Tuesday, September 2, 2014

Dogecoin revisited... Such Currency... Wow.

Ah, dogecoin... where to begin? Many transaction, much worthless, such awesome. Doge is currently worth $0.14 per 1,000 coins. At its peak last December, it was worth around $400.00 per 1 coin. It was one of biggest pump and dump schemes ever. Wallstreet was claiming Bitcoin would reach $98,000 per coin within a year, ironically around the same time that they were getting in on it, and the price went up to $1200 per coin. Litecoin reached $45 per coin, and the future looked bright for scrypt miners... And then the FBI's two years worth of hard work paid off (at a cost of millions of dollars, I'm sure) , and Silk Road was shut down for about 3 weeks before SR2 popped up (with new features, improved security, and cheaper drugs), thus rendering the feds efforts useless. Not to mention the plethora of darknet markets to spawn since... should have left DPR where he belonged.

Right, so with SR1's fall, BTC suffered as well. Litecoin is now worth maybe $5 a coin, and the mining difficulty is stupid high, so ordinary people cannot partake. But what about Dogecoin? The difficulty is still low, but then again; the price is lower. I tried CPU mining doge for a few days and in the end earned nothing. I suppose if I purchased one of those scrypt miner ASIC's I could return a profit, but I'm not even sure if the Dogecoin developers take their own thing seriously.

Lately I've figured out that mining coins today is for suckers (or billionaires), but trading various crypto-currencies can be very profitable. I've made ~ $30 in the last three days by purchasing random whatever coins (Maxcoin, Primecoin, Darkcoin, ect) and watching different exchanges for high buy offers. If you explore the smaller coin exchanges, you'll often see buy orders for 2 or 3 times what the coin is currently worth. So, I just keep a small amount of bitcoin in a couple different exchange accounts, buy whatever-coin when it's low, and then sell it when some ignorant fool is looking to spend more for the coins he's trying to buy. Think of it like being the exchange middle-man. I spend 10 minutes looking for a high bid on (for example) the unfortunately named PPC (peercoin), and buy some at whichever exchange it's cheapest at, and then send those coins over to the other exchange, make the sale, and finally convert the prophits back into... Bitcoin!

I'm not going to give away my real money maker sites, but I will tell you that you can buy cheap alt-coins at cryptsy.com and bter.com. I can confirm that these two exchanges are legit and won't steal your money. I leave it up to you to find other exchanges to sell the coins for profits. Happy trading.

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