23 Sep 2021 10:51 AM +00:00

Dogecoin Transactions At Lowest Since 2017 Despite AMC Adoption Interest

After releasing a poll asking if AMC should accept Dogecoin, AMC’s Adam Aron was taken aback by the response.

“Dogecoin Poll was by far my highest ever read tweet,” the AMC CEO said on Twitter. 140,000 Twitter users voted on the poll, with 77% in favour of AMC adopting Dogecoin.

“It’s clear that you think AMC should accept Dogecoin,” Aron said. “Now we need to figure out how to do that.”

Meanwhile, on the Dogecoin blockchain, the cryptocurrency had just hit a milestone of its own. On September 19, 15,474 transactions were recorded – Dogecoin’s lowest since 2017.

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Dogecoin Gains Traction Despite Transactions

After reaching a peak of nearly 140,000 transactions on April 16, Dogecoin’s transaction volume has remained near the 20,000 daily transactions since July 2021 (via BitInfoCharts). On September 22, this number was 16,441.

However, does this mean much for Dogecoin?

Even with this lower on-chain activity, demand for Dogecoin has not faltered. News that Robinhood will soon release its crypto wallet and that AMC may soon accept Dogecoin as payment has seen DOGE’s price increase 5.2% in the past day to $0.222 (via CoinMarketCap).

While transaction volume is just one of several metrics used to analyse cryptocurrencies, it suggests Dogecoin does not yet have the use-cases compared to other altcoins which recorded transaction growth in the past few months. These include Cardano and Litecoin.

Indeed, as Benzinga stated, Bitcoin’s primary use case sees it as a store of value. This is different from the likes of Ethereum, a network that records high transaction volume as users interact with Dapps on-chain.

One of the most well-known facts about Dogecoin is that it was initially created as a joke. This fact, alongside its meme-worthiness and marketing, led DOGE to take the internet by storm earlier this year, with it being one of the most well-known cryptocurrencies aside from Bitcoin.

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As much of the Dogecoin community action, such as the Dogecoin-based festival Dogepalooza, takes place off-chain, it remains to be seen whether this lack of a large-scale blockchain ecosystem will affect its institutional backing. With AMC investigating its adoption, this low transaction doesn’t appear to have put the cinema chain off.

Read More: How Much Dogecoin Does Elon Musk Own?

[Featured Image by Executium via Unsplash]