Deflationary Model for Dogecoin: Possible with Community Consensus?

user avatar

by Giorgi Kostiuk

2 years ago

Dogecoin co-founder Billy Markus has suggested a possible shift to a deflationary model for Dogecoin if the community and miners support the change.

Possibility of a Deflationary Model for Dogecoin

Billy Markus has shared on GitHub the potential for Dogecoin to adopt a deflationary model. Currently, Dogecoin follows an inflationary model, adding 5 billion DOGE annually through mining. Markus emphasized that a deflationary transition is possible only with community and miner support, with the relevant code available on GitHub.

Comparison Between Dogecoin and Bitcoin

Markus defends Dogecoin's inflationary model by comparing it to Bitcoin's flexibility within its community. He noted that both Dogecoin and Bitcoin could theoretically alter their supplies based on community consensus. Even though Bitcoin’s supply is capped at 21 million, changes could occur if the community and miners agree.

Support from Elon Musk and Dogecoin's Stability

Well-known Dogecoin supporter Elon Musk agreed with Markus, arguing that meme coin inflation is beneficial. Musk highlighted that Dogecoin has 'flat inflation,' implying decreasing percentage inflation over time. He added that reliance on an inflationary fiat currency with varying prices undermines its transaction reliability, while Dogecoin remains predictably stable.

The choice between a deflationary and an inflationary model will be decided by the community. Markus has already released the deflationary code on GitHub, and if supported, Dogecoin may implement it.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Standard Chartered to Acquire Zodia Custody

Standard Chartered has signed definitive agreements to acquire Zodia Custody Limited, enhancing its digital asset safekeeping services.

user avatarRajesh Kumar

Critical PHP Vulnerability Leads to Global Website Shutdowns

A critical vulnerability in PHP has caused panic worldwide, leading several countries to take down government websites and urging organizations to shut down their PHP-based sites.

user avatarLucas Weissmann

Probly Showcases Innovative Prediction Market Solutions at TOKEN2049

During TOKEN2049, Probly showcased its innovative approach to prediction markets, emphasizing accessibility, broad market coverage, and onchain settlement.

user avatarFilippo Romano

Probly Wraps Up Successful Sponsorship at TOKEN2049 Singapore

Probly successfully participated as a Gold Sponsor at TOKEN2049 Singapore, cohosting the WHALE3RA Afterparty with ecosystem partners.

user avatarEmily Carter

Plex Media Server Vulnerabilities Exploited for Cryptojacking

Attackers are exploiting vulnerabilities in Plex Media Server to install unauthorized cryptocurrency miners and a Linux proxy backdoor.

user avatarTomas Novak

Super League Shareholders Approve Metaplanets Bitcoin Treasury Proposal

Super League shareholders approved a proposal for Metaplanets to contribute 2,100 BTC and $25 million to a new US-listed Bitcoin treasury platform.

user avatarKaterina Papadopoulou

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.