• According to Robinhood CEO, Dogecoin has the potential to become the internet’s money

  • Vlad Tenev, CEO of Robinhood, makes the case for Dogecoin being the internet’s native currency. Tenev said he’s been thinking about “what that would require” since Robinhood enabled send/receive DOGE functionality.

    Previously, opponents derided the platform as a walled garden because it did not enable cryptocurrency transfers into or out of the app. However, after months of discussion, the corporation finally implemented this feature last week.

    Nonetheless, unlocking the tokens kept on a single network will not be enough to transform Dogecoin into the internet’s money.

    Dogecoin takes a step forward by incorporating usefulness.

    Despite its reputation as a humor coin, the Dogecoin Foundation revealed ambitions to provide DOGE usefulness at the end of last year.

    To rekindle interest in the project, the foundation announced plans to make DOGE a payment method as well as “a serious universal money for people.”

    They announced a number of efforts to do this, including an upgrade to its desktop wallet API interface, “community staking,” and network diversification for speedier nodes. The ultimate goal is to make DOGE more useful by enhancing its technology.

    How might DOGE become the internet’s currency?

    The transition to payments is fraught with technical hurdles, as Tenev detailed in a tweetstorm. To begin, Tenev claims that transaction fees must be “vanishingly small.”

    Tiny fees are already a reality for DOGE users, thanks to the Core 1.14.5 version, which was introduced in November 2021.

    There are also faster block timings, which refer to the amount of time it takes miners or validators to verify transactions within a block and generate a new block. According to Tenev, block times must be faster than the time it takes to pay at a payment terminal.

    “Ideally, the block time (time between successive blocks being added to the chain and to verify a transaction) should be fast enough that the transaction can be recorded in the next block in less time than it takes to pay at a point of sale terminal.“

    But not so quickly that mining resources are squandered in the process of reaching an agreement.

    He also believes that the present block time of one minute is excessive. For optimal performance, this should be reduced to ten seconds.

    The most contentious change is the increase in block size. Tenev claims that competing with Visa’s 65,000 transaction per second speed will necessitate a 10,000x increase in block size from its current 1MB.

    The disadvantage is that node operators would require more advanced equipment than a Raspberry Pi to enable this adjustment. Tenev, on the other hand, believes this is a worthwhile tradeoff.

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