Out of the many coins that are available out there, dogecoin is probably the only coin that has got a lot of attention thanks to random and hilarious tweets from Elon Musk. As much as the coin got attention in the market for its satire on numerous fake coins, the Dogecoin Foundation, the company that founded the coin is moving to bigger plans to ensure that Dogecoin stays relevant even in the future.
Dogecoin when launched had a lot of attention, as it was the first coin that happened for fun and turned out to become a viral coin. Dogecoin raised concerns for many in the crypto community owing to its low valuations, but after staunch support from founders like Elon, the coin started garnering traction.
With companies and enthusiasts slowly piquing their interest in Dogecoin, the Dogecoin foundation is now aiming to move DOGE to the proof of stake model from the existent Proof of Work Model. DOGE being Defi coin that is built on the Ethereum Blockchain is now in talks with the founder of Ethereum, Vitalik Buterin to make the migration.
Proof of work model in many DeFi networks is slowly turning out to be redundant with the increased cause for concern on the environment. According to the founder of Ethereum, Vitalik says that many companies are working on moving their coins to the proof of stake model and with almost all De-Fi coins built on the Ethereum blockchain, he aims to inculcate transition models to ETH 2.0 to make the migration easy.
ETH 2.0 is considered to be the biggest transition made by any blockchain and the biggest change with the ETH 2.0 network is the transition from the Proof of Work (PoW) model to the Proof of Stake (PoS) Model.
The biggest advantage of the PoS model is that the model offers rewards to all the participants in the stake and not just the miners like in PoW. As compelling as it may sound, Bitcoin is not considered to make the transition to PoS. It is considered to stay that way as many experts in the industry believe that PoS is not as secure as PoW. But when considering the long-term impact that the PoW model has on the internet, Bitcoin might be soon forced to make the transition.
PoS model is much better than the PoW model as it does not allow monopolizing resources which is possible with the PoW model.
Apart from shifting to the PoS model, the Dogecoin foundation is planning to roll out more features and upgrades. Dogecoin Foundation is planning to release a project that will contain all the educational material about cryptocurrency to help you understand the integration of DOGE with gaming applications and how you can make effective payment portals with the coin.
The Doge foundation is also having active plans on launching a new cryptocurrency called Libdogecoin, which is expected to release with the successful migration to the PoS model. To make the migration to the network, the founders of the Dogecoin foundation are relying on Vitalik to make the transition to the PoS model.
There are more coins similar to Dogecoin that are entering the market and are expected to come with huge valuations. According to RecentCoin, more than a thousand coins are created every day meaning it is important to have a close watch on the release of new coins. DOGECOIN has spawned about 4153 ‘doge’ related coins, for example.
Tesla owned by Elon announced that it will be accepting Dogecoin to buy merchandise from the company on a test basis to understand the dynamics of the coin. The major reason why many founders including Elon backed Dogecoin is that the transaction value for Dogecoin is high and the cost per transaction on the coin is less when compared to Bitcoin which is the exact opposite. Many companies around the world are hesitant to move to the decentralized economy because people might not be willing to pay high gas fees for the products that they buy but with the introduction of Dogecoin, it is sure as relevant that we might be seeing companies moving to test runs with the Dogecoin for their transactions.