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$DOGE Update: Proof-of-Stake Incoming?

The question of whether Dogecoin will transition to a Proof-of-Stake (PoS) consensus has stirred debates since 2021. Key figures like Vitalik Buterin and the Dogecoin community have weighed in, presenting differing viewpoints.

Varied Viewpoints From the Doge Community

The narrative of Dogecoin's potential transition to a Proof-of-Stake (PoS) consensus has been a rollercoaster ride since 2021, with key figures like Vitalik Buterin and developers from within the Dogecoin community sharing differing viewpoints. Amidst the debate, the question remains: will Dogecoin embrace PoS or stick to its proof-of-work (PoW) roots?

The journey towards a PoS shift traces back to 2021 when Alex Mashinsky, the CEO of Celsius Network, hinted at the possibility. Further, in discussing the meme coin, Ethereum's co-founder, Vitalik Buterin, shared that almost every major cryptocurrency except has a plan to transition to PoS. Buterin, as an advisor to the Dogecoin Foundation, proposed Dogecoin's transition to PoS in September 2021 as a "random Twitter experiment.".

Source: Dogecoin Twitter

The Tease and Clarifications Around Dogecoin

While the concept was initially perceived as wishful thinking, it resurfaced when Dogecoin's updated roadmap featured a proposal known as "community staking" in late December 2021. Like PoS chains, this idea aims to reward DOGE holders for staking their tokens.

However, the buzz around Dogecoin moving to PoS was dampened when Michi Lumin, a core Dogecoin developer, stated in December 2022 that the network was not transitioning to the PoS ecosystem. Lumin emphasized that the community makes Dogecoin's decisions and suggested exploring consensus mechanisms unique to Dogecoin.

Voices of Skepticism

The discourse took a recent twist when Mishaboar, the lead developer behind Dogecoin, voiced skepticism about a potential PoS transition. In a tweet on August 20, he expressed concerns about the impact of PoS on Dogecoin's decentralized character and network stability. Mishaboar stated that a PoS conversion is not a "logical strategy" and could introduce issues like centralized control by exchanges.

Mishaboar noted that cryptocurrencies adopting PoS have faced challenges, with many becoming overly centralized, contradicting the essence of decentralization.

The debate over PoS versus PoW has divided the Dogecoin community, as seen in the survey initiated by Marshall Hayner, CEO of Metallicus and Co-founder of FBBT Holdings. The survey showed a split community, with 60.1% against staking and 39.9% in favor.

As the conversation continues, Dogecoin's future remains uncertain. A decision on whether it should adopt PoS or continue with PoW has profound implications, and it will take time to reach a conclusion. 

$DOGE is trading at %0.06274, up 0.8 % in 24 hours, with a market cap of $8.83 billion.

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