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Dogecoin (DOGE) experienced a notable increase in its network activity over the past two days, processing over 4 million transactions between May 27 and 28, as reported by BitInfoCharts.
Source: BitInfoCharts
This surge exceeded the transaction counts of its more established competitors, such as Ethereum (ETH) and Bitcoin (BTC). During the same timeframe, ETH recorded 1.9 million transactions, while BTC had fewer than 1 million transactions.
The statistics indicate that this trend has been stable over the past week. From May 22 to 28, Dogecoin executed more than 9 million transactions, whereas the Ethereum network processed approximately 6 million transactions. Bitcoin completed 3.3 million transactions in the same duration.
Dogecoin’s network activity surge driven by DRC-20 tokens
In response to the rising interest in Bitcoin’s BRC-20 tokens, DOGE supporters introduced a comparable model, known as DRC-20 tokens, which has played a role in the increase of Dogecoin’s transaction volume.
The DRC-20 framework allows for the creation and exchange of tokens on the Dogecoin blockchain, akin to the functionality of ERC-20 tokens on the Ethereum network, but inspired by the BRC-20 standard.
The excitement surrounding these new tokens has resulted in their widespread adoption within the cryptocurrency community. A Dogecoin supporter, Mishaboar, stated:
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“DRC20 tokens are minted on the Dogecoin chain because of the low fees, and for a kind of “fetish” of minting meme tokens on top of the meme coin blockchain that started it all.”
The uptick in network activity has raised alarms among certain community members, who contend that it may lead to network congestion and adversely affect Dogecoin’s primary objective of offering an efficient, low-cost, and accessible method for everyday transactions.
DOGE’s climbing hashrate
Concurrently, Dogecoin’s increasing transaction volume has coincided with a rise in hashrate — which has grown by 38% in May.
As per Minerstat data, Dogecoin’s hashrate surged to 934.03 TeraHash per second (TH/s) from 660.61 TH/s recorded on May 1.
Source: Minerstat
Typically, a rising hash rate indicates an increase in the number of miners on a network. It can also serve as a measure of the blockchain’s health and security.
Despite the uptick in network activity and hashrate, Dogecoin’s price has remained relatively stable, with the digital asset witnessing only a 2% increase over the past week and a 10% decline in the last 30 days. At the time of writing, Dogecoin is trading at $0.0732, according to data from CryptoSlate.
The post Dogecoin transaction volume flips Ethereum amid DRC-20 token fever appeared first on CryptoSlate.
