Tacocoin is a Cryptocurrency which launched earlier this month, and it uses the Scrypt algorithm like Dogecoin and Litecoin. This means you can mine Tacocoin with GPUs/CPUs or Scrypt ASICs as seen on Zeex. There will be 50 million Tacocoins in total, which is a relatively small amount for a cryptocurrency. For example, there will only be 0.05% as many Tacocoins as Dogecoins. There are 500 Tacocoins per block, with a new block every minute, and block rewards will halve every 50,000 blocks. The first block halving has already occurred, so there are 250 Tacocoins per block currently.
Tacocoin is traded on Comkort and Coinnext, where you can buy and sell Tacocoin for Bitcoin. In general the price per Tacocoin has been 20-100 satoshis (1 satoshi = 0.00000001 Bitcoin) since trading started a couple weeks ago, although volume has been somewhat low.
There is only 1 pool mining Tacocoin with a hashrate of 3 MH/s. This puts Tacocoin at risk for a 51% doublespend attack, since 1 ASIC miner or even a GPU farm could take over more than 51% of the network hash rate. If this were to happen they could fork the blockchain and make transactions on their new blockchain. When the 51% attack ends these transactions would disappear, and merchants as well as exchanges who accepted Tacocoin at that time would lose money.
In order to prevent a 51% attack Tacocoin is going to start merged mining with Dogecoin. Merged mining allows you to mine both the Tacocoin and Dogecoin blockchain at the same time. You submit your solution to both blockchains simultaneously, and if the solution is correct for Dogecoin you earn Dogecoins, and if it’s correct for Tacocoin you earn Tacocoins. This increases the amount of coins you can earn with a given hashrate, since the solutions you generate are used twice rather than just once like in typical mining.
Merged mining will significantly improve the network security of Tacocoin through increasing the hash rate. Also it will attract Dogecoin people to the Tacocoin community, and increase Tacocoin publicity in general.
If you want to learn more about Tacocoin, head over to the Tacocoin subreddit, where an active community has developed around Tacocoin http://www.reddit.com/r/tacocoin