Elon Musk — tech tycoon and CEO of electrical automobile producer Tesla Inc. (NASDAQ:TSLA) — recommended that he could be keen to contemplate creating a brand new cryptocurrency if Dogecoin (CRYPTO: DOGE) doesn’t obtain the wanted options with future updates.
What Occurred: Musk stated this in response to a tweet on Saturday, the place somebody requested why Musk would not make a brand new cryptocurrency with the best options “from scratch.”
Musk stated he would do it “provided that Doge cannot do it”, including that it could be a “large ache within the neck to create one other one.”
In an earlier tweet, the Tesla CEO additionally stated he would really like Dogecoin to extend its block velocity 10 occasions, improve its block measurement 10 occasions and drop its transaction charges 100 occasions. Musk additionally not too long ago said that he’s working with the coin’s builders to extend the coin’s effectivity.
Provided that Doge can’t do it. Large ache within the neck to create one other one.
— Elon Musk (@elonmusk) May 16, 2021
Enjoying With Blocks: Cryptocurrency transactions are processed by together with them in so-called blocks the place they’re saved eternally. Altering how that is executed may convey a number of benefits to the community.
The decrease block time means blocks may very well be created extra often and transactions may very well be processed extra rapidly. A bigger block measurement would permit extra transactions to suit right into a single block. And with decrease charges, transactions can be cheaper.
That being stated, these adjustments even have their downsides.
With a shorter block time and bigger block measurement, the processing energy and reminiscence required to run the community would improve, doubtlessly lowering Dogecoin’s decentralization by forcing community upkeep into the arms of a smaller variety of people with extra assets.
Whereas decrease charges would in concept lower the motivation given to miners to safe the community, this isn’t as a lot a clear-cut conclusion. With the opposite adjustments made to the community, the coin would have the ability to help many extra transactions, and that might in flip maintain the true incentive about the identical.
Study extra: How to Buy Dogecoin
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