Dogecoin Explores Layer 2 Upgrades as Foundation Official Weighs Risks and Potential

Dogecoin Foundation’s Stebbing proposes Layer 2 upgrades for smart contracts, tokenization; warns of potential scam risks. Stebbing urges open-source L2 protocols, collaborative competition; mirrors Ethereum’s L2 growth via Arbitrum, Base networks. Timothy Stebbing, a product lead at the Dogecoin Foundation, recently outlined plans for the meme-inspired cryptocurrency’s technical evolution. In a social media post, Stebbing proposed that Dogecoin adopt Layer 2 (L2) networks—secondary frameworks built atop its blockchain—to expand functionality. These upgrades could enable features like smart contracts, tokenized assets, and identity verification systems. However, Stebbing cautioned that such changes might also attract fraudulent activity alongside legitimate development. The age of the Dogecoin L2s is dawning.. It will bring change, some good and some bad. New scammers will rise amongst new legitimate businesses.. it’s a process that the community will deal with, graciously or not. In my opinion this is how Dogecoin needs to advance. The L1… pic.twitter.com/sQaSCSaIg1 — Timothy Stebbing (@tjstebbing) April 16, 2025 Stebbing stressed that Dogecoin’s Layer 2 projects should prioritize open-source collaboration, allowing different protocols to operate together while competing fairly. “Create transparent systems, collaborate widely, then let your work’s quality set you apart” he wrote. This approach mirrors Ethereum’s strategy, where L2 networks like Arbitrum and Base have reduced transaction costs and supported broader adoption. Dogecoin’s community, known for its grassroots online presence, could leverage similar upgrades to attract institutional interest in areas like stablecoins or asset tokenization, potentially increasing the token’s practical use. A shift to Layer 2 could also prompt Dogecoin to reconsider its current proof-of-work (PoW) consensus model, which requires energy-intensive mining. Ethereum’s transition to proof-of-stake (PoS) in 2022 demonstrated that alternative methods can maintain security while cutting operational costs—a lesson Dogecoin may follow if L2 adoption grows. Still, Stebbing acknowledged risks: new technical layers might expose users to scams or poorly designed projects, requiring vigilance from developers and investors. The Dogecoin network, initially created as a joke in 2013, now faces a crossroads. While its community-driven culture remains a defining trait, the push for Layer 2 tools reflects a desire to compete in a market increasingly shaped by utility. Whether these changes will align with Dogecoin’s informal roots—or dilute them—remains unclear. What is certain is that the path forward will hinge on balancing open collaboration with safeguards against exploitation, a challenge Stebbing and others at the Foundation aim to address head-on. Source: Tradingview Dogecoin (DOGE) is currently priced at $0.1555, showing a modest daily gain as it continues to recover in a formal or creative style, maintaining a 500 word count. You must only respond with the modified content. Change the tone of my title “Dogecoin Foundation’s Stebbing proposes Layer 2 upgrades for smart contracts, tokenization; warns of potential scam risks. Stebbing urges open-source L2 protocols, collaborative competition; mirrors Ethereum’s L2 growth via Arbitrum, Base networks. Timothy Stebbing, a product lead at the Dogecoin Foundation, recently outlined plans for the meme-inspired cryptocurrency’s technical evolution. In a social media post, Stebbing proposed that Dogecoin adopt Layer 2 (L2) networks—secondary frameworks built atop its blockchain—to expand functionality. These upgrades could enable features like smart contracts, tokenized assets, and identity verification systems. However, Stebbing cautioned that such changes might also attract fraudulent activity alongside legitimate development. The age of the Dogecoin L2s is dawning.. It will bring change, some good and some bad. New scammers will rise amongst new legitimate businesses.. it’s a process that the community will deal with, graciously or not. In my opinion this is how Dogecoin needs to advance. The L1… pic.twitter.com/sQaSCSaIg1 — Timothy Stebbing (@tjstebbing) April 16, 2025 Stebbing stressed that Dogecoin’s Layer 2 projects should prioritize open-source collaboration, allowing different protocols to operate together while competing fairly. “Create transparent systems, collaborate widely, then let your work’s quality set you apart” he wrote. This approach mirrors Ethereum’s strategy, where L2 networks like Arbitrum and Base have reduced transaction costs and supported broader adoption. Dogecoin’s community, known for its grassroots online presence, could leverage similar upgrades to attract institutional interest in areas like stablecoins or asset tokenization, potentially increasing the token’s practical use. A shift to Layer 2 could also prompt Dogecoin to reconsider its current proof-of-work (PoW) consensus model, which requires energy-intensive mining. Ethereum’s transition to proof-of-stake (PoS) in 2022 demonstrated that alternative methods can maintain security while cutting operational costs—a lesson Dogecoin may follow if L2 adoption grows. Still, Stebbing acknowledged risks: new technical layers might expose users to scams or poorly designed projects, requiring vigilance from developers and investors. The Dogecoin network, initially created as a joke in 2013, now faces a crossroads. While its community-driven culture remains a defining trait, the push for Layer 2 tools reflects a desire to compete in a market increasingly shaped by utility. Whether these changes will align with Dogecoin’s informal roots—or dilute them—remains unclear. What is certain is that the path forward will hinge on balancing open collaboration with safeguards against exploitation, a challenge Stebbing and others at the Foundation aim to address head-on. Source: Tradingview Dogecoin (DOGE) is currently priced at $0.1555, showing a modest daily gain as it continues to recover ” for a more friendly approach. Keep the content length about the same. You must only respond with the modified content.