Dogecoin was initially created as a joke, but after 11 years, the token has gained popularity among merchants for payment purposes. Bloomberg explored the features of this popular meme coin.
The journalists noted that the average transaction fee on the network is less than $0.01, which is about 79 times cheaper than on the Bitcoin blockchain. Transactions are processed in under a minute. DOGE is suitable for money transfers, where fees can reach 7% due to intermediaries.
Dogecoin’s fame is fueled by its humorous nature and endorsements from celebrities like Snoop Dogg, Lil Yachty, Elon Musk, and Mark Cuban.
In 2021, the Dallas Mavericks, owned by Cuban, implemented payment options for merchandise and tickets in DOGE. To date, the NBA team’s accounts have received only 25,000 coins, according to Cuban. The entrepreneur described this as a “cheap way to become part of a vibrant online community.”
The co-founder of Williamsburg Pizza in New York, which accepts Dogecoin, highlighted its “virality.” In his view, this makes the cryptocurrency an effective marketing tool.
According to Bloomberg, DOGE ranks fifth in the BitPay processing app, surpassing XRP and USDC.
“Over time, Dogecoin has become less like a meme coin and more like a blank slate—without significant technological risk. Compared to other cryptocurrencies, it offers a solid combination of recognition, simplicity, and low cost,” commented Frederik Collins, CEO and founder of the Velo Data platform.
One of the fans of the meme coin is Elon Musk. The entrepreneur has previously been a strong advocate for the cryptocurrency. In April 2022, he suggested lowering the cost of Twitter Blue and adding the option to pay for the subscription in DOGE. In January, Tesla began selling merchandise for Dogecoin.
A few weeks ago, the businessman supported a proposal to reinstate payment for Tesla products using DOGE. Earlier this year, the company had removed such an option.
In August, Musk and Tesla won a class-action lawsuit for $258 billion related to the promotion of Dogecoin.
The plaintiff sought to prohibit the billionaire and his organizations from promoting the coin and to declare trading it as “gambling.” In his view, the defendants manipulated the market and were involved in insider trading.
Recall that in August 2024, Musk outmaneuvered U.S. presidential candidate Donald Trump’s proposal to join his team by posting an image of himself with the caption D.O.G.E.