This article explains What is Dogecoin, its uses, its block reward, Dogecoin Mining hardware and software, Dogecoin Mining Pool, Dogecoin mining with CPU, GPU, ASIC, android app and Dogecoin cloud mining, is mining dogecoin profitable? all are discussed in complete detail with faqs in the end.
If there were to be only one crypto coin then people only knew about Bitcoin.
The world of cryptocurrencies is full of coins, some of them are well known and most of them just come to steal people’s money.
Among those that are well known is a dogecoin.
Read also: What is Bitcoin and How Does it Work.
Billy Markus and Jackson Palmer thought to create a coin known today as dogecoin, which people in first thought as a joke but soon they realized, it’s not just a joke it’s a cryptocurrency they can trust on.
What is Dogecoin?
Dogecoin was launched on December 6, 2013, first considered as a joke cryptocurrency but soon reached a market cap of 60million dollars in 2014. Dogecoin has a likeness with “Shiba Inu dog” a Japan-based dog breed firm as its logo resembles them.
Dogecoin was founded by Billy Markus and Jackson Palmer, dogecoin first becomes the joke of crypto communities but soon everyone realized that dogecoin is not a joke, it’s a cryptocurrency here to stay.
Dogecoin fans have their own Shibe language and call themselves as Shibes.
The shibe language consists of funny broken English terms like “thankful to ya”, “have to works a lot” and more, dogecoin is among those coins that have a big loyal community and it’s growing every day.
What is Dogecoin used for?
In past doge was used for charitable donations and as sponsorships for sports.
Dogecoin is also used for tipping, when a person creates or shares good content in a community than just like, upvoting his content you credit the writer by giving him dogecoin.
Dogecoin is very famous in crypto trading. Many crypto exchanges like Binance exchange, kucoin, okex, and other offer DOGE/BTC. DOGE/ETH, DOGE/USDT, and many more dogecoin trading pairs.
Tangible and non-tangible items can be exchanged for Doge in communities like Twitter and Reddit.
Dogecoin has also been used in pornography, poker industries, and selling a house.
How to Mine Dogecoin
Mining dogecoin was a lot easy in the beginning because dogecoin mining software was designed in such a way that it does not support application-specific integrated circuit (ASIC).
But the manufacturer of ASIC found a way to mine dogecoin. These application-specific integrated circuits made mining very difficult for persons using CPU and GPU.
As there is continuous development taking place in the cryptocurrency mining industry the concept of merged mining made mining even more difficult for the single person using the CPU and GPU for mining dogecoin with his very limited resources.
Those using the merged mining process can mine dogecoin as well as other cryptocurrencies at the same time, so the dogecoin community is very concerned that only a few giant powerful miners will be able to take control of dogecoin mining.
The other drawback is that due to lack of consistent updates and a decrease in the dogecoin block reward there is less dogecoin for miners as a reward. The miners will only be profitable if the price of dogecoin goes up and the block rewards are also increased.
Dogecoin Mining Block Reward
Dogecoin uses a simple variant function with a target time of one minute per block and the difficulty levels are adjusted after every block.
After the 600,000th block, a fixed reward of 10,000 Dogecoin is paid per block.
|Block numbers||Dogecoin Block per reward|
For more details visit:
Requirements for Dogecoin Mining
Dogecoin mining relies on the Scrypt hashing algorithm so the profitable way to mine dogecoin is using the ASIC. You also must join any mining pool when you are mining dogecoin because it is the leading way to increase profits.
Remember for dogecoin cloud mining you don’t need to buy any type of equipment.
To start the mining process of dogecoin, you will need these basic requirements.
Dogecoin Mining Hardware
You can start basic mining with you Windows, Mac OS, or Linux system but more sophisticated mining will require ASIC and GPU.
Dogecoin Mining Software
The software required for mining dogecoin will vary according to the hardware you are using for mining. The software to mine dogecoin on CPU will no doubt be different from the software to mine the coin on GPU or ASIC.
- For GPU Mining you can use EasyMiner. It also supports ASIC mining.
- For CPU Mining you can use cpuminer.
- For ASIC Mining you can use cgminer and MultiMiner.
Dogecoin Mining Pool
Miners that only mine by themselves are sole miners, any reward earned by solo mining belong to that particular miner.
Nowadays mining doge with only CPU or GPU is not worthy as mining has become more complex and advance, but you can earn some profits using ASIC hardware, or you can join a mining pool to increase your mining power.
Mining pools are pools where a group of miners is gathered and such pool gives you the ability to combine your mining power with the other members of the pool and this helps you to increase your hashing power and members get a bigger chance to win the block rewards.
Any block rewards earned in a mining pool are then shared proportionally among the pool members.
In dogecoin mining, you must consider mining other Scrypt coins as well and then sell them for Dogecoin. Some factors need to be considered before joining any mining pool.
- How much reputation a pool has in the mining community, you must see the discussion forum and social media to figure out what people are talking about a certain pool.
- How much fees a mining pool is charging from its users, a lot of fees will result in minimizing your mining profits.
- What is the reward system of the pool and what minimum payout amount standard they have?
- What hash power the pool has, if the hash power of the pool is not adequate it will quickly mine coins for you.
- Whether a mining pool is running consistently or not, if the pool is not working consistently it is not mining coins regularly.
- Will that mining pool allows you to mine other cryptocurrencies than dogecoin or not.
Some good dogecoin mining pools are
After mining dogecoin you need a Dogecoin Wallet to send your coin into it, you can use any top exchange wallet for dogecoins like Binance exchange or any other trustable wallet like trust wallet.
You also need an Internet connection that is always available.
Cost of Electricity
You should have an estimate of the cost of electricity that will be consumed in the mining process.
Dogecoin Mining on Your PC
As the technology of mining is advancing, mining dogecoin with your Pc is now the old option, but yet if you are interested in it, here are the steps you need to follow.
- Download the wallet for your dogecoin and set it up.
- Sign up for any mining pool, there are many mining pools for dogecoin available, some of them are Multipool, Prohashing, Aikapool. Go to your desired pool and sign up. Enter your email, password, and make your account.
- Then you have to make your “worker ID”. This ID is different from your password. Go to the option of my work and make your worker ID by entering the required details, keep it safe and protected
- The next step is to download any mining software and connect it with your wallet and mining pool to start the mining process, But in PC there are two basic elements, Mining dogecoin with CPU and mining it with GPU.
Dogecoin Mining with CPU
In CPU mining you need to mine the dogecoin with your computer microprocessor, this is not effective nowadays as there are many better options available than this. For mining dogecoin with CPU, you can use cpuminer.
Dogecoin Mining with GPU
The other way of mining dogecoin from PC is by graphic card mining commonly known as GPU mining.
You need cgminer if you want to mine with you AMD or Radeon graphic card, but the new version of cgminer now does not support script mining which is the core of Dogecoin mining, for Nvidia graphics card or NVidia GeForce, you need to use CudaMiner.
- To start mining with GPU, download Cgminer or Cudaminer, depending on your graphic card.
- Join any mining pool, create your user name and strong password
- Create your worker ID on the mining pool.
- Connect your wallet with your mining pool and your mining pool with your mining software like cgminer to start mining with GPU.
Point to remember: Both method of mining dogecoin with CPU and GPU are almost obsolete and not profitable.
Dogecoin Mining with ASIC-Your Dogecoin Mining Rig
To mine dogecoin with you ASIC mining rig you need to have 24/7 internet with a minimum capacity of 0.7 GB per day, a trusted wallet where you can send your dogecoin after mining, a proper and cheap supply of electricity as mining rig use a lot of power so cheap electricity is a must for setting up your mining rig.
As the rig is working all day and night so you also need to consider the cooling options as well, the cooling option is very much necessary in the process of setting up the mining hardware.
The mining of dogecoin is based on the mechanism of Script algorithm, you need to have an ASIC mining rig that supports such mining mechanism, working with any other rig not able to work on Script algorithm will simply not mine dogecoin for you.
The better option for dogecoin mining hardware can be BW L21 and Bitmain Antminer L3++, these ASIC mining rigs have low consumption of electricity and better hash power rate. However, it’s up to you to find the best ASIC mining rig based on your purchasing budget and the cost of electricity you can afford.
Setting up your ASIC
These days ASIC comes with pre-installed software’s so you do not need to worry about downloading software’s and properly configuring them to run your mining rig as this required lot of technical knowledge and effort, these modern mining rigs require some basic settings and are ready for mining.
- First connect you ASIC to the power supply by making sure you plug in every required point and then connect your rig with the internet connection, the supply of electricity and internet should be smooth and must not be interrupted.
- The other step in setting up your ASIC is by joining a mining pool and creating a worker ID, the best mining pool can be Multipool, Prohashing Aikapool, you can also search by yourself for the one that suits you.
- If you ASIC is on your local network you need to determine the IP address of your ASIC. This can be done by downloading the IP reporter tool to your PC, this tool will show you the IP address of your ASIC, now use this IP address to access your ASIC, to log in enter the IP address on the web browser and a dialog box will open. You can check the documents that came with your mining rig to get the credentials for logging in or you can enter the default words root/root.
- After accessing your ASIC mining rig open its settings and add the mining pool that you have selected in the above step. Give complete details like worker ID, password, your dogecoin wallet address to make sure that you’re mining is always performing, after providing all details make sure to save your settings.
- Start your mining, after some time come back to check the status of your mining if you can find the hash rate of your mining rig this means that you have successfully done the setting and your ASIC is actively mining dogecoin for you.
Dogecoin Mining with Android App
There was good news in early days that Dogeminer had an android app but the bad news these days is that Google has banned all the mining apps.
You cannot mine your dogecoin with the android app, also the mining technology has advanced so much and the mining difficulty and energy requirement of the dogecoin has increased to that amount that the hardware of the mobile now cannot support any kind of mining.
Dogecoin Cloud Mining
What is cloud mining? Well cloud mining is the place where you do not have to buy any mining equipment, pay electricity bills, or do any other technical stuff but yet you can participate in the mining process by purchasing mining contracts and thus renting mining hardware for you from the larger mining firms.
Such firms run the mining rigs for you and charge you in the shape of mining contracts or from your mining profits and also charge you the cost of electricity.
Before joining any such pool you must read in detail there fee structure, different types of charges like the cost of electricity, and their term and conditions.
IQMining, NiceHash, Genesis Mining, and Eobot can be a good option to start dogecoin cloud mining.
Is Dogecoin Mining Profitable?
After all that discussion you could easily figure out that dogecoin mining with CPU and GPU are no more profitable, to get profits from mining you need to buy the mining rig and set them up.
The overall profitability of dogecoin depends on the cost of your electricity, hash power of the mining rig you are using, and no doubt the price of the dogecoin.
For dogecoin mining profitability you can also use the dogecoin cloud mining option but you must fully analyze the contract fees, amount of electricity fee they will charge, and other options before carrying.
You should confirm that the income you will generate from the dogecoin cloud mining service provider is more and giving you the profits after deducting all the costs.
Dogecoin Mining Calculator
Before mining, you must first calculate what kind of earning you are going to generate from mining.
Your calculation will depend upon the electricity consumed by your mining rig, the cost of electricity in your region, hash power rate, and the fees charged by the mining pool.
There are many calculators available in the market for calculating the mining profitability like
Frequently Asked Questions
How long it takes to mine one single dogecoin?
It depends upon what hash rate you are getting and your mining hardware, the better the mining rig the better the hash rate will be and the quicker you will be able to mine one dogecoin, normally Dogecoin mining block time is somewhere around one minute as compared to bitcoin that has block time around 10 minutes.
Will dogecoin ever reach to 1 Dollar?
The answer to this question is simply NO, the circulating supply of dogecoin at the current moment is 123,695,858,115 according to coinmarketcap which is insane and the worst-case scenario for dogecoin to reach 1 Dollar is that it has no fixed supply.
You can mine as many dogecoins you can and the circulating supply will keep on increasing because more and more coin will be added to it after mining making it impossible for dogecoin to reach one Dollar.
Can I mine Dogecoin on my Andriod or iPhone?
The answer is no, the hardware required to mine dogecoin is far more than the capacity of mobile phone to mine it plus Google has also banned all the mining apps making it almost impossible to mine the coin on the phone.
What is the total supply of Dogecoin?
Unfortunately, dogecoin has no fixed amount of coins or total supply meaning you can mine as many coins you want and add it to the circulating supply.
The current circulating supply of dogecoin is 123,695,858,115 according to coinmarketcap and this will keep on increasing with time as there is no fixed supply. That is the big hurdle in increasing the price of the coin.
What algorithm does dogecoin use?
Dogecoin is based on a scrypt algorithm, the scrypt algorithm is based on the method that uses a lot of selection time and requires big memory volume.
The scrypt algorithm also makes mining difficult and complicated on the application-specific integrated circuit (ASIC).
How many dogecoins I can mine in one day?
The maximum number of dogecoin you can mine in one day depends upon the hash rate you are getting, dogecoin mining difficulty, and your mining hardware; however, with average settings, you can mine more than hundred dogecoins per day.
Is dogecoin mining safe?
Mining Dogecoin is safe like mining other cryptocurrencies but its legality depends on which country or state you are living. Some countries where electricity is cheap like Argentina’s government do allow mining but some other countries do not allow you to mine any cryptocurrency.