The world of cryptocurrency continues to grow every day, and alongside it, Internet memes and jokes bloom and flourish in the online world. These two things might seem like they have little in common, but when it comes to Dogecoin, they overlap seamlessly.
How to start mining Dogecoin?
Dogecoin is a Script-based cryptocurrency that saw its start in 2013, with its name inspired by one of the most famous internet memes of all time. While not as popular as Bitcoin, Ethereum or Litecoin, Dogecoin is still reasonably well-known and reigns as one of the top few most popular forms of cryptocurrency in terms of transactions. If you’re new to cryptocurrency mining and want to start, Dogecoin is a decent currency, to begin with as it is relatively cost-effective. There are a few things you need in your Dogecoin mining rig set up.
Hardware is the most important part of cryptocurrency mining. Many make the mistake of thinking they can use their laptops or handheld devices for mining, but this is far from the case. Cryptocurrency mining takes up a lot of processing power and is often too much for single devices, leading to overheating and expensive damage.
What kind of hardware is best for Dogecoin mining? The two main options for a rig that you will come across are ASICs and GPUs. Let’s run through what each involves.
ASIC stands for application-specific integrated circuit, and as the name suggests, they are designed to be able to perform only one particular task. Essentially, these setups mine one kind of coin in as efficient a way as they can, which makes them rather limited in terms of functionality.
ASICs also cost quite a hefty amount, and the worst part about them is that they become obsolete very quickly with each new generation of chips. This means you won’t be able to sell off your old ASICs or repurpose them in any way.
A GPU is a graphics processing unit, and it’s probably a term you’re already familiar with if you know even a little bit about tech, since your computer or laptop definitely has one of them. In simpler terms, a GPU is a graphics card, and a GPU miner is a computer of sorts with more than one graphics card.
This means they often need the same components that a computer would, like a motherboard, CPU, and RAM.
GPU miners are versatile and can be used for other functions when you’re not mining. They work very quickly, though their individual benefits when attacking different blockchains vary.
In order to make GPU mining profitable, you need to make sure your electricity bill doesn’t go through the roof while mining. Different cards need different amounts of power, so do your research before purchasing. You will also need sufficient coolers to keep the mining rig from overheating, which can also amp up costs.
Which Hardware is Better?
For the purpose of mining Dogecoin, GPUs are the much more profitable option. But how profitable your exploits depend on how much you are willing to invest in your mining rig to begin with. A low budget option with only two GPUs will likely yield results very slowly, while an average 4 GPU system would be optimal for a beginner to the Dogecoin mining world. But if you can afford it, a 6 GPU system is likely to be extremely profitable in comparison to the previous options.
A mining software is necessary if you want to start mining Dogecoin. There are plenty of software options available, but be sure to do your research for each one to make sure that they’re reputable and trustworthy. You will also want to choose a software that is in line with the amount of mining you want to do and your expertise level. It also depends on what hardware you’re using, as the software has to be compatible with it.
A Mining Pool
Mining for Dogecoin involves getting through blockchains that are similar to mathematical equations. Your rig will work on solving blocks and breaking them down, and after a block is completely broken, you’ll get a Dogecoin reward. The first person to locate a block gets the full profit from it.
You have the option of solo mining or joining a mining pool. We recommend joining a mining pool, which is a group of people who work together to compute blockchains and then split the rewards after. This is because it promises more consistent and frequent payouts.
Other Things You’ll Need
To properly mine Dogecoin, you will also need:
- A reliable internet connection. You’ll be connected to the internet the whole time while mining, so you need to be able to keep at it without disconnecting.
- An efficient cooling system. Mining cryptocurrency is notorious for causing devices to overheat. Make sure the area your rig is set up in is relatively cool, and have fans around to point at your hardware.
- A Dogecoin wallet. This goes without saying, but newbies to the cryptocurrency world may not be aware of its necessity. This private database will keep your earnings and hold them until you choose to spend or sell them, just like a real wallet would.
- A membership with a currency exchange. This is so that you can sell the Dogecoin you earn if you want to, and convert it to your country’s normal currency for use outside of the internet.