I have encountered this defense at several occasions, and I have always chosen the variation: 3.dxe5 dxe5 4. Qxd8+. But far more popular is the move (instead of 3.dxe5) 3. Nf3. I do simply not understand why. By following the variation I usually choose, you take away black's ability to castle, as well as you can be the first to start putting some pressure on black's central pawn and so on...
Both 3. Nf3 and 3. dxe5 are standard book moves in that position, with the former is slightly more popular than the latter. I also play 3. dxe5. It takes away Black's ability to castle and allows White to put pressure on Black's position. White also has an easier time bringing the rooks into play. Perhaps 3. Nf3 is more popular because it transposes into the 3. d4 variation of the Philidor Defense.
I have encountered this defense at several occasions, and I have always chosen the variation: 3.dxe5 dxe5 4. Qxd8+. But far more popular is the move (instead of 3.dxe5) 3. Nf3. I do simply not understand why. By following the variation I usually choose, you take away black's ability to castle, as well as you can easily get the initiative.