Dogecoin soars in popularity, despite low transaction levels

23 Sep 2021

The Dogecoin meme remains strong within the cryptocurrency sector, despite DOGE transaction levels hitting four-year lows.

Several companies have announced DOGE adoption proposals this week, including Robinhood which unveiled plans for a new crypto wallet feature on its app in October that supports DOGE deposits and withdrawals. 

Dogecoin co-creator Billy Markus said on Twitter: “Okay we are allowed to overreact now Robinhood wallets is huge news for Dogecoin - it opens up so many users to the real utility of cryptocurrency!” 

In addition, commercial real estate tokenisation platform RedSwan announced on Wednesday it will accept Dogecoin for two digital real estate deals, worth $384 million.

“[Dogecoin] is on the cusp of transitioning from a ‘meme coin’ to legitimate institutional and transactional use cases,” said RedSwan CEO, Ed Nwokedi.

The two digital real estate deals are taking minimum investments of $1,000 — approximately 4,447 DOGE at the time of writing — and are offering annualised targeted investor internal rate of returns of 26% and 19% respectively.

Moreover, CEO of AMC Entertainment, Adam Aron carried out a survey of 140,000 people on Twitter asking whether the company should add DOGE to support crypto payments for tickets by the end of the year, Cointelegraph reports. The “Yes, for sure do it” response gained 68.1% of the votes.

Following the poll results, Aron went on to say: “It’s clear that you think AMC should accept Dogecoin. Now we need to figure out how to do that. Stay tuned!”

However, DOGE transaction levels have fallen to close to four-year lows, plummeting to 16,000 for the first time since December 2017.

The lack of on-chain activity is shown in DOGE’s price and market cap, with the price dropping 69% since its record high of $0.73 in the middle of May to $0.22 at the time of writing.