Why I believe in DogeCoin

We heard the news that El Salvador choose BitCoin as their fiat currency. Unfortunately this is going to fail, because BitCoin transaction is too slow and too expensive.

DogeCoin version 1.21 is going to drastically reduce the transaction time and cost soon. That's exciting. Two obvious questions here.

1. Why other crypto coins don't do the same improvement?

Because DogeCoin is going to sacrifice one core principle a bit: decentralized structure. This is unforgivable SIN to most of the Blockchain experts, but I like the idea.

Of course decentralized structure is still there, but if my understanding is correct, there will be less major nodes on the chain network. Then it will be much eaiser for governments to monitor the DogeCoin transactions.

Is this good? Absolutely, in my opinion, because, countries like El Salvador can use it! All shops and people can use it!

At the moment, DogeCoin can handle around 40 transactions per second (thanks for LiteCoin and Scrypt), and the transaction is much cheaper than BitCoin. But, this is far from enough!! Visa can handle 1700 transaction per second easily, and even 65,000 transactions per second. If DogeCoin wants to compete with fiat currency, it has to be much faster, and the transaction fee have to much cheaper.

This is why Elon Musk mentioned, that if DogeCoin transaction is 100x cheaper and faster, it can win hands down.

2. How about ETH 2.0?

So far, from what I can see, not sure whether it's possible, because the light speed is too slow. If there are 2000 nodes around the world, how is it possible to process thousands of transactions per second? I could be wrong, but there is no evidence about the performance of ETH 2.0 yet.

Good news:

"Today a #dogecoin test transaction with the reduced fee code changes I put into the dev build of 1.14.4 passed.  TX, relay, miner inclusion and RX all succeeded. Thanks @JRossNicoll for the review and test. #doge transactions should get less expensive very soon."

https://twitter.com/michilumin/status/1406721229390635013

https://chain.so/tx/DOGETEST/01631e5e074af8a11cea7574549a0d14a06221c181c59945d034e040c7249d69

Conclusion:

If DogeCoin can be 10x faster and cheaper, more people will consider to choose it as currency alternatives. If DogeCoin can be 100x faster and cheaper, small countries will consider to choose it as fiat currency.

Hold!


PS: Why Tesla don't accept DogeCoin?

Because DogeCoin is too cheap. Its market cap is less than $50B! That means, it cannot provide enough liquidity to giant companies.

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