Dogecoin Merged Mining
Dogecoin Merged Mining
Dogecoin mining refers to earning new dogecoins by confirming transactions on the blockchain. It is possible to generate profits in cryptocurrencies by confirming blockchain network transactions. Such cryptocurrencies include Dogecoin.
A blockchain network is a massive digital ledger where the crypto transaction is stored. The ledgers are stored in nodes that are multiple interconnected computers. The nodes help to confirm each transaction you make on the block. Anytime your transactions are confirmed, you will get a reward – a new cryptocurrency. The process of receiving new digital coins as a reward for every successive verification of a transaction is known as “Mining.”
You can relate the original mining of valuable minerals like diamond, gold, etc., to the mining in cryptocurrency. However, in cryptocurrency mining, you must search for new coins with your computer instead of digging the ground.
Dogecoin can be mined through an auxiliary proof-of-work mechanism –AuxPoW. However, it is a bit distinct from Proof-of-work (PoW), as one can mine it together with other cryptos that share the Scrypt algorithm.
Dogecoin Supply and Demand
Dogecoin has no fixed upper limit because it is an inflationary cryptocurrency. However, when Dogecoin was made, it fixed its coin cap at 100 billion coins. Furthermore, the block reward was fixed at 100,00 coins and continued until the block of 600,000 was attained. Today, 10,000 coins are fixed for one block, which will continue until the 100 Billion coin gap is attained.
The hard cap supply of Dogecoin has become evident. For that reason, the cost of the coin has begun to reduce substantially all through 2014. To prevent attacks on the coin's network, the creators had to enable "Merge Mining." In Merge Mining, you can mine into two chains running on the same Scrypt-Algorithm. For example, Dogecoin and Litecoin are merge mined. Hence miners can mine them simultaneously.
Requirements and processes
Before you embark on Dogecoin mining, you must consider basic requirements and processes, whether you are a beginner, intermediate or advanced miner.
If you are a beginner, you need a desktop or laptop. It would help if you used a high GPU – Graphics Processing Unit computer. Your system's GPU should correspond with the one video editors, and gamers use. With that, you can earn profits but not as much unless you invest more time and resources into mining.
As for intermediate miners, you need to upgrade a little by purchasing an Application-Specific Integrated Circuit (ASIC). This device, combined with your computer with a well-enhanced GPU, can help you begin a personal mining operation.
Finally, if you are an advanced miner, you should possess a whole rig of GPUs for gamers or ASICs as many as possible. As an advanced miner, you commit all to crypto mining, so your investments must be massive. It’s not strange for you to spend hundreds and thousands of dollars to purchase the required hardware for mining since you want to make maximum earnings in your Dogecoin mining.
Computers with better processing power are more suitable for solving those cryptographic puzzles, resulting in earnings. For example, GPUs are more powerful than CPUs. Therefore, you must bank on that to make the most of your crypto mining. Therefore, GPUs like RTX 2060 series and beyond are suitable for mining. In addition, if you are using a laptop, ensure your cooling system is good enough. Mining is an intensive process; hence it can cause your system to get heated up. In this case, I recommend using a desktop computer with a better cooling system than a laptop.
One more important thing required for Doge mining is your Dogecoin Wallet. Before mining DOGE, you should have an online or hardware wallet where you put your DOGE. Then, you can go to the official Dogecoin website to download the dogecoin wallet application.
Potential earnings from Dogecoin mining
Before knowing how much profit dogecoin mining will yield, you must consider four factors. They include
- Energy expenses
- Hash power
- Dogecoin current price
- Block reward
In all four, the most important factor is the cost of energy that you will use to run the mining machines and gadgets. The geographical location of the miner can affect this factor.
You can manage the other factors with the knowledge of the capability of the GPU you need to purchase and the time when it is necessary to get it. As you search for more enhanced GPUs which can improve your earning rate, you also have to consider the recent price tag of Dogecoin. It would help if you still recovered the expenses you made while upgrading your GPU. Invest or start mining your Dogecoin at a reasonable price, so you don’t have to spend years recovering the expenses you made while upgrading to a better GPU.
In addition, don’t expect the price for Dogecoin mining to be always favorable. You should purchase a more powerful GPU to mine other cryptocurrencies when Dogecoin’s value is not worth mining.
A profitable GPU can earn you around 50 to 2 dollars daily, depending on the recent Dogecoin price. A more powerful GPU can earn up to 10 to 50 dollars daily.
IS IT EASY TO MINE DOGECOIN?
Compared with Bitcoin, Dogecoin is about a million times easier than mine. Nevertheless, the miners who make significant profits are the ones who have committed their entire rigs to mining. It is easy to profit while mining DOGE, but don’t think you will become a millionaire overnight if you don’t invest well enough in a good rig.
Today’s dogecoin mining has emerged with a problem: you can no longer mine Dogecoin directly as before. This was because of past attempts to attack the network. Dogecoin has to protect itself from a 51% attack, so it has to merge with another coin- Litcoin. Now it is virtually infeasible to mine Dogecoin directly as a price paid for the network's security. Now, as you mine, you obtain another cryptocurrency converted into Dogecoin.
Notwithstanding, it is still convenient having to exchange for a DOGE. If your mining program has the choice to mine for DOGE, when you start mining, you are made to mine another cryptocurrency, which is then traded for DOGE automatically.
How much time is required to mine one Dogecoin?
The time to mine 1 DOGE relies on the pool hash rate and the mining equipment. Nevertheless, one block uses one minute to produce 10,000 DOGE. This implies that you can mine one Doge in less than a minute.
Step-by-step guide for Dogecoin Merged Mining
- Head over to your preferred mining site, an example of which is unMineable.com
- Tap the Download button. Or right-click the button and hit "save link as."
- Unzip the download folder containing the application. Then, right-click the app and unzip it to your desired folder. Get WinRAR if you do not have unzipping software.
- You will see the software after unzipping. Then, click to run as administrator. If you encounter problems running the application, check your anti-virus and firewall; they may hinder your mining app's functioning.
- Next, you will see the mining application you need to begin with, like AuxPow Miner. Note that the AuxPow Miner is for GPU downloads. If you are using a CPU, you need to download xmRIG. Make sure to download AuxPow Miner or xmRig from GitHub. Downloading from other sources may risk the safety of your device from malicious software. Github is the only reliable site to download open source software.
- Know the operating system you are using to find the suitable program you need to download. You are good to go as a Linux/window user, but Macs are not recommended for mining because they do not come with GPUs.
Select the mining application that corresponds with your OS and GPU. Then, go back to the downloaded and extracted software, click on the folder icon, and look for the .exe files that support your OS and GPU.
If you find it difficult to locate the .exe file for your device, right-click on the programs and find the properties section. That is where you will know what kind of file it is.
- After selecting your mining software, tap next. You will then see a space where you can copy and input your wallet address. You can find the space below your wallet's "receive" section. You will find the space below the "Much Receiving Addresses" section using the Dogecoin Coin Wallet.
- Click Start. When you do that, you should see the Hasrate being shown. If you are not seeing it, then you have not started mining.
Once you see the Hashrate, then your dogecoin mining has started.
Dogecoin Merged Mining Conclusion
The innovations of cryptocurrencies keep taking a new turn with each rising day. Dogecoin- blockchain technology is open-source, decentralized, peer-to-peer, and anonymous. Dogecoin is the most successful AuxPoW merge mined coin to date and it was indirectly derived from Bitcoin because it was initially forked from LuckyCoin, a fork of Litecoin, which utilizes a similar codebase as Bitcoin. Though it can be tricky, you need to follow the steps in this article, and you are on your way to earning well from mining.
