The parody of Bitcoin cryptocurrency exploded

Dogecoin was created years ago as a parody of Bitcoin & Co., now the market value of the cryptocurrency has risen to more than 50 billion dollars in the short term. The price explosion of Dogecoin thus eclipsed the development of Bitcoin and other well-known digital currencies. The rate has increased more than fivefold within a week, and within a year it has even increased by 200 times to a good 40 US cents at times on Friday. Among other things, Tesla boss Elon Musk had repeatedly made positive statements about Dogecoin in the past few months, which had led to price increases in each case. The most recent price explosion, however, seems to be primarily due to the meeting of small investors in internet forums. The development coincides with the highly regarded IPO of the crypto platform Coinbase, which many observers consider to be a milestone in the establishment of digital currencies in the financial world. Dogecoin, however, cannot be traded at Coinbase. Bitcoin and other cryptocurrencies have also posted significant gains recently. But not to the same extent as Dogecoin. Even crypto enthusiasts warn that Dogecoin is an insubstantial hype and that the price could collapse at any time. Dogecoin "doesn't really have a purpose," said crypto investor and billionaire Michael Novogratz at Bloomberg. "I would be very, very concerned if a friend of mine invested in Dogecoin at these prices." Like other observers, Novogratz feels reminded of the Gamestock share. Their value, although professional investors considered them largely worthless, had been driven to extreme heights by small investors who had made appointments on the Internet platform Reddit. The software engineers Billy Markus and Jackson Palmer developed Dogecoin in 2013 as an alternative to Bitcoin and other cryptocurrencies. Because they found it "funny" by their own admission, they used the image of a Shiba dog as a symbol, which was then spread on the Internet as a meme. Co-developer Markus does not benefit from the current hype. He sold all of his Dogecoin years ago - for the equivalent of a small car, as he wrote in a forum on Reddit.