DRC-20 tokens drive parabolic move in daily Dogecoin transactions

The number of Dogecoin transactions spiked higher thanks to the recent introduction of the DRC-20 token standard.

Dogecoin transactions spike

Using data compiled from bitinfocharts.com, Mishaboar noted that daily Dogecoin transactions had gone parabolic recently — peaking at around 630,000 on May 14.

While this peak fell marginally short of Bitcoin, it was still enough to surpass Litecoin — which had around 350,000 daily transactions then.

It was noted that Bitcoin and Litecoin daily transactions have since trended upwards, as Dogecoin’s daily transactions take a dip.

Behind this move is the introduction of the DRC-20 fungible token standard, with Mishaboar saying users are piling into the Dogecoin network in a minting frenzy.

Many have been rushing to mint these “tokens” over the past two days.

Daily transactions on Dogecoin, Bitcoin, and Litecoin
Source: @mishaboar on Twitter.com

A factor behind the interest appears to be several Twitter accounts pushing the narrative that DRC-20 is the new BRC-20 — with tokens minted on the former having “100x potential.”

BRC-20 tokens hit a peak market valuation of $1 billion on May 8, driven by meme coin FOMO. Following the market downturn, the market cap valuation has since sunk to $540 million.

In conjunction with Pepe, the ERC-20 token that ignited meme season — suffering a 61% drawdown since its May 5 peak price — some wonder if the momentum for meme coins has ended for this cycle.

What are DRC-20 tokens?

DRC-20 tokens rolled out on May 9 and follow a similar technical setup to BRC-20 tokens.

Like the BRC-20 standard, digital artifacts are inscribable on each of the smallest indivisible units of DOGE — known as elons — of which there are 100,000,000 in a Dogecoin.

Inscriptions can contain “arbitrary content,” which creates Dogecoin-native digital artifacts – fulfilling qualities that include fungible and non-fungible tokens (NFTs) without a sidechain or separate token.

In a play on Bitcoin Ordinals, this standard was nicknamed Doginals by Cheems — a Solana-based meme project that deployed on the new DRC-20 standard.

Being early days, a compilation of DRC-20 tokens does not exist yet. However, in sharing minting instructions, Enigma named several upcoming DRC-20 tokens in Cheems, Dogewow, Misu, Pepe, and Meme, among many others.

The post DRC-20 tokens drive parabolic move in daily Dogecoin transactions appeared first on CryptoSlate.



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