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Insights from Dogecoin — cryptocurrency should be supported by technology

In recent years, due to the soaring price of bitcoin, many cryptocurrencies rode the wave up. One particularly impressive example is dogecoin, which originated as a “joke coin”, ended up attracting a lot of attention because of its soaring price.

Dogecoin was born in 2013. At that time, the price of bitcoin started to increase. In order to satirize the speculative activities in the cryptocurrency market, Jackson Palmer, an employee at Adobe, launched dogecoin with the popular doge as its logo, with the intention to make fun of bitcoin. However, dogecoin became widely loved by the community, and in the following years, it experienced several sharp rises with the fluctuation of the market. In recent times, almost all of them have been triggered by Musk’s tweets.

The latest one was on the afternoon of April 28, when Musk’s tweet led to the dogecoin rising more than 20% that day. Previously, on April 15, Musk tweeted the Doge barking at the moon, and dogecoin rose by 50% on that day.

Nowadays dogecoin is nearly as popular as bitcoin is, and because of the low price threshold, combined with the multiple promotions by Mask, dogecoin has become the preferred digital asset for many common people.

However, after digging deeper, we will find that compared with bitcoin, dogecoin has neither actual application scenarios, nor network system maintenance, which are serious concerns. A truly valuable coin needs to be able to stand the test of time. If Musk no longer “advertises” for dogecoin in the future, and people’s attention to dogecoin drops, how will happen to dogecoin in the future?

GDF believes that the value of cryptocurrency should be reflected by the development and real application of blockchain technology. The promotion of currency price by hype should not be the only driving force for blockchain development.

Blockchain has been used in many industries because of its decentralized, tamper-proof, open and transparent characteristics. GDF has fully applied the above characteristics of blockchain to solve the problem of how to share data. For example, since data cannot be tampered or deleted, and can be traced, blockchain is a strong candidate for anti-counterfeiting initiatives; In regards to ensuring the authenticity and credibility of data, blockchain is also the perfect tool for verifiable data ownership proof”; The distributed node of peer to peer means data storage is not centralized and the decentralized data layer enables significantly higher grade data encryption and sharing. Blockchain technology can reduce the cost of trust and disintermediate–its high expansibility and inclusiveness make large-scale data collaboration possible.

GDF will provide the technical foundation for the wide application of blockchain technology in various industries, including medical, financial, education and recruitment, e-government, etc, all of which requires privacy and personal data protection. In order to be traceable and achieve real data sharing and federation(for example, in the medical field, the ability to protect privacy and safely learn from data federation of medical history, prescription data drug tracing, formulation history and even long-term effects, etc.)

In the long run, the wide use of GDF’s technology,the GoodData blockchain, can expedite the digitalization and interconnection of big data, encourage digital asset usage, improve resource allocation and monetization of data and information transfer, and truly achieve an intelligent digital economy.

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