The past few weeks have seen Dogecoin (DOGE) turn into the hottest coin in the crypto verse and the hype appears to be headed south as the DOGE price following suit. However, the increased interest on the coin and its underlying technology has generated enough interest from high profile investors with its supporters thinking is ripe for an Amazon Inc. (AMZN) partnership.
Change.org has been in the forefront in pushing for cryptocurrency adoptions across various markets. The organization has taken the Dogecoin-Amazon partnership issue and has been collecting signature in support of the move and the crypto verse is eagerly waiting to see what happens. However, this might not be possible and here are some reasons why.
Dogecoin (DOGE) Market Entry Seriousness Doubts
The last four years have seen the DOGE platform play in the market as a joke digital asset and investors have not taken it seriously and the price performance in just two months is not enough justification for the coin to be listed on Amazon. Listing on Amazon cannot be measured by quarterly price and value performance.
The coin has been dormant for better part of 2018 in terms of development and the recent value spike is based on speculation and the yet to go live Dogethereum bridge with the Ethereum network. Amazon is focusing on partnerships that offer additional value to their current offerings and Dogecoin visibility at the moment will be a liability to the giant e-commerce outfit.
Dogecoin (DOGE) Volatility and Merchant Adoption
The community behind Dogecoin is vibrant but does not have the global appeal that Amazon can fall for. Most Amazon merchants are not comfortable with the volatility nature of digital assets and DOGE is not exempted. This will make it hard to convince them to adopt DOGE in their payment portfolio.
However, Dogecoin scores a first a tipping and gifting coin online, it might not be the best for the giant’s ever increasing demands. The cryptocurrency is not stable enough to cushion the price fluctuation and the merchants are not ready to bear the losses when the DOGE price nosedives. If a volatility mitigation mechanism can be put in place, integration could be easy but at the moment, the coin will have to wait a little longer.
Dogecoin Meets E-commerce Marketplace Listing Threshold
Many e-commerce sites have been hesitant in adopting cryptocurrency as a mode of transacting and Dogecoin is no exception. This has locked out consumers who exclusively use digital coins to purchase goods and services online. The recent surge in adopting the coin might not hold a lot of water at the moment but the network decentralization nature might be a perfect fit for Amazon.
The Dogecoin system is fast and brings with it a sizeable supply in circulation and transactions are done to micro-level but its capabilities to handle an influx of transactions is yet to be tested by a large-scale giant like Amazon. The only thing that Amazon can pick from the coin’s ecosystem is its low price that protects users from periodic price swings.
Dogecoin (DOGE) Route to Market not Amazon Enticing
Dogecoin has not been able to convince the entire investment community to come onboard but appears to have concentrated on wooing select businesses and charity foundations and this does not give the network a global appeal that the Amazon brand stands for. Despite being a peer-to-peer coin, it should traverse the globe with both value and adoption propositions.
However, with the recent price surge and resilience in a bearish market, DOGE is more of a coin to HODL and a good exit from volatility at the moment. Change.org will have an uphill task to convince Amazon to include DOGE as one of their official payments digital coins in the near future.