Did you know that Dogecoin (DOGE) was intended as a joke? The
creators made DOGE as a mechanism to enable users to tip each
other for fun social media content. Despite the fact that DOGE
set off on a whimsical foot, it’s become one of the most popular
cryptocurrencies out there.
When it comes to mining DOGE, the fastest and most profitable
way to do so is using ASIC-driven hardware, a rig that uses
application specific integrated circuits or ASICs. You also need
to be a member of a DOGE mining pool. In short, you need three
basic things in order to start mining Dogecoins:
A mining rig, you are better off choosing ASIC hardware Your
choice of Dogecoin mining pool – we will list some below The
right software configuration Mining Dogecoin can be profitable
There are a couple of reasons why mining Dogecoin instead of
another coin is a good idea. First, transactions on the Dogecoin
blockchain happen quickly so it means that DOGE mining pools
tend to make payouts every 24 hours.
Over and above quick payouts, you can also rely on consistent
revenue from Dogecoin. As a result, mining Dogecoin is efficient
and profitable – and a good prospect. There are also plenty of
markets where you can sell your Dogecoin which means that it is
worth considering Dogecoin mining to generate a daily income for
yourself.
How to mine Dogecoin
DOGE is based on the Scrypt hashing algorithm and for that
reason the best way to mine it is using something like the
Antminer L3++ as this device makes use of ASICs. Furthermore,
you should seriously consider joining a mining pool when mining
DOGE coins because it is simply the best way to maximise
profits.
What does it mean to join a mining pool? It’s simple really: you
add your mining power to a group of other people’s mining
capabilities so that collectively you can achieve a higher hash
rate – which means that it becomes quicker to solve the problems
that lead to a crypto block award. In contrast, mining a single
block on your own can take months or even years which means you
will wait a very long time for any kind of reward, and you will
have costs to cover in the meantime.
What’s required for mining DOGE
There’s a couple of things you need in place to mine Dogecoins.
Your internet connection is the first, and we’ll suggest that
you have uncapped usage on your connection, but make sure you
have at least 0.5GB per day available. Next, you need a wallet
to store your DOGE, you will also use this wallet to cash out
your Dogecoins. DOGE has a free wallet which you can try, but
many wallets support DOGE. So, the four things you need are:
An ASIC miner as your mining rig
Internet that’s 24/7, always-on An estimate of how much power
you will consume with your rig A trustworthy crypto wallet which
can receive your Dogecoins Other important things you should
think about Mining Dogecoins effectively and risk-free involve a
couple of other complexities. Keep in mind that your mining rig
will use a lot of power, so make sure your home or facility’s
electrical power grid can support the power consumption of your
mining rigs, particularly if you have several units.
Because your rigs will work around the clock you should also
account for heat build-up because these hardware units can
generate a lot of heat. You need to cool your rigs so that you
can make sure they keep on working 24/7 and to make sure mining
performance stays at its maximum. Overheated machines can also
be noisy.
The planning guide to follow will explain what you need to do to
deal with the potential power, heat and noise issues generated
by ASIC mining rigs. One other thing: the lower your latency is
on your internet connection, the better your mining rigs will
perform – you’ll be able to notify the blockchain of a solved
block faster, so a competing miner won’t accidentally beat you
to claiming a solved block.
The best mining rig to buy
Recently, ASIC mining hardware was released which is able to
mine coins using the Scrypt algorithm, that includes Dogecoin.
Amongst your current options we think Bitmain Antminer L3++ is
really your best option because it offers a good balance between
electricity consumption and hashing power – and of course,
price. In comparison the BW L21 has a low hash rate and also
uses less power but the price is far higher for this ASIC rig.
Configuring your ASIC hardware and software
Because you are mining DOGE with an ASIC rig you don’t need to
worry about tricky software downloads and configuration anymore.
ASICs come with pre-configured software pre-installed which
means you are ready to get going by doing some basic
configuration. Here are the steps:
Connect your ASIC rig to the internet and supply electricity
Connect your ASIC to your power supply of choice. It’s easy to
do this but do make sure you plug in every connector, you also
need to plug your power supply into your power grid, of course.
Don’t forget to plug the LAN cable in too.
Choose the Dogecoin mining pool that suits you best
You should have a look at the popular DOGE mining pools and
weigh up how these pay out rewards, what the fees are for mining
and also make sure the payment method suits you. Some of the
best pools include Aikapool, BlockMasters and Multipool. Once
you’ve picked a pool you can go to the mining pool webpage and
create workers, if the pool requires it.
Determine the IP
One way to find the IP address for your mining rig is to access
your router – look in the DHCP list and find the associated host
which might be Antminer, for example. Note the associated IP
address.
Alternatively, download the rig’s IP reporter tool to your
computer, this should show you a window where you can trigger a
search – in turn, the tool will report what the IP address of
your mining rig is. Of course, this method will only work if
your mining rig is on your local network.
Access your mining rig via it’s web interface
To access your mining rig, simply enter its IP address into your
web browser. You should get a dialog box which allows you to log
in, usually the credentials are simply root/root. But, you can
check the manual shipping with the rig for the default
credentials.
Supply your mining pool’s details
When you’ve accessed your rig you can open the settings menu so
that you can add the mining pools you want to contribute to.
Make sure you supply complete details so that you can ensure
your mining is never halted.
You need to enter:
The URL – for example, stratum+tcp://aikapool.com:3433 Worker –
MyDOGEWalletAddress Password – -p c=DOGEPASS,mc=DOGEPASS If you
don’t set out the payout coin you risk a payment getting sent
via the incorrect cryptocurrency.
Save your configuration Make sure to click save + apply to fix
your configuration. It is also worth checking into the status of
your miner after a while, see if you can find a hashrate – this
indicates that your ASIC is performing and actively mining.
Mining DOGE in the cloud
Like other cryptocurrency, you can mine DOGE using a cloud
platform, which could be attractive to you if you don’t want to
faff with anything technical, prefer not to make an initial
investment or simply don’t want to risk the electricity bills.
When you use cloud mining you are basically asking a third party
to do all the work, in exchange for a payment. So, always check
the fees involved with cloud mining and compare it to your
mining profits.
You might find some cloud mining vendors offer a couple of
months of free mining. However always make sure you are
completely aware of all terms and conditions. Jup Trader can be
a good option here.
Calculating Dogecoin profits
You always need to check your potential earnings before you
start to mine, but you can use our simple calculator. All you
need to do is to fill out the power consumption of your ASIC
rig, the rate at which it hashes, electricity prices in your
region – and the fee charged by your mining pool. Tap calculate
to see your results.
Alternatively, to just see the pure sum of money you can make,
only complete the pool fee and the hash rate. Note that, if you
choose to use cloud mining, there will be a fee involved that is
a part of your cloud mining contract so you need to make sure
that the income you generate from mining will cover the price
you pay for your cloud mining contract.
Keep in mind that the results below will vary depending on a
range of factors which will change all the time – from block
reward, to the value of DOGE and of course the overall network
difficulty. We can show you an estimate for today, but the
results for tomorrow would be very different.
Common questions about Dogecoin
How long will it take me to mine one DOGE?
It depends on your mining hardware, but by example the BW L21
can hash at 550 megahashes per second, which means you can mine
one DOGE in less than an hour.
What’s the maximum I can mine in a day?
Use our calculator above to work out the value of the coins you
can mine in a day, it will provide you with an approximation.
Should I mine DOGE?
Well, work out if the money that you get from selling the DOGE
you earn will cover the costs of mining it – if so, you should
consider mining Dogecoin.
Is there a fixed supply of DOGE?
Unlike some other cryptocurrencies, there is no limit to the
supply of Dogecoins – as such you can’t estimate when the very
last DOGE will be mined.
Is DOGE mining legal?
For the most part, yes – many countries ranging from Canada and
the US through to Russia are completely open to cryptocurrency
but some countries including Morocco, Algeria, Bolivia and Nepal
will have limits on both mining and trading of cryptocurrencies.
More about Dogecoin
Billy Markus (from Portland in Oregon) created a coin which he
hoped will be fun and easy to access. Since then, Dogecoin
(DOGE) has achieved a big market cap. Around the same time
someone called Jackson Palmer was asked by student on Twitter to
make the idea popular. Jackson used to work for Adobe Systems in
Australia, but as a side project decided to buy the domain
dogecoin.com, adding some basic website elements.
Markus heard about it and the two decided to push Dogecoin,
which was derived from Luckycoin – on its own a version of
something called Litecoin. Dogecoin is based on the Scrypt
algorithm and DOGE was released on the 6th of December in 2013,
quickly becoming a sensation.
Dogecoin is a fun project – from the whimsical plans behind the
coin through to its mascot, a Shiba Inu. It’s no wonder it has
become a sensation on the internet – and it also brings solid
opportunities to make profits by mining it.
The team behind DOGE
Jackson Palmer and Billy Marcus worked together to launch
Dogecoin, but the credit for creating DOGE is given to Billy
Marcus. Over time the DOGE team is trying to make Dogecoins even
more accessible and even more fun – the idea is to make it more
widespread than Bitcoin.
It is a close community and you can easily get your questions
answered by getting in touch with the DOGE team. Dogecoin’s team
is also know for raising funds for good causes, including the
Dogecoin Foundation – it’s intended to get people to use
Dogecoin for charity causes.
The DOGE hashing algorithm
Litecoin and Dogecoin uses the same algorithm for hashing – it
is called Scrypt, a result of the SHA-256 hard fork of BTC.
Appearances are the Scrypt is in fact both more efficient and
also works more quickly than the BTC hashing algorithm.
The mining block time for DOGE is just about one minute, while
the network difficulty is much less than it is for Litecoin –
which is 2.5 minutes block time – and of course 10 minutes in
the case of Bitcoin.
Interestingly, when you mine DOGE you can do it at the same time
as mining Litecoin. Litecoin is arguably more stable and has a
bigger role in the cryptocurrency market than DOGE, so you hedge
your bets, in effect. Mining DOGE and LTC simultaneously can
maximise your mining income.
DOGE forks
It is likely that DOGE will incur a hard fork sometime soon. A
new project on Ethereum called Rinkeby will be using DOGE as a
test asset – it’s cause a lot of chatter in the cryptocurrency
sphere. The expectations is that something called Dogethereum
(DOGX) is going to separate from DOGE’s original chain at some
point.
There has never been a hard fork of DOGE, this will be the first
one and the plan is to make an alternative cryptocurrency which
will be even faster than DOGE for processing transactions, while
also making use of smart contracts which runs on Ethereum’s
blockchain. Users of DOGE and investors in DOGE are rethinking
the value of DOGE as a result.