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HamsterCoin is a bigger threat to Ethereum than Dogecoin, says Twitter’s Jack Dorsey

John KumiBy 0Edited by John Kiguru 2. July 20212 Mins Read
  • Twitter’s Jack Dorsey recent comments suggest that less-than-a-year-old HamsterCoin is a bigger threat to Ethereum than Dogecoin.
  • HamsterCoin is a meme-coin with no unique use-case and technological advantage.

Ethereum is currently working on upgrades to top up the already adopted projects on its smart contracts which include Non-fungible Tokens (NFT), Decentralized Finance (Defi), etc. Despite the platform being backed by problem-solving technological innovations, some prominent names in the industry surprisingly think meme-coins are more of a threat to it than other smart contract platforms. 

This comes as a surprise as HamsterCoin appears as another meme-coin built on the Binance Smart Chain. Just like any other meme coin, it has no technological breakthrough and no unique use-case. HamsterCoin claims to provide its users with financial freedom. It was launched in the first quarter of 2021 with a maximum and circulating supply of 10,000,000,000,000,000. The meme-coin does not support smart contracts and has no security of decentralization which is the hall-mark of Ethereum. 

Dogecoin better than Ethereum?

Though Dorsey’s tweet is believed to be a joke, its price has surged by over 100 percent as new investors accumulate the token. Jack’s comment mirrors Tesla CEO Elon Musk’s tweet which mentioned that Ethereum co-founder Vitalik Buterin is afraid of Dogecoin. This comment came after Buterin shredded Musk’s idea of scaling Dogecoin more than 10 times. 

Musk has firmly held onto the idea that Dogecoin has the potential to win against Ethereum once its block size and the block time are increased by 10 times, while its fees are dropped by 100 times. This was also captured in the proposal published by Doge developer Patrick Lodder. 

This proposal to all dogecoin stakeholders suggests to reduce average fees 100x for standard transactions on the Dogecoin chain, split full control over all aspects of fees between miners and node operators, rely less on core development, and bring back a functional (small) free transaction space that incentivizes keeping the network healthy.

Dorsey, however, argues that the sharp increase in scalability will affect decentralization, explaining why the Ethereum 2.0 upgrade is taking time to be implemented. Soon after the heated exchange, Dorsey revealed that he is a Dogecoin investor, and made 8,000 percent profit from it. 

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This article is provided for informational purposes only and is not intended as investment advice. The content does not constitute a recommendation to buy, sell, or hold any securities or financial instruments. Readers should conduct their own research and consult with financial advisors before making investment decisions. The information presented may not be current and could become outdated.

John is a seasoned cryptocurrency and blockchain writer and researcher, boasting an extensive track record of years immersed in the ever-evolving digital frontier. With a profound interest in the dynamic landscape of emerging startups, tokens, and the intricate interplay of demand and supply within the crypto realm, John brings a wealth of knowledge to the table. His academic background is marked by a Bachelor's degree in Geography and Economics, a unique blend that has equipped him with a multifaceted perspective. This diverse educational foundation allows John to dissect the geographical and economic factors influencing the cryptocurrency market, offering insights that go beyond the surface. John's dedication to the crypto and blockchain space is not merely professional but also personal, as he possesses a genuine passion for the technologies that underpin this revolutionary industry. With his astute research skills and commitment to staying at the forefront of industry trends, John is a trusted voice in the world of cryptocurrencies, helping readers navigate the complex and rapidly changing terrain of digital assets and blockchain innovation. John Kiguru is an accomplished editor with a strong affinity for all things blockchain and crypto. Leveraging his editorial expertise, he brings clarity and coherence to complex topics within the decentralized technology sphere. With a meticulous approach, John refines and enhances content, ensuring that each piece resonates with the audience. John earned his Bachelor's degree in Business, Management, Marketing, and Related Support Services from the University of Nairobi. His academic background enriches his ability to grasp and communicate intricate concepts within the blockchain and cryptocurrency space. Business Email: info@crypto-news-flash.com Phone: +49 160 92211628

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