Coin Vs. Coin: AMP/DOGE
As cryptocurrencies become more and more adopted in the marketplace, two coins, AMP and DOGE, have emerged at the forefront. With AMP’s highly ambitious goal of being used as token collateral in every country, and DOGE’s goal of becoming the ‘currency of the internet’, there is clearly a race to the top of the crypto payment sector.
What is AMP?
Created by the Flexa network, Amp ($AMP) is a collateral token that confirms and secures any type of transaction. The Amp token uses a complex system to verify collateralization in any account, application, or transaction.
With a broad range of use cases, CEO Tyler Spalding, stated at this year’s Blockchain Futurist Conference that the company is looking to expand into every country and serve every kind of value transfer, even loyalty points.
The problem AMP faces, however, is that the benefit – its utility – also leads to its drawback. That is, AMP’s utility can be applied in many different ways in the market, such as AMP’s smart contracts which operate micro-distributions and continuous compounding.
But unless retailers and buyers are willing to adopt that utility, the entire loan-collateral business model collapses. Unless merchants and vendors understand the value add and can handle any risks, AMP simply won’t be used; nor can it be applied in any other capacity, as currently built.
What is DOGE?
Originally built as a memecoin to parody Bitcoin, Dogecoin ($DOGE) has quickly grown into a strong contender for payment processing in crypto.
Buoyed by the likes of Tesla’s Elon Musk and Robinhood CEO, Vlad Tenev, the Dogecoin Foundation has reconfigured their roadmap to pursue the coveted position of being the internet’s prime currency.
The Dogecoin Core dev team is working to build faster nodes through a diverse network, consolidating code for increased efficiency, and holding to the Dogecoin Standard for enhanced testing. These features and more are aimed at making DOGE more mobile friendly, and its adoption as a method of payment easier for retailers.
One major downside to Dogecoin is its unlimited supply. Five billion DOGE enter the market every year, perpetually. Unless these coins are absorbed by the market or the supply is cut off, scarcity will be mitigated and the price will drop.
Similarities
DOGE and AMP are both playing the long game of maximizing their use cases in extremely broad markets, globally; DOGE within the internet and AMP in every kind of transactions and asset value, worldwide.
Both are well positioned for mass adoption with solid development teams behind them; critics may decry their goals but there is hardly a competing crypto that can pull off what DOGE and AMP are trying to achieve.
Using crypto in the real world for payments can still be a clunky process. Each of these cryptos is easing that challenge; DOGE is streamlining mobile payments and AMP is applying its collateralization in every form of asset value.
AMP and DOGE can work together; DOGE payments can be collateralized by AMP, and DOGE can be used to pay off a crypto loan collateralized with AMP. This makes the adoption of cryptocurrencies much more fluid.
Differences
DOGE is a coin; AMP is a collateral token.
On Binance – the world’s largest crypto exchange – AMP can be staked and loaned out; DOGE cannot be loaned out or staked.
AMP’s interface of partitions and collateral managers are well-suited to fend off hackers, natively. DOGE is secured by a fee mechanism which reduces dust limits (the lowest amount of cryptocurrency needed to use the network) from 1 DOGE to 0.01 DOGE.
Final analysis
It will be interesting to see where these two cryptocurrencies go as Web3 grows. With approximately 330 cryptocurrencies in the payment sector, AMP and DOGE both stand out; not only for their unique benefits and services but also for their teams and leadership. So far, both of these cryptos have steered clear of scandal in a tumultuous period of turpitude.
While the market is still enduring the crypto winter, both AMP and DOGE are far from the $1 threshold; both are floating around $0.08 as of this writing. But despite each of their drawbacks, patient investors may see a rise in the coming years from these aspiring cryptocurrencies, both of which can maximize on market adoption.