Dogecoin’s Use Case Bonanza Does Little as Investors Sell in May
Pennsylvania-based restaurant and convenience store chain Sheetz will accept cryptocurrencies including Dogecoin as a payment method from customers filling up their vehicles at the gas pump. Sheetz is doing so through digital payments network Flexa and in addition to DOGE will accept bitcoin, ether, Litecoin and other cryptocurrencies.
Despite the strengthening of Dogecoin’s use cases as a medium of exchange, the sixth-biggest cryptocurrency has been taking it on the chin of late, falling nearly 9% in the last 24-hours and down a steeper 20% in the last seven days. The profit taking in May, which currently stands at 20%, comes on the heels of a fourfold increase in the DOGE price last month.
Bitcoin Breaking Point
Dogecoin is not the only cryptocurrency seeing red today. The broader cryptocurrency market appears to be trading lower in sympathy with bitcoin, whose market cap has shrunk by about USD 37 billion in the last 24-hour period. The negative sentiment appears to be spilling over into Doge rather than it selling off for any project-specific reason, the possibility of a bubble bursting notwithstanding.
The Dogecoin community is looking for reasons to stay hopeful that the dip in their favorite cryptocurrency will be short lived. One topic that is being discussed on social channels is the potential addition of smart contracts on the Dogecoin network. Smart contracts are agreements on the blockchain that are executed when predetermined conditions are met, relying on code rather than any third party (e.g., banks) to be validated. If the hype is true, it would thrust Dogecoin into the similarly popular decentralized finance (DeFi) game, in which Ethereum is currently the top dog. This means that DOGE holders would be able to enter the staking game and earn interest on their coins.
YouTube channel Final Stand, which boasts 236,000 subscribers, says that smart contracts are officially on the way to Dogecoin. Matt Wallace, the host of the show, credits Dogecoin’s lead developer Ross Nicoll with the scoop, ambitiously predicting that it has the potential to catapult DOGE to the No. 1 spot on the crypto leaderboard.
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