Dogecoin is one of the leading cryptocurrencies in the world in terms of market capitalization. The cryptocurrency emerged in 2013 as a project started for fun. Even so, the fun part of the currency is what has made it very popular among investors.
It has remained one of the most traded cryptocurrencies and is used in a wide range of transactions. Dogecoin also has an active and fast-growing mining community that has been flourishing, even more than Bitcoin.
Why You Should Mine Dogecoin
There are many reasons why you should mine Dogecoin. It takes less than three minutes to find the block when mining, which is why it’s popular among experienced miners. It’s also a great way to buy more reliable assets. This is because mining Dogecoin is very straightforward. So, most people use it to buy some cryptocurrency that cannot be traded with fiat currency.
Dogecoin also acts as a sound basis for buying reliable assets like Bitcoin. The currency’s price and value are also increasing.
Getting Started with Doge Mining
When getting started with Doge mining, you have to decide on the method you’re going to use to mine the cryptocurrency. The three methods include solo mining, mining pools, and cloud mining.
Solo Mining
Solo mining involves independent currency mining. The miner will most likely use their PC, but it’s usually unprofitable and challenging for new miners. If you choose to mine the currency by yourself, you will have to wait a long time until your transaction is confirmed. It can also take up to months before you find a Doge block. But, once you do, you get to keep the entire thing to yourself. With solo mining, you can mine with CPU, GPU, or ASIC.
Mining Pools
A mining pool is the opposite of solo mining — the power and coins are distributed among all the participants. Participants get their coins depending on how much work they put into the mining. Although it’s shared, the blocks in mining pools are usually more than the ones you can find in solo mining. You also won’t have to wait a long time before getting results.
Cloud Mining
This type of Doge mining involves renting computer power from a massive data center. Then, the Dogecoin will be mined at that center, and you will receive your share. To do this, you have to join a Dogecoin wallet.
Which Method Should You Choose?
Between solo mining and pool mining, the question for most Dogecoin miners is which one is the best choice. Here are the main features of the two methods:
Features of Solo Mining
- The entire block belongs to you.
- There are no fees to pay.
- It’s very slow.
Features of Pool Mining
- You get a part of the reward.
- You have to pay some fees.
- It offers rapid results.
How to Exchange the Mined Currency
If you’re planning on mining Dogecoin, you’re probably doing so to trade it with another currency. If this is the case, you can easily exchange your DOGE for BTC and other types of cryptocurrencies at Godex. The process is relatively straightforward.
- Choose your currency pair (for example, DOGE/BTC). If you choose this, the DOGE to BTC converter will show you how much you’ll get for the DOGE you’re exchanging.
- Input your BTC wallet. This is the destination where your converted DOGE will be sent.
- Wait for the deposit. Then, you will be asked to deposit your DOGE into an account.
- Finally, the exchange will be confirmed.
Last Take
If you want to mine Dogecoin, it’s best to go for pool mining, especially as a beginner. Once you get your Dogecoin, you can use the top cryptocurrency exchange, Godex, to purchase any currency you want with it.
