Dencun Upgrade Boosts Stability, Musk Hints at Dogecoin for Tesla, and Crypto.com Fined by Dutch Bank
Summary:
Ethereum's upcoming Dencun upgrade is expected to provide enhanced stability rather than reduced fees, according to Fuel Labs' CEO, Nick Dodson. In other developments, Elon Musk has hinted that Tesla might soon accept Dogecoin (DOGE) as payment, causing a significant spike in the crypto's value. Lastly, the Dutch central bank has imposed a $3 million fine on Crypto.com for operating without a proper license.
Ethereum's upcoming Dencun upgrade has the tech world abuzz, and Fuel Labs CEO shared with Cointelegraph that the prime advantage of the upgrade will be enhanced stability rather than fee reduction. Elsewhere in the world of cryptocurrency, Dogecoin saw a roughly 10% rise following Elon Musk's hint that his electric vehicle company Tesla may soon accept Dogecoin (DOGE) as a valid payment mode. Meanwhile, in the Netherlands, Crypto.com was slapped with a $3 million fine for operating without a valid license from Dutch authorities.
According to Nick Dodson, the co-founder and CEO of Fuel Labs, while many have their eyes on the Dencun upgrade’s promised transaction fee reduction for layer-2 scaling networks, the key benefit lies in fee stabilization. The central purpose of EIP-4844 is not about decreasing fees, but about ensuring fee stability and fostering an environment for increased capacity and scale.
Dencun's fee reduction for L2s is undeniably a boon for the industry, but Dodson stresses that the main prize is the network's large-scale stability and the capacity to manage fees for the influx of new users. This augmented network capacity, he added, will help to reduce layer-2 fees further with subsequent upgrades.
Elon Musk hinted during public interaction at the Berlin Gigafactory, Tesla's manufacturing plant, that Dogecoin might become an official payment method for buying Tesla cars "at some point". This statement came as a reply to an audience query about the future prospect of buying Tesla cars with DOGE.
Following Musk's suggestive response, investors were thrilled, causing the token's market price to spike significantly. Dogecoin rose from $0.172 to $0.188 at the time of reporting, showing a 9.3% increase as Musk's statement circulated.
It's worth remembering that DOGE already serves as a viable mode of payment for Tesla merchandise, and Musk emphasized his support for the altcoin with a reaffirmation of "Dogecoin to the moon."
In other news, Dutch central bank, De Nederlandsche Bank (DNB), fined Crypto.com for operating without proper registration. The financial institution imposed a hefty fine of 2.85 million Euros ($3 million) on the crypto exchange on October 23, 2023, but only disclosed it publicly on March 13. Over two years, Crypto.com operated and served a "significant number" of customers without having legal registration in the Netherlands.
Crypto.com finally secured approval from DNB in July 2023 and is currently listed as the 14th largest digital asset exchange by volume, based on CoinMarketCap data.
This news report doesn’t offer investment advice or recommendations. Every trading and investment decision incorporates risks, and readers should perform thorough research when making such decisions.
Note: Additional reporting provided by Geraint Price, Sam Bourgi and Felix Ng.
Published At
3/14/2024 3:52:20 PM
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