DogeOS Testnet Launch Fails to Move Dogecoin Price

The DogeOS testnet has officially launched for developers to build and run smart contract apps using DOGE as a fee token. Despite this significant milestone, the price of DOGE has barely moved.

The DogeOS network is built by the team behind the MyDoge wallet and works as a zero-knowledge (ZK) rollup, a layer-2 solution that bundles transactions and proves them with cryptography. This allows Ethereum developers to move existing apps over with minimal changes.

The launch adds a new use case for DOGE holders beyond payments and tipping, but the testnet DOGE comes from a faucet and holds no real value, creating no immediate demand for the coin. However, ecosystem backers see DogeOS as a turning point, with Timothy Stebbing, director of the Dogecoin Foundation, hoping it becomes a gateway for the next 100 startups on Dogecoin.

The official Dogecoin account on X called the launch a huge milestone and hinted at more ecosystem news. Meanwhile, DOGE ETFs posted record weekly inflows in late September, but Shiba Inu's Shibarium usage has collapsed despite years as the ecosystem's own layer-2.