May 2021, Alex Mashinsky of Celsius Network—a lending protocol—speculated that Dogecoin (DOGE) will transition to proof-of-stake (PoS) within two years to make it more appealing. Fast-forward to last Christmas, and the Dogecoin Foundation published a proposal to do just that. Dubbed “Community Staking,” the proposal would make the cryptocurrency free from energy-intensive proof-of-work consensus.
Furthermore, Vitalik Buterin—the co-founder of Ethereum—made a Dogecoin remark on January 20 on the UpOnly podcast. For the first time, the crypto billionaire publicly noted that he is getting involved with Dogecoin to get things running. The question is, what do meme coin enthusiasts get out of it?
What Is the Current State of Dogecoin Compared to Alternatives?
Outside of being the most successful meme coin, Dogecoin doesn’t have much going for it. Even its founders, Billy Markus of IBM and Jackson Palmer of Adobe were surprised by DOGE’s success.
That’s because Dogecoin doesn’t do anything special that other altcoins don’t already do better. Case in point: Markus and Palmer effectively copy-pasted Litecoin’s code and tweaked it to make Dogecoin. However, Litecoin is better at being a daily transaction cryptocurrency because it has negligible transfer fees compared to Dogecoin.
As the chart shows, Litecoin doesn’t just have flatter transaction fees, but it is presently 91% cheaper to transact with than DOGE. A single transaction fee for DOGE is $0.223 vs. LTC’s $0.015. And this is just if we view DOGE as a cryptocurrency.
![Dogecoin [DOGE] to rise beyond 40%? Whale activity may spur rally](https://crypto.newswireservice.net/wp-content/uploads/2023/02/doge-wale-1000x600-120x86.jpg)
When we view it as a store of value like Bitcoin, it is even worse. While Litecoin, and many other altcoins, have a fixed maximum supply of coins that could ever exist, at 84 million, DOGE has an inflation mechanism coded in. It has over 132.6 billion coins, set for doubling in the next 20 years.
Because the Dogecoin network issues block…
![Dogecoin [DOGE] to rise beyond 40%? Whale activity may spur rally](https://crypto.newswireservice.net/wp-content/uploads/2023/02/doge-wale-1000x600-350x250.jpg)
