How's Dogecoin work?

[CryptoHolic]

Dogecoin operates on the same blockchain platform as Bitcoin and Litecoin. Blockchain is a distributed ledger that records all Dogecoin transactions that have ever been made. The Dogecoin network is secured by miners, who use computers to solve complex math problems and verify transactions.

Here are the basic steps of how Dogecoin works:

1. Transaction: When you send Dogecoin to someone, the transaction is transmitted to the network.

2. Verification: Miners will verify the transaction by solving a complex mathematical problem.

3. Add to block: The verified transaction will be added to a new block on the blockchain.

4. Confirmation: The new block is added to the blockchain and propagated to all nodes on the network.

5. Complete: The transaction is completed and the recipient will receive Dogecoin.

Dogecoin has a number of distinct characteristics compared to Bitcoin:

Unlimited Supply: Bitcoin has a limited supply of 21 million BTC, while Dogecoin has no quantity limit.
Mining algorithm: Dogecoin uses the Scrypt algorithm, which is easier to mine than Bitcoin's SHA-256 algorithm.
Community: Dogecoin is known for its fun and active community, which regularly participates in charitable activities.
Dogecoin can be used for:

Online payment: Some websites and services accept Dogecoin for payment.
Rewarding content creators: Dogecoin can be used to reward content creators on social media platforms.
Charitable donations: The Dogecoin community regularly organizes DOGE donation activities for non-profit organizations.
Trading on exchanges: Dogecoin is listed on many major cryptocurrency exchanges, allowing users to buy, sell, and exchange DOGE with other cryptocurrencies or fiat currencies.
Note:

Investing in Dogecoin has potential risks: DOGE value fluctuates strongly, so you should consider carefully before investing.
Do your own research: You should research information about Dogecoin and the cryptocurrency market yourself before making an investment decision.
Invest smart: Only invest the amount you can afford to lose.

Reference: https://taichinh24.net/dogecoin-la-gi-cung-tim-hieu-co-hoi-dau-tu-nam-2024/