Bitcoin layer-2 network GOAT will soon let dogecoin (DOGE) users stake their tokens to earn fixed yields in BTC, with plans for additional memecoin-based financial applications later for users to earn “even greater rewards” on DOGE holdings.
GOAT Network, whose mainnet is yet to be released, has so far let users lock up BTC to earn network rewards in a process colloquially called staking. The network’s ecosystem — when built — will let bitcoin holders participate in various decentralized finance (DeFi), such as lending or trading, without giving up ownership of their assets.
DOGE prices have more than doubled in the past 30 days on an Elon Musk-linked trade and the virality of non-governmental agency Department of Government Efficiency (D.O.G.E.)
Besides its “long, colorful, and wildly successful history,” the GOAT Network team said it chose dogecoin for its strong “community vibe that has now a U.S. government agency called D.O.G.E. named after it,” and the coin being “ready for the next phase of its journey.”
“This way, Dogecoin investors can weather the volatility of crypto without paper-handing DOGE before its time has come and, in the process, earn digital gold, which is now being adopted by corporations, institutions, and nation-states,” the team said in a release shared with CoinDesk. “So, by adding Dogecoin to its rapidly-growing ecosystem, GOAT Network is positioning itself as the ‘home of The People’s Coins.”
Bitcoin DeFi has surged in the past months on various catalysts. Just a month ago, the total value locked (TVL) in the space was near $900 million, which has now surged past $4 billion, per DefiLlama data.
GOAT Network uses a system (called a sequencer) where transactions are sorted and grouped off the main blockchain before being sent there for final processing. To operate a node in this system, an entity needs to lock up at least 100 BTC. However, those with smaller holdings can still link their assets to a sequencer to help run the network and earn yields.