The year in Dogecoin: Elon Musk’s favorite crypto makes a comeback

With crypto soaring in 2024, Dogecoin owners are determined to take their multi-million dollar meme coin to the moon.

And if recent events are any indication, the coin — often bathed in the attention of billionaire Elon Musk — is already part of that path.

Dogecoin has had a year from hitting a three-year high to becoming the name of more US government initiatives and inspiring new exchange trading products.

Although the network has shown some technical issues recently, the Shiba In inspired token is still going into the new year at a high speed.

A look back at Dogecoin in 2024.

Musk and Trump drive DOGE

Dogecoin grew to Three years high $0.48 in early December as President-elect Donald Trump and his partner Musk fueled positive investor sentiment for digital assets.

The digital currency reached an all-time high of $0.73 in May 2021, and spent the following years below this mark until its recent revival.

Dogecoin's price began to rumble a few months ago as self-proclaimed crypto champion Trump paved the way to recapture the White House. His victory on Election Day sparked excitement in the broader crypto market, which has leveraged meme coins including Dogecoin.

The token has also rallied several times after a series of posts by Musk on X (formerly known as Twitter) referring to the digital currency as a government agency aimed at cutting bureaucratic costs.

Mask, Ramaswamy to lead DOGE

Shortly after election day, Trump announced this Elon Musk and entrepreneur Vivek Ramaswamy It leads A non-governmental US unit that shares a name with Dogecoin.

The Department of Government Efficiency, or DOGE, aims to hit the US. Government expenditureReducing the federal budget deficit. Musk He mocked the initiative It excited Dogecoin owners for weeks before it was officially announced.

“We'll also have a leaderboard. [the] Crazy stupid spending of tax dollars,” Musk said on Nov. X. “It's going to be so sad and so much fun.

After Musk shared his plans for the initiative on a Trump rally In October. Although DOGE is named after Musk's favorite meme coin — the acronym matches the Dogecoin symbol, plus Trump is selling t-shirts with himself and Musk with his Shiba Inu dog — the inspiration itself has nothing to do with crypto.

Dogecoin hits technical difficulties

Dogecoin suffered an unexpected setback earlier this month when a blockchain developer allegedly crashed 70% of the public nodes on the network.

Andreas Coll Accused On December 11, X posted hundreds of public nodes supporting the Dogecoin network. He said he used an old laptop in El Salvador to exploit a “death note” bug in the blockchain code.

“Death Note” A bug According to Tobias Rook, a software engineer who helped identify the vulnerability, it could cause an individual to die from a segmentation fault on a node.

However, the Dogecoin Foundation later dismissed Kohl's claim as false, arguing that more than 1,000 Dogecoin nodes were unaffected during the attack. The foundation also noted that the network resisted attempts to take it down.

Still, the competing claims have caused a stir in the Dogecoin community. Some community members argued that the bug exposed major security flaws in the network.

“Anyone can crash the entire Dogecoin network in an instant,” Kohl said in an X post. However, the Dogecoin Foundation pushed back on those concerns.

Dogecoin Foundation director Timothy Stebbing said Decrypt That the mistake isn't as big a deal as it seems. It was patched in early December and node operators have gradually updated their devices to protect against the vulnerability, Stebbing said.

According to Stebbing, blockchain also has many privately operating nodes, making it difficult to identify and take down public nodes affected by a suspected attack.

Dogecoin ETFs – Yes, indeed

It's made possible by the acceptance of spot Bitcoin and Ethereum exchange-traded funds in the US earlier this year. ETFs based on Dogecoin Analysts say it may one day be offered to investors in the US. Decrypt.

“The ETF industry is notorious for throwing spaghetti at the wall,” said Bloomberg ETAT analyst Eric Balchunas. Decrypt In November. “I think we're going to see all kinds of things being tried, including DOGE.”

Whether such ETFs will be approved next year remains to be seen, but some issuers are considering offering token-backed funds inspired by Shiba In. According to a blog post published last October, Grayscale is already considering the inclusion of Dogecoin in future trading products.

Valor, a subsidiary of Canadian crypto company DeFi Technologies; It was announced The Valor Dogecoin (DOGE) SEK ETP will launch in Sweden this November, the region's first exchange-traded product to feature exposure to meme-inspired crypto.

With a smaller listing compared to major exchanges like the Nasdaq, the Spotlight Stock Market provides a platform for great offerings. The exchange hosts 125 stocks and 25 exchange traded products.

Edited by Sebastian Sinclair