Alex Valaitis, the founder of W3T and a former Ethereum researcher, talks into important Dogecoin details. In a series of tweets, Valaitis explains the origins, scalability, and use cases of Dogecoin.
This past week, I put aside preconceived notions and decided to research @dogecoin
— Alex Valaitis (@alex_valaitis) November 20, 2022
I consolidated the most important learnings from my report
Here's the ULTIMATE THREAD on Dogecoin 🧵 pic.twitter.com/ILgENVmOlu
A proof-of-work consensus technique is used by DOGE on its own Layer 1 blockchain. The creation of DOGE was influenced by Litecoin and Luckycoin. Scrypt technology is employed by DOGE, hence SHA-256 Bitcoin mining hardware cannot be used to mine DOGE.
After Bitcoin, DOGE has the second-largest PoW blockchain. Miners must instead invest in less powerful FPGA and ASIC hardware. There are currently 5,896 nodes in total, dispersed evenly over the globe. Bitcoin, the largest POW blockchain, has approximately 10,000 complete nodes globally.
Dogecoin Features TPS
Tesla CEO Elon Musk previously alluded to DOGE payments on Twitter.
To support a platform the scale of Twitter, DOGE would need to be able to process a large volume of transactions fast and affordably enough to be suitable for use cases like micro-tipping. TPS does not seem to have a throughput that is high enough to scale for Twitter, according to Valaitis. The time limit for each block is one minute.
The Dogecoin network would require Layer 2 scaling solutions or larger blocks in order to increase throughput. Both a substantial update and one for this year are planned for Dogecoin. In contrast to Ethereum, Dogecoin does not support smart contracts, although it does support Script Opcodes.
