Like all cryptocurrency holders or enthusiasts, we know that Elon Musk has been advocating Dogecoin (DOGE) as if it were its own crypto-currency for several months, even years now..
For example, in December 2021, Elon Musk claimed that Dogecoin was a better alternative to first cryptocurrency on the marketthe Bitcoin, during an interview with the famous podcast host, Lex Friedman.
He said, “Dogecoin actually has a much higher transaction volume capacity than Bitcoin, and the cost of a transaction, the Dogecoin fee, is very low.” “Right now, if you want make a bitcoin transaction, the price of this transaction is very high. So you can’t use it effectively for most things. So is he right, or is he overstating Dogecoin (DOGE) too much?
Is Elon Musk overestimating the Dogecoin (DOGE) cryptocurrency?
In principle, Elon Musk is correct in asserting that Dogecoin is capable of performing more transactions per second than Bitcoin at the base layer.
However, Bitcoin has evolved through what is known as the secondary layer “Lightning Network”. This second layer simply allows for cheaper and faster transactions for the Bitcoin cryptocurrency.
This second layer is so much faster and cheaper thanit exceeds the technological capabilities of the cryptocurrency advocated by Elon Muskthe Dogecoin, and all this with extreme decentralization. Which leads us to think that perhaps the only advantage Dogecoin has over Bitcoin is that its logo features a beloved dog by the greatest number.