Before investing in a cryptocurrency, it is important to know its supply cap. As it will help you to understand whether the cryptocurrency will have value in the future or not. For instance, Bitcoin is known for having 21 million coins. Once all the coins are mined, there will be no more new bitcoins. This makes Bitcoin a rare currency.

But not all cryptocurrencies are the same. Some have an unlimited cap, like the Dogecoin does not have a supply cap. So it is a fair question to ask, will Dogecoin ever be capped?

Well, let me answer the question for you:

What is Dogecoin?

Dogecoin is a peer to peer open source cryptocurrency. It is like an altcoin of Bitcoin that offers its users a completely unknown, decentralized, and secure environment that is free from any third-party interference when it comes to transactions.

The cryptocurrency was launched back in December 2013, and it has a Shiba Inu dog as its logo. The coin was created as a joke. But it is backed by a strong blockchain tech which is derived from Litecoin.

What Is a Cap in Crypto?

The Crypto market cap is the total value of a cryptocurrency. In the stock market, the market capitalization is calculated by multiplying share price times share outstanding. The crypto market capitalization is calculated by multiplying the price of the cryptocurrency by the number of coins in circulation.

By this formula, Bitcoin’s market capitalization can be found by multiplying the current number of coins in circulation with Bitcoin’s price at this time. As Bitcoin’s price fluctuates, the market capitalization also fluctuates with it.

Does Dogecoin Have a Cap?

Calculating the market cap of Dogecoin can be tricky. Since, unlike most other coins, Dogecoin doesn’t have a supply cap. This means Dogecoin doesn’t have a cap which is one of the reasons why the price of Dogecoin will fall.

Let me explain, as the price of DOGE rises up, more people will have an incentive to mine for Dogecoins. Once they have mined their coins, they can move the funds into their Ledger wallet, which is one of the best dogecoin wallets, as per The Money Mongers research.

From the crypto exchange, other investors will be able to buy the coin. And as more and more miners come online and sell their coins into the market. This will cause Dogecoin’s price to fall.

For this very reason, many experts believe that coins like DOGE are what a pump and dump scheme is. But there are also investors who believe that the DOGE coin is a good coin to diversify your portfolio, considering its craze.

 Will Dogecoin Ever Have a Cap?

Almost all cryptocurrencies undergo periodic upgrades to their software to remain functional, secure, and relevant. And it is pretty normal for a cryptocurrency to alter its protocol.

But it is unclear to say whether Dogecoin will ever have a cap. In theory, Dogecoin developers could choose to implement a cap on the creation of new coins. But there has not been any concrete discussion on it.

However, there are experts who assume that there might never be a cap on the Dogecoin limit.

Has Dogecoin Ever Been Capped?

Since the time Dogecoin came into existence, there has not been a cap on the cryptocurrency. Even over the years, no one had imagined that there would be a huge craze for Dogecoin.

Dogecoin features the Shiba Inu dog, which was popular back in 2014 and 2015. So at that time, Dogecoin had some popularity. But the popularity wasn’t as much as it is in today’s time.

However, back in 2017, the cryptocurrency started getting popular. The valuation of DOGE hit $1 billion. Also, many investors considered that this is a sign of frothiness and irrational exuberance in the crypto markets.

Since the DOGE coin lacked any unique features. Instead, it is simply a clone of Litecoin, a clone of Bitcoin. Also, there wasn’t any developer update for years.

But then, back in 2021, the coin became extremely popular. Thanks to shoutouts by celebrities like Elon Musk, Mark Cuban, Snoop dog, and many others. And soon, the coin becomes one of the top 10 cryptocurrencies of all time.

How Much Dogecoin is Left?

As mentioned earlier, Dogecoin has an unlimited amount of Dogecoin supply. You can mine as much Dogecoin as you want. And it is pretty much like any national fiat currency like USD, INR, AUD, or others.

There is no limit on the creation of Dogecoins. But yes, there is a key difference between DOGE coins and fiat currencies. Like, anyone can mine Dogecoin. But only central banks can print money.

Why Dogecoin has No Cap?

There are different rumors about why Dogecoin doesn’t have a cap. One of them is that it was an intentional step by the developers to not have a supply cap on Dogecoin. As they wanted to create a currency that would have an unlimited supply and motivate people to spend.

But we all know that the currency was created as a joke. So it doesn’t really make sense to discuss the technicals of the coin.

How Many Dogecoins Are in Circulation?

According to CoinMarketCap data, 132.67B DOGE is the total number of coins in circulation. However, you should know that 10,000 new DOGE coins are mined every minute. As a result, the number of coins in circulation keeps increasing.

Plus, you should also know that more than half of DOGE’s total supply is held by only about 20 different wallet addresses. This makes Dogecoin one of the most unevenly distributed cryptocurrencies in history.

Final Words:

So that was the answer to your question: will Dogecoin ever be capped. However, as of now, the developers behind the coin don’t have any intention to put a cap on it. Nor are they thinking of doing so. However, we are hopeful that there will be upgrades on the dogecoin network in the coming future.

Also Read: Take Control Of Your Finances: Is DOGE A Good Investment?