Dec 22, 2022
DOGECHAIN: FACILITATING UTILITY FOR DOGECOIN
WHAT IS DOGECOIN?
Dogecoin is the first decentralized, open-source meme coin, created in December 2013 as a fork of Litecoin. The Shiba Inu dog-themed “Doge” meme, which was popular at the time online, inspired the name of the object.
Dogecoin was created by Billy Markus, a software engineer from Portland, Oregon, and Jackson Palmer, a marketer from Sydney, Australia. Markus and Palmer created Dogecoin as a joke and as a way to poke fun at the growing hype around cryptocurrency. However, the coin quickly gained a dedicated following and became popular for online tipping and charitable fundraising efforts.
WHAT IS THE CURRENT STATE OF DOGECOIN?
Dogecoin has gained a lot of attention in recent years, particularly in 2021 when the price of the coin skyrocketed. Dogecoin has a large and active community, and it is frequently used for online tipping and charitable fundraising efforts. However, Dogecoin has several limitations that limit its utility and adoption.
Dogecoin’s inability to handle smart contracts is one of its primary drawbacks. Decentralized apps (dApps) may be created using smart contracts, and they make it possible to implement many different use cases, including gaming, DeFi, and NFTs. Dogecoin users are only able to utilize their tokens as a form of payment if there is no smart contract capability available.
Another limitation of Dogecoin is its use of the proof-of-work (PoW) Scrypt mining algorithm for validating transactions and creating new coins. This can lead to network congestion, slow transaction speeds, and high energy consumption.
Hence, the limitations of Dogecoin, such as its lack of smart contract functionality, scalability issues, and high energy consumption, have limited its utility and adoption beyond just being a means of payment. To overcome these limitations, it may be necessary to implement a complementary blockchain with a PoS token that prioritizes fast transactions and enables smart contract functionality. This is where Dogechain comes in.
DOGECHAIN: ENHANCING THE USE CASES OF DOGECOIN
A decentralized, open-source blockchain called Dogechain was created to work alongside Dogecoin. It is a proof-of-stake (PoS)-based blockchain that is EVM-compatible and built on the Polygon Edge Software Development Kit (SDK).
Dogechain’s primary objective is to expand the use cases for Dogecoin by giving it much-needed functionality. Users of Dogecoin can do this by encasing their currency in Dogechain smart contracts and getting wDOGE PoS tokens as payment. Users may access an ecosystem of non-fungible tokens (NFTs), GameFi, and decentralized finance (DeFi) goods using wDOGE tokens, which are native to the Dogechain blockchain and fueled by their original Dogecoins.
As a result, Dogechain provides a variety of solutions to Dogecoin users, such as the ability to participate in the NFT market by creating and exchanging NFTs, access lucrative GameFi opportunities, use decentralized exchanges to trade tokens and speculate on their value, access sophisticated financial instruments like staking, lending, borrowing, and liquidity mining, take part in the metaverse revolution through Dogechain-powered NFTs, and fund entire communities through the use of Dogechain (DAOs).
Find out more about Dogechain and keep up with recent news and developments via the following links:
