The Dogecoin Foundation, a non-profit organization created to support the growth of the Doge ecosystem, announced over the weekend the launch of a new fund dedicated to the core developers of the cryptocurrency.

5M DOGE Allocated to Developers

The Foundation allocated 5 million DOGE to the core developers, worth approximately $360,000. 

“The Dogecoin Foundation has taken the step of moving 5,000,000 Dogecoin to the development fund, with the intent that this will be allocated to Dogecoin Core, the development of which is critical and to the benefit of the Dogecoin ecosystem,” the Foundation stated.

A new multi-signature wallet currently holds the funds. A multisig wallet is one designed to require multiple private keys to authorize the confirmation of transactions. Each private key will be held by different entities.

A multisig wallet usually requires the majority of its total private keys to confirm transactions. In the case of the Dogecoin Foundation’s multisig wallet, three out of five private keys will be required to settle transactions.

The fund will be managed by existing core developers of the network and the Foundation’s board of directors signatories.

The Foundation has chosen the following to serve as the custodians of its multisig private keys: Marshall Hayner, Patrick Lodder, chromatic, Michi Lumin, and Ross Nicoll, where Hayner is a new recruit to the Dogecoin board of directors.

These custodians do not have access to the funds as individuals or as a team.

To promote transparency, the Dogecoin Foundation published the address to the multi-sig wallet holding the new fund. The organization also stated that “transparency blog posts” showing all “expenditures and developments” will be released to the community.

Dogecoin Core Developer Dismisses Rumor of PoS Integration

The leading memecoin, Dogecoin, uses a Proof-of-Work (PoW) consensus mechanism. Following Ethereum’s migration to the Proof-of-Stake (PoS) mechanism, Dogecoin attained its current position as the second-largest cryptocurrency, after Bitcoin, using the PoW mechanism.

Rumors got out that the cryptocurrency is planning to migrate to the PoS mechanism. But Michi Lumin, one of Dogecoin’s core developers, took to Twitter that no such move was in the works.

Lumin stated that the influencers who spread the rumor do not have an “inside scoop” of the memecoin.

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