What is Dogechain?
Dogechain is now up and operating, enabling users to trade DOGE and connect with decentralized exchanges (DEXs) to purchase newly created tokens on the chain. According to the official website for Dogechain, which exudes the same kind of silly, meme-like vibes that are typical of the Dogecoin community, Dogecoin may be used to pay the gasfees that are associated with transactions on Dogechain.
Dogecoin (DOGE) holders have the ability to bridge their holdings over to Dogechain in exchange for Wrapped Dogecoin (wDOGE), which they can then use on the new platform to engage with DeFi apps, as well as possible future NFT markets, decentralized applications (dapps), and games.
However, it should be noted that this is not an “official” Dogecoin project. The Dogecoin Foundation has retweeted a message which states that neither it nor the original inventors of the currency, Jackson Palmer and Billy Markus, are participating in the Dogechain project. The statement was sent earlier today. They specified that it is also unrelated to a Dogecoin blockchain explorer that has the same name and that this was made clear.
According to DEX Screener, transactions on Dogechain totaling around $21 million worth of tokens have taken place over the course of the last twenty-four hours, with DogeSwap leading the way with transactions totaling approximately $16 million. Tokens such as Doge Eat Doge (OMNOM), DogeShrek, Bourbon, and PinkyDoge are among the most valuable (PINKY).
Since the introduction of the network five days ago, users have reportedly already generated more than 58,000 wallets, and they have completed more than 480,000 transactions in total, as stated in a tweet that was posted today by the Dogechain team.
A variety of longer-term promises are made on the Dogechain website about the expected future airdrop of native DC tokens for Dogecoin holders. According to the promises made on the website, users of the cryptocurrency and stock trading software Robinhood who possess Dogecoin would also be eligible to get free DC tokens if they remove their DOGE from the app.
Whether or not those promises are ultimately kept remains to be seen, however. As a result of the statements that Dogecoin’s original inventors and founders are not active with Dogechain, users of social media have a reasonable level of skepticism about the cryptocurrency.
How does Dogechain work?
Dogechain isn’t a true layer-2 network in that it’s not built on top of Dogecoin. Instead, it’s a separate network based on Polygon Edge, which is a custom blockchain software from Polygon, the most popular Ethereum sidechain. And it’s compatible with the Ethereum Virtual Machine, which means that it can run apps and games built for Ethereum.
One of the most important goals of Dogechain is to encourage holders to participate in DeFi, trading, and the use of decentralized applications. According to what is written on the website, Dogechain users have access to a wide variety of benefits, including DeFi, NFTs, games, and more! It is time for the Doge community to realize its full creative potential and potential as a whole.
DOGE owners may “bridge” their current DOGE holdings over to the Dogechain network in order to get wDOGE, also known as wrapped DOGE. They will then be able to utilize it on the new Dogechain platform to connect to DeFi dapps such as DogeSwap, and in the future, they will also be able to connect with NFT and gaming dapps.
Dogechain is now online and functioning, enabling users to transfer DOGE and engage with decentralized exchanges to purchase newly created tokens on the Dogechain. This article was written when Dogechain was up and active. Additionally, transactions on the Dogechain network need gas costs, which may be paid for using Dogecoin.
Since its inception a week ago, the Dogechain block explorer shows that there have been approximately 900,000 transactions performed, with more than 71,000 wallet addresses being used. This is a significant amount of activity for such a young blockchain. To put it into perspective, Polygon processes around 3 million transactions every single day.
Should you invest in Dogechain?
It is interesting to note that Dogechain is not the only meme coin attempting the endeavor, as rival Ethereum-based token Shiba Inu (SHIB) is also set to launch its layer-2 scaling network called Shibarium. While the release of Dogechain is sure to get some tongues wagging and trades happening in the crypto space, it is not the only meme coin attempting the endeavor.
In addition, the fact that the people who first developed DOGE are not now involved should prompt traders and investors to err on the side of caution. On the other hand, as we have seen multiple times in the past, some individuals are eager to find new assets on a fresh chain when minimal trade activity has been the norm. This is something that we have experienced.
Even while it’s still early, there are already concerns that this may turn out to be another BNB Chain-style setup. This would be a system in which it’s simple for developers to establish decentralized applications and tokens, and in which pump-and-dump projects would appear every week. Nevertheless, we are willing to give the project the benefit of the doubt for the time being.
How to use Dogechain
- Buy Dogecoin (DOGE) on an exchange that allows withdraws via the regular Dogecoin Network like Binance, MEXC or Kucoin.
- Connect your wallet to the Dogechain Bridge (link) and confirm the swap.
- Once the platform’s wallet has received your funds, the smart contract will mint the corresponding number of $wDOGE and send them to your Dogechain address.
- The $wDOGE will then show up in your Metamask wallet under the Dogechain network.