If you’re interested in crypto, you’ve probably heard of Dogecoin; a hugely popular coin that began as a joke. But Dogecoin has risen through the ranks to become one of the top cryptos in the world. It has gotten popular to the point that derivatives of the coin are now starting to show.
One good example is DogeCash, a derivative with some ambitious goals in mind. So, what exactly is DogeCash, and how does it differ from Dogecoin? Let’s find out.
What Is Dogecoin?
Before we get into the details of DogeCash, let’s run over a quick recap of what Dogecoin is.
Dogecoin is a cryptocurrency launched in 2013 by software engineers Billy Markus and Jackson Palmer. It began as something called a “meme coin.” As you can probably guess, Dogecoin is inspired by the “Doge” meme, which stretches back as far as 2010.
Dogecoin’s sole purpose was to poke fun at the rising popularity of cryptocurrencies at the time. And while it is still considered a meme coin, it now has a huge presence in the crypto industry, standing alongside the likes of Terra, Cardano, and Polkadot as one of the top 20 most popular cryptos in circulation right now.
Like Bitcoin, Dogecoin operates using the proof of work mechanism, and around 10,000 new coins are mined every minute. Its huge trading volume and market cap also speak volumes about its popularity. But DogeCash aims to make up for some of Dogecoin’s flaws. So, what is DogeCash, and what can it offer over Dogecoin?
What Is DogeCash?
DogeCash, also known as DOGEC, is a cryptocurrency coin created as a community-driven project in 2018. The project was developed by a group of Dogecoin enthusiasts who wanted to see the token succeed in the future of DeFi, or decentralized finance.
Since Dogecoin uses the proof of work mechanism, it’s far from eco-friendly. And the reason being it requires a lot of electricity to run on a network. In fact, this factor makes Bitcoin so environmentally damaging, too.
This is one of the main reasons why DogeCash was developed. In light of the highly concerning climate crisis we are experiencing, many crypto enthusiasts believe that the crypto industry must become more eco-friendly to mitigate its environmental impact.
Dogecoin vs. DogeCash: The Proof of Stake Advantage
Because of Proof of Work’s glaring environmental issue, DogeCash uses the proof of stake mechanism, with its developers believing that it is truly the future of cryptocurrency mechanisms. DogeCash’s official Twitter account often points out that proof of stake is the mechanism that will secure the crypto industry as eco-friendly.
The proof of stake mechanism came after proof of work and offered a more energy-efficient way of running a blockchain securely. Because of this, most new tokens and some pre-existing cryptos now use the newer consensus mechanism.
A particularly notable mechanism switch to proof of stake took place on the Ethereum blockchain. By the end of 2022, the entire Ethereum blockchain will switch to proof of stake, which will result in a significantly reduced energy consumption rate across the network. So, it makes sense that DogeCash’s developers wanted to use proof of stake right off the bat.
However, Dogecoin’s recent announcement of its decision to switch to the PoS mechanism will also allow it to operate with a lower carbon footprint, just like DogeCash. You may think this means trouble for the Dogecoin derivative, but that’s not quite the case.
Fortunately, this isn’t the only area where DogeCash stands out from DOGE. So, let’s look at the other differences, shall we?
Dogecoin vs. DogeCash: Additional Differences
Unlike Bitcoin Cash or Bitcoin Gold, DogeCash is not a hard fork of the Dogecoin blockchain. Instead, it is an independent project with its own blockchain. Hence, DogeCash isn’t a token built on top of another blockchain, but a coin in its own right.
On top of this, DogeCash has a limited coin supply. While there is a maximum of 210 million DogeCash coins that can ever be circulated, Dogecoin currently has no supply cap at all.
However, just like Dogecoin, DogeCash focuses on charity, making it a more ethical coin than many others on the market. The project focuses on supporting animal-related charities like the Scottish Society for Prevention of Cruelty to Animals, or SPCA, and also supports numerous animal shelters.
DogeCash also doesn’t charge any gas fees, given that its super eco-friendly blockchain requires far less energy to operate than Dogecoin. Additionally, unlike Dogecoin, DogeCash uses PIVX, an open-sourced blockchain project, as its codebase. PIVX focuses on user privacy and data protection, which is reflected in DOGEC’s code. DOGEC’s use of the proof of stake mechanism is also inspired by PIVX’s ecosystem.
Another key difference between Dogecoin and DogeCash is their current market value. Dogecoin is currently worth over twice as much as DogeCash and sits at around $0.145. DogeCash currently holds a value of around $0.054, but it’s a significantly younger coin than Dogecoin and is still far less popular in comparison.
DogeCash’s last key feature is its community-driven dynamic. The DogeCash network is self-governed, with masternode holders having the ability to make decisions about the blockchain’s future.
You can think of a masternode as a governing hub within crypto networks that influence crucial changes and developments. They also play a massive role in the block validation process, which takes place via the proof of stake mechanism. The DogeCash project reserves 50,000 DOGEC every month, which is used in governance to continuously improve the network.
There is a clear focus on community within the DogeCash ecosystem, and anyone can propose their own project, giving them the ability to possibly have their say DogeCash’s future.
DogeCash’s Focus on Community and Sustainability Makes It a Promising Coin
DogeCash’s goal of preserving what is great about Dogecoin while also offering several other valuable features makes it a unique token with an exciting future in the industry. With a sustainable blockchain, thriving community, and no gas fees, we may see DogeCash rise through the ranks and gain a strong foothold in the crypto market in the coming years.
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