In the last week, the value of Dogecoin has decreased by over 10% as a result of core developer Michi Lumin’s announcement that there are no firm plans to migrate the network to Proof of Stake.
Lumin tweeted on December 29 that even while influencers may have millions of followers and talk with authority, it does not guarantee they are conversant with Dogecoin’s inner workings. “Just because someone claims that a validation technique is changing does not indicate that it is,” he said.
Since Ethereum migrated to PoS in September, Vitalik Buterin has expressed confidence that Dogecoin and Zcash would follow suit. But it was also due to the Dogecoin Foundation’s statement that it is collaborating with Buterin on a staking idea for the popular memecoin.
Many individuals believed that this signified Doge’s move to PoS. Lumin stated that this was not the network’s intended purpose. He said that just because someone is well-known and prominent does not guarantee they have superior network knowledge.
The memecoin core developer noted that, in terms of technical maturity, the Dogecoin network is more comparable to Bitcoin than newer Ethereum-like networks. “It is not viable nor intended for a person, company, or entity to “transfer” or “shift” or “convert” #dogecoin to PoS,” he wrote.
Before a move can be made, the Dogecoin Foundation must get the consent of the network node validators.
There is presently a plan to move the network to proof of stake, according to Lumin. However, the technique may vary from the conventional POS.
Currently, the wallet has 4,999,999.90 DOGE coins valued at around $342,000. Core engineers like Michi Lunin oversee this multi-signature wallet. Memecoin is now trading at $0.0701 and is down 60 percent year-to-date.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.