Dogecoin

[Jason]

The value of this isn't set to a real value because Bitcoins like standardized currency have no intrinsic value, as you've mentioned, because more can just be.. made. The difference with a cryptocurrency like Bitcoin or Dogecoin is that they have an inherent process to their creation that helps to mediate their delivery into the market. Rather than the government simply stating that the money is worth x amount and that they will only make x amount of it to keep things thin, these currencies are derived by and divided up between the users.

While I don't understand many of the deeper intricacies of cryptocurrency I know there are methods in place to give it a more natural value than standard paper and coin cash.

I think it's really interesting to see us not only moving to a digital currency, but a decentralized one. Whoo technology!

The fact Bitcoin is inelastic (i.e., has a limited quantity), will be its undoing in the long run. It encourages speculation, hoarding and over spending (price instability). The people who will profit most from bitcoin won't be those who invest in it, but those who invest in the companies related to it (sort of like Sears and Roebuck during the gold rush, providing goods to the miners). Dogecoin, on the other hand, has an inflationary approach that feels much more like something that can be used as a currency.

Currencies are nothing but proxies, and history has shown that proxies function best with stability in value and awareness of relative values to goods against other proxies. The U.S. went through similar issues that cryptocurrencies face today, when banks printed their own bills. Eventually people didn't like getting burned on transaction costs wherever they went, or their value suddenly disappearing when management ran banks into the ground or there was speculation about the stability of out-of-town banks.

Government-backed fiat currency solved a lot of these issues that the cryptocurrencies are just now coming to grips with. Until these issues are solved, the only people that'll continue to use them are the folks who have the skills and means to gloss over these failings for a device that is essentially a proxy (not a replacement) for fiat currency.

 

[TaylorTDHouse]

From what i've heard, Dogecoin has been one of the most steadily rising cryptocurrencies. I actually run a forum dedicated to Dogecoin, and all of the users are really happy with the way dogecoin is headed. This weekend (13th I believe) is believed to double the price of Dogecoin.
As for the community - one of the best. They've sent the Jamaican bobsled team to Sochi, and did the same India.
http://www.mydoges.org/showthread.php?tid=332