Dogecoin Foundation is migrating the meme-based Dogecoin (DOGE) consensus method to PoS (Proof of Stake). The news broke out after Ethereum Coin Founder Vitalik Buterin validated the news with the UpOnly Channel on YouTube. Buterin confirmed, that he is helping the Dogecoin Foundation in the migration and sooner the Dogecoin will work in the PoS environment.
As we all know, Vitalik Buterin, Ethereum Co-Founder is the leading person behind ETH 2.0. Ether (ETH), being the second largest crypto asset in the world aims to migrate from proof-of-work (PoW) to proof-of-participation (PoS).
Buterin confirmed, that other significant digital coins are considering the PoS method to switch to. In 2021, the Dogecoin Foundation which founded the Dogecoin (DOGE) were counting on Buterin’s help to make the migration. He also suggested that, that Dogecoin’s plans and Zcash’s plan are more advanced to work with. In light of this information, many important cryptocurrencies can move to PoS in the future.
“It allows everyone, not just the big users, to participate in a way that repays them for their contribution to running the network while giving back to the whole community through charitable causes.”Ethereum Co-Founder, Vitalik Buterin
Proof-of-Stake Benefits over Proof-of-work
Surprisingly, both the consensus method is equivocally better in their places. As experts vouch, Jack Dorsey on the other hand withstand that proof-of-work provides much more security to the network than PoS.
On the other hand, the largest crypto coin Bitcoin (BTC) is in no mood to change its base from PoW to PoS model. However, Dogecoin Foundation lures the entire active crypto community to offer reward points in the participation process. Although it cleared the air, the participation is not for larger miners like BTC.
As we speak, the PoS method is much more considerable than the PoW model. The main reason behind this is that the formal model consumes less electricity compared to the latter. As we all know, the PoW mechanism consumes a high amount of electricity to perform crypto mining. In this process thousands of computers and machines are involved in mining, thus consuming high electric power. Ever since PoS came to light, there has been a worthwhile debate on the ongoing environmental issues bought by Bitcoin mining and NFTs minting on Ethereum Network.
Additionally, PoS does not require a large number of machines for mining as a result of which the energy consumed is way less significantly.
The Dogecoin Foundation plans to launch a new cryptocurrency Libdogecoin. The new digital currency will be released once the migration to the PoS process is complete. Despite the news, the DOGE coin still sees a downfall in the market. As of this writing, it has seen a significant downtrend of $0.157 which is 85% below its record price of $0.73.