The cryptocurrency world is growing rapidly, but many of the technology’s problems remain. The creation of a cryptocurrency that is less costly to use, yet still secure and trustworthy, is a huge task, one that even Bitcoin itself hasn’t solved. As such, it was no surprise that one team of developers took up the challenge.
Dogecoin (DOGE) developer Spencer Bogart has proposed a proposal that aims to reduce the 100 billion Dogecoin block reward for mining to 10 billion. In doing so, the maximum supply for Dogecoin would be 2 billion, with the change happening in four years. The suggested reduction would happen in four phases, with one quarter dropping each year, until the final phase, where the reward is set to 0.
Dogecoin (DOGE) is a cryptocurrency that was launched in December 2013. The Dogecoin (DOGE) developer, Jackson Palmer, has proposed a proposal to the Dogecoin community to reduce the mining fee from 5 to 1% per 1,000 Dogecoins mined, to reward the community for its hard work. The Dogecoin community has approved the proposal by a margin of over 50%.. Read more about elon musk and dogecoin 2021 and let us know what you think.Developer Ross Nicol has revealed plans to reform the pricing policy of the controversial Dogecoin meme token.
With the monumental rise in value of Dogecoin this year, network costs have also risen. This has resulted in an unnecessary disincentive to trade up the chain. To address this problem, the proposers are considering a change in fee policy that would result in a reduction of fees by at least 50 times.
It could also support Dogecoin’s attempt to reinvent itself as a payment crypto-currency.
But given that the Lightning Network offers fast and cheap bitcoin transactions, not to mention the plethora of cheap tokens already available, is there any incentive for this to happen?
Dogecoin developers want more control for miners
The original pricing structure set up by the developers of Dogecoin was designed to combat internet spam. The emphasis was on a rate of 1 DOGE per kilobyte, which would allow for relatively inexpensive transactions, but would also be sufficiently balanced to avoid a lot of spam.
To further discourage online spammers, the developers have also recommended a minimum payment size of 1 DOGE. Exits smaller than this are penalized with an additional 1 DOGE fee.
However, this is only applied to the network in the default configuration of the software.
It was not until late 2018 that this pricing policy began to be applied at the relay code level of Dogecoin nodes. This led to the discovery of a significant number of transactions that were not in accordance with standard policy. The investigation showed that
About 8% of all transactions used the free level inherited from Bitcoin Core. This means that no charges have been paid.
In addition, about 11% of all transactions were processed incorrectly because portfolios were missing. Many wallets just have a bitcoin-like costing set up.
The proposed changes are designed to restore decision-making authority to the minors, rather than to the relay network. This includes extensive configurability of all map-related parameters and increased sovereignty of individual node operators.
To achieve this goal, the developers offer several implementation options. The biggest challenge is a complete overhaul of the fee structure, including a reduction in the minimum transmission fee and dust limit, the introduction of a standard blockchain activation fee, the restoration of functional freedom for blockchain transactions, and a reduction in the standard fee rate.
Compared to other tokens, the average commissions on the Dogecoin network are relatively low. Currently, the average fee is about $0.49. For comparison, $7.12 for Bitcoin and $4.17 for Ethereum.
Average price Source: bitinfocharts.com
However, the developers want to lower the cost to encourage smoother transactions and DOGE releases from the exchanges.
Tesla CEO Elon Musk, the unofficial DogeFather, expressed his approval and said it was important to support these projects.
It is important to
– Elon Musk (@elonmusk) June 28, 2021
Responses on social media were also generally positive about the proposal. Some even say this is a critical step in the development of Dogecoin.
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One thing you may not know about Dogecoin is that it is the first cryptocurrency to get the Elon Musk seal of approval. In December, the CEO of Tesla, the one and only Elon Musk, tweeted his support of Dogecoin (and Dogecoin coordinator Jackson Palmer, who created Dogecoin, as well).. Read more about dogecoin stock elon musk and let us know what you think.
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