This blog post tells you how to buy Dogecoin, which is the latest cryptocurrency on the block.
Warning and January 2021 update: This blog post was published in 2013 and it is outdated and I’ve left on the site for historical purposes. Please look elsewhere for any advice on this topic. You use any information in this blog post at your own risk!
Yesterday I dipped my toes into the cryptocurrency world and brought some Doge! This young digital currency has risen out of a popular meme on Reddit, and is a cheap and fun way to get into the digital currency buying world. At the time of writing I think people are even giving them away on Reddit, which is awesome.
Disclaimer: This is a friendly how to guide written by a novice! If you lose money or experience any other problems, you can not hold 8Bit Mammoth or anyone else responsible. Use your common-sense when buying online. This ‘how to’ guide might become outdated within months. I’ve not covered using an ‘exchange’, which might be the best way to buy the coins, but I’ve covered the two methods I’ve used to buy a small amount of Doge quickly.
The dogecoin currency is getting plenty of news, but let’s be honest, it isn’t worth much and could be garbage next year. For me it is a ‘punt’ and perhaps shouldn’t even be thought of in the same light as ‘bitcoin’, but then who knows, maybe it will challenge the value of a traditional currency one day?
I for one am happy to spend some ‘pocket money’, on a few purchases. I’ve not invested a ‘serious’ amount of money. If the value continues to rise over the coming months, and perhaps years, then fantastic, if not, a shame, but I wouldn’t have lost much money. I think this particular currency is being viewed as a means of ‘tipping’ others, which I might also occasionally do.
For me personally, I’m viewing these digital currencies currently as a hobby, but I think their popularity will continue to rise, and I think it is exciting to watch, and to participate in the cryptocurrency world. You can find the current value of a Dogecoin via this market monitoring service.
Don’t take my views as gospel, especially as I’m a novice, who just paid a lot more than the currency is worth, just to get involved! For me, this is a play toy, enabling me to be a part of the crypto-currency world, and if the value ever becomes something of note, then that’s a bonus, and I will treat myself to some chocolate raisins!
I’ve not bothered to look at mining Doge, but instead decided to buy from others. I looked at two routes, the first being via a forum and the second via eBay. You can also use an exchange, and it is definitely worth checking out, but I decided not to go that route.
Anyway I’m getting ahead of myself, so let’s start from the beginning!
How it currently works (non-mining method):
- Create a DogeCoin wallet.
- Let it sync with the network.
- Buy the Dogecoins and supply your unique address / identifier code for the purchase.
- Wait for the currency to be placed in your wallet.
Step 1 – Download and install the software.
Visit here and you can find Mac or Windows wallet software, and even an online Dogecoin wallet. I didn’t even bother to look at the browser / online wallet option, as I felt it would be less secure. I downloaded the Windows software. For the rest of this guide, I will refer to the Windows Dogecoin software.
If you download the software, uncompress the archive, and place the software folder in a sensible location. i.e. c:\dogecoin-qt-v12\
Step 2 – Let it sync.
Next you run the dogecoin-qt application, and you let it sync. It took over an hour to sync on my computer, so don’t expect it to sync quickly.
When I rebooted my computer the following day, it took another twenty minutes to sync again.
Step 3 – Buying Dogecoins on the internet.
This was the nerve racking part, and it is up to you how you buy the coins. I’m only covering the eBay and forum methods, and not using an exchange! Some will view this as expensive and madness! I have probably paid too much for my Doge. You must decide what you think is a good price.
When you buy doge coins you need to provide a Dogecoin address to the seller. You generate an address by selecting ‘Much Receive’, and then ‘New Address’. Fill in a label to help you identify the transaction, and an address will be automatically created. Then right click on it and select ‘copy address’.
Note: I’ve seen people advise not to generate an address until your wallet has synced.
This address is an identifier for your transaction. All Dogecoin addresses start with a ‘D’, and this is what the seller requires to send you the coins.
Personally I ventured to the forums here, and brought from two people. I made sure they had traded before, and it looked like other ‘genuine’ buyers had used them. I also brought Dogecoins via a eBay ‘buy it now’ listing. I purchased the Dogecoins via PayPal, which I believe is a risk for the seller.
I left the software running, and it updated when the Doge were assigned to my wallet. On all occasions the sellers sent / transferred the Dogecoins extremely quickly. I was surprised as I think at least one of them was located across the other side of the world!
Conclusion
I’ve not looked at encrypting my wallet and backing it up yet. I advise that you look at the safety of your Dogecoins, and it is something I plan on looking at myself later today.
Now I’ve brought a small amount, I’m just going to occasionally monitor the value, and perhaps every so often use my coins.
I’m not the best person to ask questions, as I’m a novice, and I suggest you ask questions in the forum mentioned earlier in the post. I welcome feedback from others via the comments.