Five Dogecoin mining pools to use in 2021
Following the recent surge in DOGE price, many people have now turned their interest in this popular meme coin. Originally, the DOGE cryptocurrency was released as a fun coin about eight years ago. However, it’s currently one of the twenty largest cryptocurrencies, with a current market capitalization of over $5 billion, according to the market report on Coinmarketcap, as of February 5.
You could either make money from DOGE by trading, hodling or mining it. Most cryptocurrencies require mining – as Proof-of-Work (PoW) model. This is a critical aspect to secure the product blockchain, all also ensuring that new crypto is issued in the market through the process of block verification and reward. This is certainly the case for Dogecoin, and in this article, we will narrate how DOGE can be mined and reputable Dogecoin mining pools you can use in 2021.
How is DOGE mined?
If you want to start mining DOGE, there are some basic things you need to have first. First of all, you need hardware. You can start mining on a device that has a CPU, although it is not recommended you use your personal computer for this. This is because your PC is overworked in the process.
It is best to get a mining rig: a computer set apart for mining only. You should also consider getting Graphics Processing units (GPUs), as they are faster than CPUs. You can also get a Doge miner from the market if you feel like building your mining rig is stressful.
Once this is set up, the next thing you will need is an internet connection and then the DOGE mining software. Ensure you have a stable internet connection so your mining experience can go on smoothly. As for software, the kind of software you can use depends on your mining device. EasyMiner, CGMiner, and CuraMiner are some software you can use to mine DOGE.
Is DOGE mining profitable?
Before we answer this question, you have to understand that the Litecoin and Dogecoin networks are similar. Both are based on the Scrypt algorithm and have similar mining processes.
Following the price of the crypto itself, Dogecoin mining isn’t really that profitable: in fact, it is combined with Litecoin mining to make a decent profit. However, you do not need to be dismayed. You could still make a decent income by mining Dogecoin steadily. To stand a better chance of staying effective and profitable in the Dogecoin mining business, it’s recommendable to join a Dogecoin mining pool. Solo mining hardly brings in profit after you take out your expenses.
What is a Dogecoin mining pool?
This is a group or site that combines the effort of individual miners to produce a transaction block and obtain rewards. For example, if you had a hundred math problems to solve and you earned $10 for every problem you solved, it will be faster when done collectively as a group than as an individual?
This is the same way mining works. All miners combine their hashing power to mine faster and better. Everyone can make more money for themselves in a faster way, as rewards are shared between members. Before you jump into any Dogecoin mining pool, you need to verify some things.
You should find out how rewards are shared among miners, what fees you would be required to pay, and how secure it is. Other factors like hashing power and location should be taken into consideration as well. That said, here are the best Dogecoin mining pools you might want to check out for Dogecoin mining this year.
Proshashing is a Dogecoin mining pool that allows you to mine DOGE and actually receive payment in DOGE too. You can also decide to receive your Dogecoin mining reward in other cryptocurrencies like Bitcoin or Monero. A Pay Per Share system is used to distribute rewards to miners.
Prohashing allows you to get the best of your mining experience, as it makes payments into your wallet or bank account. You have to pay a fee of 4.99% to the pool, after which you can withdraw with no fees. This pool also supports the mining of coins like BTC, ETH, LTC, VTC, and XMR.
As one of the first Dogecoin mining pools, Aikapool can be used to securely mine DOGE in an easy manner. It is a pool of choice among beginners, as it is relatively easy to understand. Unlike Prohashing, the mining fee here is much lower: only 1%
Other coins that run on the Scrypt algorithm are mined here, too, so you can easily switch between coins. Miners’ rewards are distributed proportionally to work done on the network. Without registration, however, you cannot enjoy the full benefits of this site.
Multipool, as the name suggests, is a pool that supports the mining of numerous cryptocurrencies, including DOGE. With Multipool, you can “merge mine,” meaning that you can mine two similar cryptos at once. It also allows mining in 20 different coins and switches mining to the most profitable at a specific time.
As far as you reach the minimum withdrawal amount, you will be charged no fees. Payment is also made automatically, making it much easier than other platforms.
If you are looking for another good Dogecoin mining pool as a beginner, then you might want to go for 1Coinpool. Payment is given to miners using the proportional payments system and in accordance with the hashing power of each miner.
According to the website, 1Coinpool claims that there are no fees for mining, and an average of three blocks per week are mined. You receive your rewards directly into your DOGE wallet.
Founded seven years ago, this Dogecoin mining pool is great for those who want to combine both DOGE and Litecoin mining. It uses the Pay Per Share system to share miner rewards.
Primarily, payments are made in Litecoin but can also be made in DOGE upon request. It claims to be secure with a TLS-encrypted stratum connection.
Dogecoin mining in 2021 can generate a nice ROI when you join any Dogecoin mining pool, such as the ones listed above. Although it is possible to run mine Dogecoin individually, it will require more resources, especially a higher hashing power, to stay competitive in the mining business. You should also beware of fake addresses or apps that claim to mine DOGE.
Most of these harmful sites only harm your device and can steal your information. Ensure you calculate how much profit you might generate with a mining calculator, so you can easily determine whether your mining activities are really profitable.