CEO Tesla Elon Musk contributed to the discussion about attempts to reduce Dogecoin transaction fees
Tesla CEO Elon Musk had a few words to say about Dogecoin efforts to reduce transaction fees. Besides, this adorable meme coin also just recorded a “reverse record” this week, which is when its market capitalization is now $69 billion down from when the Tesla CEO mentioned DOGE on Saturday Night Live.
Elon Musk supports Dogecoin transaction fee reduction proposal
The story begins when one of the Dogecoin developers, Ross Nicoll, tweeted that he intends to convince some people who oppose the DOGE transaction fee reduction plan.
And then, the biggest Dogecoin supporter Elon Musk has contributed to the discussion, approving this idea.
Source: Ross Nicoll/Twitter
Previously, this Tesla CEO was also working directly with Dogecoin developers, to improve the transaction efficiency of the meme coin. Ross Nicoll is one of those developers. Therefore, it is possible to explain why Musk is acquainted with Nicoll.
In a discussion led by Nicoll, the Dogecoin community was constantly arguing about the best methods to reduce transaction fees while still motivating miners.
Back in mid-May, Musk shared his vision for how to improve the metrics on the Dogecoin network, making it a better payment unit than Bitcoin. Among them is a proposal to reduce 100% DOGE transaction fees. According to Musk, an ideal scenario would be for Dogecoin to be fast enough and transaction fees to be cheap enough. At that time, users can comfortably buy a cup of coffee without worrying about the high fee.
Ideally, Doge speeds up block time 10X, increases block size 10X & drops fee 100X. Then it wins hands down.
— Elon Musk (@elonmusk) May 16, 2021
Some DOGE holders are blaming Elon Musk for abandoning the meme coin
Dogecoin logged its second-worst day ever today, plunging by over 36%. It collapsed to $0.16, the lowest level since April 23. This week, the meme-based altcoin’s market cap is now $69 billion down versus where it was when the Tesla and SpaceX CEO hosted Saturday Night Live.
Say something, @elonmusk.
SAY SOMETHING. pic.twitter.com/sxKOtUik0b
— John Carvalho (@BitcoinErrorLog) June 22, 2021
DOGE saw a major rally in early May, and its height had a market cap of $95 billion. Although Musk took to the airwaves on May 8, contrary to everyone’s expectations, DOGE price began a precipitous fall which continues to this day.
The meme coin is by far the biggest laggard in the top 10 CoinMarketCap, but multiple other major altcoins, including XRP, Binance Coin (BNB), and Polkadot (DOT), have also witnessed double-digit losses.
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