin as payments, you can expect good things for this cryptocurrency waiting ahead. If you check today’s conversion rate of 1 Dogecoin to INR, you’ll know why investors are still eyeing DOGE. If you want to invest in a relatively safer cryptocurrency that has high upside potential, you might want to add DOGE in your diversified crypto portfolio.
Other Competing Pet Coins or Meme Coins Will Nip at Dogecoin’s Heels
The trend of financial investments colliding with pop culture is pretty new, and it really took off in the last calendar year. But Dogecoin entered the market when there was no such competition around for meme coins. However, with the introduction of coins like Shiba Inu, Dogecoin cannot play safe if it wants to retain its position as a top meme coin.
As the cryptocurrency market matures with time, experts predict more meme coins or pet coins to proliferate in the market, which is not good news for Dogecoin. Meme coins are subject to sudden price rises and fall for unpredictable reasons, and one can understand this by checking the past few years’ price charts of Dogecoin. While DOGE has had a loyal community backing it since the beginning, the entry of new coins can make DOGE run for its survival.
How will Dogecoin survive the rising competition can only be seen in the months to come; till then, investors will have to bank on the consistent hype and support Dogecoin receives from its community and popular celebrities like Elon Musk, Mark Cuban, and more.
Will Dogecoin Win the Meme Coin Battle in 2022?
Since Dogecoin was started as a meme coin, its creators have no intention to register it officially as a trademark. It is a reason why many copycat coins have entered the market and are trying hard to take Dogecoin’s position. Moon Rabbit is one such cryptocurrency that took a step forward by booking the domain doge.org and registering a company named the Dogecoin Foundation. It will be interesting to see how Dogecoin creators tackle this problem this year and take the cryptocurrency to higher levels. As investors, you can either invest by banking on its present hype or wait for a few more months to see where Dogecoin is heading and take an investment decision accordingly.