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Thursday, January 2, 2025

Vitalik Buterin Proposed To Change The Way Dogecoin Is Mined

Ethereum co-founder announced readiness to provide altcoin source code for Dogecoin transition to another consensus algorithm.

Ethereum co-founder Vitalik Buterin proposed to transfer Dogecoin to the Proof-of-Stake (PoS) consensus algorithm, whereas now the Proof-of-Work (PoW) algorithm is used.

The main difference between PoS and PoW is that miners are not needed to maintain the operation of the PoS network, who generate computing power.

The health of the blockchain is ensured by the holders of digital coins and are rewarded for this. This process is called staking.

Buterin noted that in the transition, the altcoin can use the source code of Ethereum. In mid-August, Buterin joined the updated advisory board of the Dogecoin Foundation (a non-profit organization that develops and supports Dogecoin).

On August 18, the Dogecoin Foundation announced their revival. The organization was founded in 2014, but later stopped working.

Elon Musk representative Jared Birchell, Dogecoin co-founder Billy Markus and developer Max Keller also became advisors to the organization.

Now a gradual transition to PoS is carried out by Ethereum as part of the upgrade to version 2.0. The Ethereum 2.0 protocol will allow the original blockchain to scale and make it more user-friendly.

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