Baby Doge Coin is another type of growing meme coins that aims to increase transaction speed.
Baby Doge Coin is an over-deflationary token that claims to be an improved version of Doge Coin with the goal of increasing transaction speed. The mission of the Baby Doge Coin project is happiness, and its goal is to save needy dogs and return digital currencies to original projects. In this article, we aim to introduce Baby Doge Coin and its features.
What is the BabyDoge token?
BabyDoge is a native token of this blockchain, and as a meme coin project, its token can be considered as the foundation of this network. The purpose of creating this blockchain is, in fact, to create its token for financial purposes. Since this token is based on the Binance Smart Chain network, it follows the BEP-20 standard. Unlike Dogecoin, the number of these tokens is limited and is 420 quadrillion (10 to the power of 15!).
Despite the large number of these tokens, the development team creates various programs and structures to prevent inflation within the network. These measures balance the relative amount of supply and demand. In this regard, it can be noted that this project has burned 30% of its tokens based on the token burn mechanism. The development team has also taken other measures to reduce the token supply.
Baby Doge Coin’s anti-inflation structure
The total number of Baby Doge tokens is very high compared to its competitors, which raises various concerns about its supply and demand. Ultimately, this leads to increasing inflation. The development team has taken various programs and solutions to prevent this inflation. Their anti-inflation programs are divided into three parts, which are discussed below.
Creating liquidity pairs
One of the solutions to prevent inflation is to create liquidity pairs or LP acquisition. Baby Doge Coin (BDB) is usually paired against a stable digital currency in this method. The development team plans to list the digital currency against Binance Coin (BNB) on decentralized exchanges in the near future, and to do so, they need to add a certain amount of assets to the liquidity pool on the mentioned exchange. Based on this, the development team has a special solution in mind. They deduct 10% of the total transaction amount in the network, and allocate 5% of this amount to the liquidity pool and creating liquidity pairs.
Another anti-inflation measure in this network is reflection. 5% of the deducted transaction fee is paid to the holders in this process. In fact, Baby Doge Coin holders can continuously receive 5% of the network transaction fees. This amount is distributed periodically among the holders, and wallet addresses with more Baby Doge Coin receive a larger share.
Token burning is another common method to reduce supply in the network. In this method, tokens are sent to an address without external access, and generally removed from circulation. Many projects around the world, including Baby Doge Coin, use this method. In other similar projects, token burning is done with the transaction fees, while in Baby Doge Coin, circulating assets have been burned.
How does Baby Dogecoin work?
Baby Dogecoin is a digital currency that receives transaction fees to encourage investment. After each transaction, it rewards its users by adding Baby Dogecoin tokens to their wallets. 5% of each transaction is automatically allocated to the holders of Baby Dogecoin tokens, and by simply holding Dogecoin assets in their wallet, users will earn additional Dogecoin, which is immediately transferred to their wallet.
With each Baby Dogecoin token transaction, you receive a 10% transaction fee, of which 5% is allocated to each Dogecoin investor and 5% is allocated to use in a liquidity pool with Binance Coin on PancakeSwap. In other words, if you sell your Baby Dogecoin, you will lose 10% of your investment, but if you hold it, you will receive a reward.
Who are the developers of Baby Dogecoin?
The developers and main employees of Baby Dogecoin remain unknown, just like other cryptocurrencies. However, with all these interpretations, their social media team is very strong, and compared to other digital currencies, they have relatively high quality.
Features of Baby Dogecoin:
Low transaction fees: Baby Dogecoin has much lower transaction fees compared to Dogecoin, and is less than one cent in the United States.
Abundant supply: The first offering of Baby Dogecoin had over 420 quadrillion assets, indicating the abundant supply of this token in the digital currency market.
Encouragement for trading: One of the features that makes Baby Dogecoin attractive for traders is its 10% transaction fee. Traders must contribute a percentage of their digital currency to the redistribution and liquidity pool. This method strongly motivates traders to hold onto their coins. The 10% fee serves as an incentive to keep Baby Dogecoin assets. If you sell your assets, you will receive a 10% fee. However, if you hold onto them, you will receive a percentage of the fee each time someone else sells them.
Baby Dogecoin Cash Card: Another option for using Baby Dogecoin is their announced cash card that allows you to load fiat currency via bank transfer. This card allows you to buy and send digital currency, and also gives you the option to trade digital currency with fiat money.
Baby Dogecoin Tokenomics: Baby Dogecoin has a market cap of over $200 million and a total supply of 420 quadrillion tokens. With over 100,000 Baby Dogecoin holders, the circulating supply of this digital currency is 295 quadrillion.
What is the difference between Baby Doge Coin and Dogecoin?
Developers of this digital currency are trying to introduce it as an evolved version of Dogecoin, but it has significant technical differences. If we examine it from a technical point of view, it doesn’t have much connection to Dogecoin.
One of the differences that can be mentioned for Dogecoin is its very high inflation. This is because it is trying to significantly address the problem of inflation in Baby Doge transactions by using an intelligent system. This way, it can continue on a more balanced path. The Baby Doge Coin network is designed so that users receive a fee of about 5% for every transaction made on the network. This feature does not exist for Dogecoin. Another difference that can be mentioned for Baby Doge Coin is that cryptocurrency transactions are faster than Dogecoin.
Is investing in Baby Doge Coin profitable?
The issue is that all the problems that exist with Dogecoin also apply to Baby Doge. Therefore, it is necessary to exercise extra caution when investing in this digital currency. It is impossible to have an accurate analysis of Baby Doge coin in the future. However, it should be noted that investing in this digital currency comes with fundamental issues. So, if you intend to invest in this digital currency, pay attention to the following points:
Do not spend all your capital on buying this digital currency and only consider a limited portion of your capital to buy it. Try not to have long-term investments and trade with price targets. Due to the advantages that this digital currency has, like Dogecoin, the possibility of making profits through trading is also available. Where can you buy and sell Baby Doge coin?
As Baby Doge coin has recently entered the digital currency market, many exchanges do not support it. Currently, PancakeSwap is a decentralized exchange that can support this currency and is known as one of the largest DeFi platforms in the Binance ecosystem, providing the ability to buy and sell this digital currency. In Iranian websites, such as Kifpul, you can also buy and sell Baby Doge coin. Trust Wallet, Trezor, and Ledger are among the suitable wallets for storing this digital currency.
Baby Doge coin is a digital currency that has recently entered the digital currency market and is likely to undergo changes in the future. If you want to invest in this digital currency, try not to have long-term investments in this digital currency and participate in trading these digital currencies by making small profits so that you will not be affected by negative fluctuations in the market. The fee you must pay for each transaction of this digital currency is about 10%. Half of the fees are divided among the individuals who hold this currency and 5% of this fee will be spent on managing the network.