Two years after the coronavirus pandemic, when people allegedly beat lockdown boredom by gambling millions in frivolous digital assets, the adoption of joke cryptocurrency dogecoin (DOGE) is still growing.
According to data monitored by on-chain analytics company IntoTheBlock, the quantity of cryptocurrency addresses holding DOGE has exceeded 5 million for the first time.
In the meantime, the number of confirmed transactions on the Dogecoin blockchain has surged to the highest level since June, with the total rising by 1,000% over the last ten days. The number of active addresses on the network has more than doubled to 168,000, reaching the highest since March 2022.
Even though these numbers are noteworthy, there are still problems with DOGE’s ownership concentration. Less than 5,000 addresses own more than 80% of DOGE’s supply, according to BitInfoCharts, meaning that a small number of traders have significant influence over the price of the cryptocurrency.
This month, DOGE’s market capitalization increased by 14% to nearly $11 billion. Increased market value of cryptocurrencies is frequently correlated with increased adoption and usage.
Early in 2021, Elon Musk tweeted memes based on Dogecoin, which became popular and inspired other tokens with dog themes, such as Shiba Inu. During that time, joke cryptocurrencies as a whole saw a boom as risk-taking was encouraged by the government’s coronavirus lockdown, unprecedented monetary easing by central banks, and stimulus checks from governments.