This review will help you choose the optimal Dogecoin (DOGE) cryptocurrency mining pool. Let’s take a look at five options that may be claimed to be the best.
General Information about Dogecoin
According to the official version, Dogecoin was created in 2013 just for fun. This is reflected in its appearance: the coin was adorned with a Shiba dog, which was a popular meme back then. The coin became in demand for small payments and online tips. Over time, however, DOGE has proven its viability – the price of the asset has been rising.
Now Dogecoin is among the most actively developing cryptocurrencies, which naturally causes interest in mining the coin. The success of this venture requires appropriate technical training.
How DOGE Mining Works
Like bitcoin, Dogecoin uses the PoW protocol for blockchain validation, and anyone who has tried to mine BTC knows the high hardware requirements that this process imposes. All of the above is absolutely true for DOGE as well. When using standard solutions based on GPU and CPU, there are not many chances to succeed, so, it is recommended to use specialized equipment. This is primarily referred to ASIC. However, you should take into account that if you are already mining bitcoins with ASIC, the existing equipment will not be suitable since such equipment cannot be reprogrammed. New financial investments will be required, which, however, is nothing new for experienced miners.
DOGE is closer to Litecoin in terms of operating principle because it uses the Scrypt algorithm similarly to the latter. This makes it possible to use for Dogecoin mining the same ASIC-based hardware that was used for LTC mining. However, today Litecoin mining is more profitable, that’s why very few people will swap it for DOGE mining.
The best option is to combine the mining of these two cryptocurrencies on the same equipment. Dogecoin will be mined as a byproduct without affecting the speed of mining the main resource, Litecoin. The complexity of DOGE mining has increased considerably recently, so it would be a sensible decision not to mine it yourself but to join a pool.
What is a Mining Pool for Dogecoin
A mining pool is a way to mine a cryptocurrency (DOGE or another one) collectively by pooling computing power to perform the tasks necessary to validate a block. This gives a better chance of success than mining alone. However, at the same time, it generates obligations to other members of the pool. The reward for adding a block will be shared.
For collective mining to be successful, you need to choose your mining pool carefully. Here is a checklist of requirements for a pool, that is a number of parameters that must be taken into account when making your choice:
- level of security;
- the fees charged by the pool;
- the procedure for redistribution of remuneration between the participants;
- cumulative pool capacity and physical location of the servers.
Only the right choice will help justify the investment that cryptocurrency mining with ASIC-based hardware requires. We also recommend becoming a member of a mining pool, which, in addition to Dogecoin, also mines other crypto-assets. This gives you an opportunity to switch to mining coins, which are mined with a similar algorithm, for instance, LTC, at any time. A special mining calculator will help you choose which asset is more profitable to mine at the moment.
Best Mining Pools for DOGE
Let us choose the best mining pool. To avoid going through hundreds of options on your own, we have selected five options for you using the checklist above:
- Prohashing is rightfully considered to be one of the most popular options. One of the pool’s advantages is the possibility to get rewards in other crypto-assets while mining Dogecoin. The reward is proportional to the computing power that the user adds to the pool’s total capacity. At the same time, the commission is fixed and is 4.44% – this motivates participants to invest in the pool as much as possible. The premium can be withdrawn both to a cryptocurrency wallet and to a bank account.
- AikaPool is, first of all, easy to use. This medium-sized pool is a perfect choice for beginners in mining, among others. Also, beginners will be helped by the detailed instructions for setting up their equipment, which can be found on the website. The commission charged by the pool is purely symbolic and is 1%.
- Multipool often tops the ratings like ours. There are a number of reasons for this, such as, first of all, the ability to mine many cryptocurrencies, not only those using the Scrypt algorithm. In particular, you can mine Bitcoin and Dash, as well as assets that use algorithms that are common with them – SHA-256 and X11, respectively. Payments can be received in any coin mined in the pool. There is an opportunity to withdraw the reward without commission.
- 1Coinpool is another strong average performer in the crypto mining industry, where the reward is distributed in proportion to the user’s added processing power (this principle is called Pay Per Share). The remuneration is credited to the cryptocurrency wallet automatically.
- GHash has been operating since 2013, that is, it is the same age as the Dogecoin cryptocurrency. The pool enables the use of cloud mining technology based on ASIC technology. In addition to DOGE, it is possible to mine LTC, BTC, and Ethereum.
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