There are currently a total of 130 billion Dochecoin in circulation. Every minute, miners add 10,000 coins to the Dojas network. At this rate, 5.256 billion coins will be added to the dojas network per year.
The total stock of bitcoins is 21 million, with 18.5 million coins mined so far and the last bitcoin to be mined in 2140. Compared to Bitcoin, Doge has a 7000 times larger supply.
This chart shows the number of coins in the stock of the most popular cryptocurrencies.
|Crypto currencies||Power supply|
|Cardano||EUR 31.4 billion|
|Polka dot||922 million|
|Dogecoin||130 billion euros|
Assuming Dogecoin’s price reaches $1 per coin in the next two years (10 billion coins more), Dogecoin’s total market capitalization should be (130 + 10 ) billion x $1 per coin = $140 billion.
Bitcoin has a market capitalization of about $1 trillion (€1 trillion). Even if we assume that Dogecoin becomes the world’s largest cryptocurrency, the price will not exceed $10/Doge.
Dogecoin inflation aside, each coin would need to have a price of ($1 trillion) / (130 billion coins) = $7.69/Dozh for Dogecoin to reach a market price of $1 trillion.
However, if Dogecoin takes four years to reach a market price of $1 trillion, the price of each coin will be $1 trillion / $150 billion = $6.66 / dog.
So even if Dogecoin becomes the most popular cryptocurrency in the world, the price won’t rise to $10 per coin.
So Kogecoin is cheap and will remain so for the foreseeable future.
The question is whether Doge can surpass Bitcoin and Ethereum in terms of market capitalization. Should you buy Dogecoin because it’s cheap?
Dogecoin is a copy of Litecoin, which is a copy of Bitcoin. Technically, there are only two differences between Doge and Bitcoin.
- Bitcoin’s blockchain takes 10 minutes, but Doj’s only takes one minute.
- Bitcoin is deflationary and Doge is inflationary.
Both parts have a block size of 1 MB. As a result, Dogecoin’s transfer rate is theoretically ten times that of Bitcoin.
Most crypto currency enthusiasts and institutional investors buy bitcoin because there is a limited supply of it. This cryptocurrency is now considered digital gold. Since the doge is subject to inflation, he is not considered a store of value. Therefore, there is no institution that buys or accumulates Dogecoin. Without the big banks and institutional investors, the stock would go nowhere.
Although Dogecoin is 10 times faster than Bitcoin in terms of transfer speed, neither coin will ever become a viable alternative to the US dollar as a digital currency. Technically impossible.
We can use USD both offline and online, while we can only use Doge online. There is no argument for offline operation.
For online use, we can transfer USD through various network mechanisms such as ACH and bank transfer. We also have VISA, Master Card, Amex, Discover, Paypal that handles our online purchases with a debit or credit card.
VISA alone can process 65,000 transactions per second. Each operation is deleted in a few seconds. Let’s compare that to Dogecoin’s transaction speed.
The Dodge lockdown time is 1 minute. This means that the network takes at least one minute to clear the transaction. However, if the network is overloaded, this time increases significantly, sometimes to several hours.
We can determine the theoretical number of Dogecoin transactions per unit time using the following formula:
- (Block size limit) / ((minimum possible transaction size) x (block time in seconds))
According to this formula, the Dogecoin network can handle 70 transactions per second:
- (1024 x 1024) / (257 x 60) = 68 (block size 1 MB, block duration 1 minute)
However, due to network sprawl and other reasons, the Dogecoin network can actually handle 40 transactions per second.
According to the U.S. Census Bureau, 330 million people live in the United States.
In one day Dogecoin can process 40 x 60 x 24 = 3,456,000 transactions (in practice 40 transactions per second).
So, if all Americans adopt Dogecoin, each person will be able to make a transfer every 330,000,000 / 3,456,000 = 95 days (3 months) on the Dogecoin network. No matter how many computers we add to this network, the transfer rate will not improve unless we change the underlying Dogecoin protocol.
Isn’t it absurd that we can buy something with a doge every 95 days?
Dogecoin is therefore not a crypto currency and cannot replace the US dollar as a digital currency. We don’t see how he can become one of the best cryptographers on the market. This keeps the price down.
Technologically, the cryptocurrencies Ethereum, Cardano, Polcado, etc. are also much better than Dogecoin.
Currently, most decentralized financial applications are built on the Ethereum platform. Individual locks can communicate with each other via the Polkadot network. Cardano can process 1 million transactions per second. In addition, all these cryptographers award prizes.
Doge, on the other hand, has nothing. It has no reward offer or smart contract. Technically, it’s the worst crypto-currency.
For all these reasons, serious investors do not buy debt. That’s why the price doesn’t go up.
Due to the huge supply of dojas and low investor interest, dogecoin is cheap, and will remain so in the future.
to report this message
frequently asked questions
Will Doug ever make a dollar?
Should I buy Dogecoin?
The Advisor invests what the…
Will dogecoin reach $100?
why is dogecoin so cheap 2021dogecoin newscan dogecoin reach $1dogecoin price predictioncan dogecoin reach $100why is dogecoin so popular,People also search for,Feedback,Privacy settings,How Search works,Dogecoin,Bitcoin,Litecoin,Bitcoin Cash,Monero,Dash,See more,why is dogecoin so cheap 2021,dogecoin news,can dogecoin reach $1,dogecoin price prediction,can dogecoin reach $100,why is dogecoin so popular,what is dogecoin used for,will dogecoin explode