How possibly can an image of a dog drive an already boiling market into a volcanic frenzy? It goes by the name Doge Capital NFT Collection. The record high that the NFT project has been able to hit is also forcing many to demand fractionalization.
What is Doge Capital NFT Collection?
Doge Capital NFT Collection is a collection of 5000 24×24 pixel art collections based on the Solana blockchain. A holder of the Doge Capital has access as a member to the Woof Club with additional owner perks. These are exclusive perks.
What is Fractionalization?
There has been immense commotion over the rising prices of the Doge Capital NFT Collection, and a significant part of it has been blamed on fractionalization. What is it? A fractionalization is an event where the NFT owner deposits the NFT into a vault on any NFT fractionalization platform. These platforms allow the owner to mint ERC-20 tokens. The difference begins from here. Unlike the ERC-721 token standard based on the Ethereum platform, ERC-20 tokens are fungible and can be traded. It can also be sent, received on smart contracts running on the Ethereum blockchain.
One would ask where the problem could be?
For starters, NFT fractionalization provides a broader scope to the entire community, thereby making NFTs productive assets. Fractionalized NFTs have been selling for staggering prices. There is an inherent risk of hacking that issuers must bear while locking the NFT in a vault.
The Origin of Doge Capital NFT Collection
Shibu Inu is a dog breed from Japan, the image of which gave birth to the Doge Capital NFT Collection.
Doge Capital: A Phenomenon
There was every reason for Wall Street to sit up and take notice of the Doge Capital NFT Collection after it boomed to $95 billion earlier this year. Currently, there are 17 billion in circulation, and each coin is worth 3 cents. The original buyer owns 55% of it.
What is Dogecoin?
Amidst all this hoopla, it is pertinent to peek into the phenomenon called Dogecoin. It was launched way back in December 2013 and had the image of Shibu Inu as its logo. It is derived from Litecoin. The primary reason behind its popularity is its unlimited supply and low transaction prices. The beginning of Dogecoin is funny. It was created by Jackson Palmer, a product manager at Adobe Inc, in 2013, as a satire, mocking the rise of cryptocurrencies. The idea was further driven by Billy Markus of Portland, Oregon, a software developer at IBM, who sought permission from Palmer and built the software behind Dogecoin.
A combination of a breed of dog from Japan, reliable technology, and market frenzy is enough to send the charts into a tailspin, and Doge Capital NFT Collection has been able to do just that. However, on its strength, the NFT collection is remarkable too and is a must for collectors and investors.