The 3 Problems That Make Dogecoin Such a Poor Cryptocurrency

Cryptocurrency / Blockchain

It’s still not a good investment

I am still not a friend of Dogecoin. Yes, the bubble might be fun, but it’s actually not. In a previous article, I described how it could have devastating effects on the entire crypto space. I argued Dogecoin is not a good project, but a shitcoin — but why really?

If it wasn’t clear to you yet, here are all the essential reasons Dogecoin is not a good crypto project.

Most cryptocurrencies have huge teams working on them. Besides the permanent employees, fans also contribute to the open-source code of the projects.

Seeing who is working full-time on Ethereum, Cardano, Polkadot, and Algorand are impressive. Many intelligent people who enjoy a lot of respect in the industry contribute to the blockchains.

There is a long-term plan for most crypto projects; if ever a problem arises, someone is immediately there to solve it. This is the reality in most large crypto projects.

Dogecoin is also at the top of the market capitalization rankings right now.
So what about the team behind the meme coin?

Well, there is no actual team. If you look at the official source code of Bitcoin, you can see that the latest changes were usually only a few minutes ago. In Dogecoin’s official GitHub repository you can see that the last commit was a few months ago. Most of the source code files have not been changed for months or even years.

In case of problems, it is to be expected that there will be no solution anytime soon — there is simply no real team behind the coin. And speaking of problems, we come to the next point.

The fact that Dogecoin is so rarely updated scares me. It is not because the project is not very complex. Due to the close relationship with Bitcoin and Litecoin, Dogecoin also consists of thousands of lines of code that need a lot of attention — anything else would be negligent.

In the past, there have been repeated problems in the Dogecoin world. In 2013 and 2014, the two wallets Dogewallet² and Dogevalut³ were hacked — both resulted in many investors losing their coins.

But the Dogecoin network itself also has a huge problem.

To protect the blockchain from manipulation, it needs a lot of computing power. However, the Dogecoin network does not have this computing power. In the picture, you can see a comparison to the Bitcoin network, but beware: the graph is logarithmized. You can see the gigantic difference on the Y-axis.

Source: https://medium.com/illumination/dogecoin-e1b1ef3ee1d2?source=rss——-8—————–cryptocurrency