Meme-inspired cryptocurrency Dogecoin (DOGE) is now formally the second largest proof-of-work (PoW) crypto when it comes to market cap, following the Ethereum network’s proof-of-stake (PoS) improve on Thursday.
Bitcoin (BTC), in fact, stays miles forward of Dogecoin’s market cap of $7.83 billion, although the well-followed memecoin continues to be comfortably forward of the third place PoW cryptocurrency Ethereum Traditional (ETC) with a market cap of $4.69 billion, Litecoin (LTC) at $4.01 billion and Monero (XMR) at $2.65 billion.
One Dogecoin fan gave the impression to be in disbelief of Dogecoin’s rise to turn into the second largest PoW cryptocurrency, stating, “who would have thought that this may occur. Congrats #Dogefam.”
However, it wasn’t taken effectively by everybody. One Twitter person responding to a tweet concerning the information requested how folks might take the crypto trade critically with a memecoin so near the highest spot, emphasizing the necessity to take away “ineffective cash” from public view.
Dogecoin might also quickly discover itself competing in opposition to ETHPoW (ETHW) — the Ethereum PoW onerous fork chain that can proceed mining, according to the official Twitter account of the ETHW, which is presently priced at $13.64, based on CoinMarketCap.
Ethereum’s transition to PoS might have added stress on PoW-powered cryptocurrency networks to transition to a extra sustainable consensus mechanism.
In a press release to Cointelegraph, Lachlan Feeney, the founder and CEO of Australian-based blockchain improvement company Labrys, mentioned “the stress is on” Bitcoin now to justify the PoW system over the long run.
He added that “reluctance to hold out its personal transition to PoS might be large.”
In the meantime, the Dogecoin Basis has been contemplating a transition of Dogecoin to a proof-of-stake after first hinting on the shiftin September 2021, which was put ahead by Ethereum co-founder Vitalik Buterin, who can also be an adviser for the Dogecoin Basis.
In December 2021, the Dogecoin Basis released its Dogecoin Trailmap, which proposed to construct a Dogecoin “group staking” model that resembled PoS.
Associated: Proof-of-stake vs. proof-of-work: Differences explained
“Such a model would permit all Dogecoin customers to stake their DOGE and get further tokens for supporting the community,” the Dogecoin Basis mentioned.
Nevertheless, little progress has been made since then, because it nonetheless appears to be in “proposal” standing based on the Dogecoin web site.
DOGE is presently priced at $0.06 on the time of writing.