2023-05-19
Reaching an
all-time high on May 17, 2023. The daily transaction volume of Dogecoin
increased tenfold from the average daily value earlier in the week, surpassing
both Bitcoin and Litecoin briefly before returning to previous levels on
Wednesday.
According to data from BitInfoCharts, the network recorded over 645,000 transactions on that Sunday, outperforming both Bitcoin and Litecoin during that short period. Prior historical data indicates that Dogecoin typically had around 20,000 daily transactions. However, the launch of the DRC-20 token standard on May 9 immediately boosted network activity.
The DRC-20
standard allows developers to issue tokens on the Dogecoin blockchain, enabling
them to collect network fees in the form of Dogecoin (DOGE). This enhancement
adds value to Dogecoin and paves the way for decentralized finance (DeFi)
services with great potential built on the blockchain.
Although
the increased transaction activity is noteworthy, not everyone is enthusiastic
about utilizing the DRC-20 tokens. Critics argue that DRC-20 may lead to
network congestion and deviate from Dogecoin's original purpose as a daily-use
currency.
"A DRC-20 Dogecoin community should stop advertising such an embarrassing gimmick," wrote a Dogecoin community member on Twitter. "Everyone should focus on using the currency for transactions."
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