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What is DogeCoin

Dogecoin (DOGE) is a cryptocurrency featuring a likeness of the Shiba Inu dog from the "Doge" Internet meme as its logo. Introduced as a "joke currency" on December 8th 2013, Dogecoin quickly developed its own online community and reached a capitalization of US$60 million in January 2014; as of June 2017, it has a capitalization of US$340 million.

Compared with other cryptocurrencies, Dogecoin had a fast initial coin production schedule: 100 billion coins have been in circulation by mid 2015 with an additional 5.256 billion coins every year thereafter. As of June 30th 2015, the 100 billionth Dogecoin has been mined. While there are few mainstream commercial applications, the currency has gained traction as an Internet tipping system, in which social media users grant Dogecoin tips to other users for providing interesting or noteworthy content. Many members of the Dogecoin community, as well as members of other cryptocurrency communities, use the phrase "To the moon!" to describe the overall sentiment of the coin's rising value. Thanks to crowdfunding efforts, a gold coin representing the cryptocurrency is scheduled to reach the Moon's surface in 2019.

What is Dogecoin Faucet

Dogecoin faucet is a reward system, in the form of a web site or online apps, that give away free Dogecoin in the form of a dogetoshi, which is a hundredth of a millionth DOGE, for visitors to claim in exchange for complete a captcha or task as described by the web site. There are also other faucets that dispense alternative cryptocurrencies. Rewards are dispensed at various intervals of time. Dogecoin faucets usually give away fractions of a Dogecoin, but the amount will typically fluctuate according to the value of Dogecoin.

Dogecoin Faucet is a great way to help introduce new people to Dogecoin, or to your favourite cryptocurrency. Many faucets provide information to newbies as well as offering them some free dogetoshi so that they can try before they buy, experimenting with a test transaction before put real money on the road. Since this whole area is so new and a bit scary to some people, who perhaps don't quite trust it with their hard earned cash yet, this is a great way to promote digital currency and bring in new users.

It is important to note that faucets are not a get rich quick scheme, as the reward amounts are typically quite small and change according on the value of DOGE/USD at any given time. Because of this, many users who join a Dogecoin faucet allow their total earnings to build up over time until they are ready to have a larger payment sent to their wallet. Typically, users get involved with faucets because they have a desire to understand more about the cryptocurrency niche and are excited at the prospect of earning free Dogecoin. It’s also a no stress, no-risk way to get started in the crypto industry without have to spend any of your own money on high risk investments.

Why do Dogecoin Faucets Give Away Free Dogetoshi

Many people have noticed how Dogecoin has been growing and has made a handful of lucky people a lot of money. So, why do Dogecoin faucets just give away free dogetoshi? Are they just being generous and kind? The truth of the matter is that by rewarding users with dogetoshi, faucets receive revenue. How so? Banners Ads! Many of the most popular and successful faucet sites host a lot of ads. Whether the ads are PPC (pay-per-click), CPM (cost-per-mille), or just there, chances are the site is making a big money just by having advertisements on the page. In addition to ads, faucet sites might also have affiliate links that can allow earn free Dogecoin if users follow the link and sign up for or buy something.

Unfortunately, it’s common for Dogecoin faucets to be totally overloaded with advertisements to the point that they interfere with the user experience. For the time being, though, this is one of the trade-offs of getting a few free dogetoshi. In addition to educating new users about Dogecoin, some web sites choose to utilize Dogecoin faucets for different reasons, including to boost web site traffic and revenue. Typically, Dogecoin faucets attract high web site traffic. That being said, if a business or web site has other services or content to advertise to Dogecoin users, a high traffic faucet is a good way to get the word out and get more people familiar with a company or a brand. Depending on the content being promoted, a web site can also generate income, something that is difficult to achieve in the incredibly competitive niche.

Where Does Your Earned Dogecoin Go

So, you have decided to give Dogecoin faucets a try and are racking up Dogetoshi. Where does it all go, and what can you do with it? For beginners, every Dogetoshi earned by complete faucet tasks gets deposited into your wallet, known as a secure digital account, protected with your own private keys. In simple terms, your Dogecoin wallet functions like your traditional wallet or bank account, and all your private keys can be linked directly to your personal account. For added security and to cater to a wide array of individuals, there are a few different types of wallets to choose from, including desktop, mobile and online wallets. It really depend to personal preferences. And what about micro-wallets?

What Are Micro Wallets

A micro-wallet is version of a traditional Dogecoin wallet that allow users to collect small amounts of Dogecoin before transferring out to your own wallet as the fees for transferring small amounts of DOGE will cancel out anything earned. Sometimes, when faucets pay tiny amounts of Dogetoshi, it will be deposited to a user micro wallet provider. From a user’s perspective, there are no extra steps to go through to get a micro wallet. In fact, one micro wallet is automatically created when a user creates an account with a Dogecoin faucet. It’s very important to note, however, that micro wallets have limits of anywhere between 10,000 and 20,000 Dogetoshi. Once that limit is met, the Dogetoshi will be paid out to a user main Dogecoin wallet.

How Do Dogecoin Faucets Make Money

Like almost everything on the internet, Dogecoin and cryptocurrency faucets make revenue with Dogecoin advertising. The more people that visit the web site or online app, the more advertising revenue the faucet can make. The difficulty for the numerous Dogecoin faucets is attracting people to begin with. The “best” faucet sites offer the users something do other than clicking a “Claim” button and closing the tab. Some faucets use browser games to boost users engagement, while others offer spin the wheel type contests with payout boosting prizes to allure potential and existing users. Others offer gambling games where users can stake their earnings against the site in the hope of winning more. Unfortunately, some sites use cryptocurrency mining scripts that hijack visitors CPU to mine free cryptocurrency. The majority of sites using scripts of this kind are cryptojacking: stealing your CPU and electricity to earn cryptocurrencies. That said, there are some that use only a small amount of your CPU, and some may even offer the option of turning on the script.

If you want to know more then check out the full Dogecoin Wikipedia article.