Dogecoin is making some noise now.
When the Ethereum Merge finally concluded on September 15th, investors didn’t see the massive market shift they were anticipating.
However, one significant outcome of this event was that meme-inspired cryptocurrency Dogecoin has now become the second-largest Proof-of-Work (PoW) consensus-based network, trailing only the Bitcoin network in terms of market value.
According to ETHPoW’s official Twitter account, Dogecoin is likely to compete with ETHPoW, which is the Ethereum PoW hard fork chain that is expected to keep mining.
Bitcoin is still the most valuable PoW blockchain with a market capitalization of $380 billion, based on data by TradingView. Next to Bitcoin and Dogecoin, Ethereum Classic, Litecoin, and Monero have the third, fourth, and fifth largest PoW blockchains, respectively.
Image: Coinsfera Bagging 10th Place In Top Crypto List
Dogecoin was launched in 2013 and has since risen to the top 10 cryptocurrency rankings. The crypto is currently trading at $0.060888, a decrease of 4.8% over the last seven days.
The joke coin is now ranked 10th on Coingecko’s list of the leading cryptocurrencies. In the previous 24 hours, BTC was trading at $19,709, down 2.5%, while ETH was trading at $1,474, falling 9.7%.
As with Bitcoin, DOGE is mined using proof of work, which requires miners to use powerful computers and a significant amount of energy to solve complex mathematical problems in order to validate transactions and earn DOGE.
Regulatory authorities have recently upped their monitoring of network validators as many nations advocate for a total ban on crypto mining activities since they place a significant strain on national grids.
Dogecoin PoS Transition In The Drawing Boards
Approximately 14.4 million DOGE are mined daily, according to the cryptocurrency tracking platform Currency.com, adding to the coin’s supply of 132.6 billion. In contrast to Bitcoin, which has a restricted supply of 21 million, Dogecoin has no supply limit.
Meanwhile, the Dogecoin Foundation has been contemplating a transition of Dogecoin to a proof-of-stake (PoS) mechanism after Ethereum co-founder Vitalik Buterin, who is also an advisor to the foundation, suggested the change in September of last year.
In recent years, the dog-inspired crypto has gained an odd champion in the world’s richest person, Tesla chief executive Elon Musk, who has tweeted about the coin as far back as 2019 and on multiple times caused the price of Dogecoin to surge.