Baby Doge Coin (BABYDOGE), a rapidly growing meme coin, has witnessed a surge in value, rallying 16% in the past 24 hours. A new DAO proposal eliminating transaction taxes, overwhelmingly supported by the community, is the primary driver behind this price increase. The proposal, if implemented, will discontinue monthly burns, potentially enhancing BABYDOGE's competitiveness against other top-tier meme coins in an anticipated crypto bull cycle.
Baby Doge Coin Proposes Elimination of Transaction Taxes, Raising Competition Stakes
In a significant development that may reshape the trajectory of Baby Doge Coin (BABYDOGE), a prominent meme coin built on the BNB Chain and Ethereum network, the community has overwhelmingly voted in favor of a new DAO proposal that would eliminate transaction taxes. This move has sent ripples through the cryptocurrency market, bolstering the coin's appeal and positioning it for increased competition within the meme coin landscape.
With the overwhelming support of over 99% of the BABYDOGE community, the DAO proposal has gained significant traction and is poised to pass. This proposal aims to remove the current 10% transaction fee that has been levied on crypto traders to facilitate monthly burns and ecosystem funding. By eliminating this fee, BABYDOGE intends to enhance its competitiveness in the bear market and capitalize on the incoming cryptocurrency bull cycle.
As outlined in the DAO proposal, "Lowering fees to 0% may make Baby Doge more accessible to a wider user base. A 0% fee may encourage more frequent usage and transactions. A 0% fee structure positions Baby Doge as a more attractive option compared to other memes with higher transaction costs, potentially drawing in new user adoption and use cases."
If the new DAO proposal is implemented, as is highly anticipated, BABYDOGE will no longer conduct its monthly burns. Currently, the BABYDOGE burn address holds approximately 51.5% of the total circulating supply, totaling an estimated value of $426 million. The proposal also states that "After testing the lowering of the fees on the Ethereum chain, we have seen demand for the same reduced fees on the BNB chain. There will not be burns each month."
In addition, the team has announced its intention to access the token vesting account that holds approximately 14.1% of the BABYDOGE supply, which equates to around $117 million. According to the DAO proposal, these funds will be utilized to bring on new team members and foster ecosystem growth. The team emphasizes that this proposal represents a new era for BABYDOGE, characterized by a community-driven approach and a drive towards increasing decentralization, akin to established cryptocurrencies like Dogecoin (DOGE) and Bitcoin (BTC).
In terms of market performance, BABYDOGE has experienced a notable surge in the past 24 hours, rallying by approximately 16% to trade around $0.000000002. This price action is attributed to the positive sentiment surrounding the DAO proposal. Additionally, BABYDOGE has recently broken out of a long-term downward trend and is currently retesting it. The coin has a fully diluted valuation of around $881 million and a daily average traded volume of approximately $17 million.
If the DAO proposal is approved, BABYDOGE will be well-positioned to compete with rival meme coins such as Floki (FLOKI) and Pepe (PEPE). The elimination of transaction fees will enhance its attractiveness and usability, potentially attracting a wider user base and driving adoption. The upcoming bull cycle presents an opportune moment for BABYDOGE to capitalize on its improved competitiveness and establish itself as a formidable player in the meme coin market.
