Meme-themed Dogecoin (DOGE) crypto gained more than 13 per cent, contrasting Bitcoin (BTC) and Ethereum’s (ETH) 4.70 per cent and 2.3 per cent drop, respectively, in the past seven days ended August 18, according to the crypto info aggregator Coinmarketcap.
Dog-themed meme-coin Shiba Inu (SHIB) also jumped nearly 19 per cent in the past seven days.
Both DOGE and SHIB coins saw a robust price jump.
DOGE coin’s price gains could be attributed to the recent demand created by Dogechain, a layer-2 crypto application built on the Polygon blockchain (MATIC).
How Is Dogechain Creating Demand For Dogecoin?
Although the developers of Dogecoin and Dogechain are different, both cryptos share the same dog-themed ideological value.
“Dogechain supercharges $DOGE to bring crypto applications like NFTs, games, and DeFi to the $DOGE community,” said the Dogechain developers. According to them, Dogechain was created as “$DOGE cannot support any of these applications (dApps).”
They said, “Without Dogechain, $DOGE users cannot participate in NFTs, games, or DeFi.”
What Is Dogechain?
A retweet forwarded by the Dogecoin Foundation, claimed the Dogecoin cryptocurrency has no affiliation with Dogechain.
We generally don't comment on these things publicly, because it tends to only amplify attention, but multiple PR/media sites are reporting or insinuating that Dogecoin launched this token or its test network or is closely affiliated with it.— ⬢ Jens Wiechers ⬡ 🇺🇦 (he/they) (@jwiechers) August 16, 2022
This made it necessary to clarify.
According to a report by Decrypt, which helps people understand the decentralised web, Dogechain is a separate network based on the Polygon Edge custom software built by Polygon (MATIC) and is compatible with the Ethereum Virtual Machine (EVM). This compatibility of Dogechain with EVM opens up the possibility of it supporting Ethereum native applications and games.
What Is Dogechain Proposing To Dogecoin Holders?
In a tweet, Dogechain claimed it garnered about 58,000 wallets and 4,80,000 unique transactions in the last five days. “Shibes, #Dogechain has been experiencing some crazy activity in the past few days. The Dogechain hype has taken the internet by storm,” read the Dogechain tweet.
Also, Dogechain plans to incentivise Dogecoin users with an airdrop. “The Dogechain team is preparing to airdrop millions of DC tokens to the Dogecoin community,” crypto portal CoinDesk reported citing Dogechain developers.
“$DC tokens give community members access to special ‘holders only’ features and perks, like access to the exclusive Dogechain Alliance Club on Discord. In addition, $DC holders will gain token-permissioned access for competing for free tickets to the Dogechain Conference this year.
“The conference is a major draw for Dogechain ecosystem builders seeking to collaborate and showcase their work,” said the Dogechain developers on their website.
According to Defi Lama, a DeFi TVL aggregator, the total value of money locked in various Dogechain products is $9,170,950, mainly in DogeSwapOrg ($4,734,346).