You can start dogecoin mining and earn money easily. Do you know what thing is required to start dogecoin mining? If not then, I will tell you what thing you need to start dogecoin mining.
But, before knowing that what things are required to mine dogecoin. You must know that what is Dogecoin and what is Mining.
So, without wasting time lets go dive into the blog.
What is Dogecoin?
You probably listen about bitcoin because of it very popular in the media. Bitcoin is cryptocurrency as well Dogecoin is also a cryptocurrency.
I think you know very well what is a cryptocurrency. If not then, that is a type of currency that will store on the computer or digital devices. It stores digital devices in the digital form, due to this it names Digital currency as well.
In 2013, Jackson became an Australian named Palmer and an American friend named Billy Marcus. They became friends because they both loved cryptocurrency. However, he also thought that the whole thing was getting too serious, so he decided to make his own.
Palmer and Marcus wanted their coin to be more fun and more friendly than other crypto coins. They wanted people who did not usually care about cryptocurrency.
Dogecoin was launched on 6 December 2013. Since then, it has become popular because it is playful and good-natured. Just like its mascot!
So, Dogecoin is a popular altcoin, which is known for being fun, friendly and kind. It is a coin with a dog on it! You already like it, don’t you like it?
What is Mining?
To understand mining, you must first understand how cryptocurrency works. Some Cryptocurrencies are open source and peer-to-peer digital currencies. This means that they allow money to be transferred from one person to another without using a bank.
Each block of transactions has to be checked by all nodes on the network before it is added to the blockchain.
Blockchain has not paid employees like banks, so they reward users who confirm transactions. The reward for confirming new transactions is the new cryptocurrency. The process of being rewarded with a new currency to confirm the transaction is what we call “mining”!
Now time to know about Dogecoin Mining, so go further:-
What is Dogecoin Mining?
Dogecoin mining is the process of being rewarded with new Dogecoin for examining transactions on the Dogecoin blockchain. Simple, right? Well no, it’s not that easy, nothing is there!
Mining Dogecoin is like a lottery. You have to do some work to play the lottery. Okay, actually your computer (or node) has to do some work! This task involves verifying and examining transactions that I talked about in the previous section.
Many computer transactions operate on the same block at the same time but the only one can win the reward of new coins. The one who earns new coins is the node that adds the new block of transactions to the old block of transactions. This has been accomplished using complex mathematical equations.
The node that solves the mathematical problem wins first! It can attach new confirmation blocks of transactions to the rest of the blockchain.
How to Mine Dogecoin?
There is two-step to mine dogecoin. The first is Solo Mining and the second is Pool mining. Let go we will discuss both of this:-
Pool Vs Solo Mining
When you mine as part of a Dogecoin pool, you will have to pay fees. Also, when the pool blocks the mines you will only get a small portion of the total reward. However, pool mines block much more frequently than single miners. So, your chance of earning an award increases. That can give you a reserved new amount of Dogecoin.
If you choose My Single, you risk waiting a long time to confirm the transaction because there is too much competition. It may be weeks or even months before you give your first block! However, when you win, the entire reward will be yours. You will not have to share it nor pay any fee.
As you are a beginner, join a Dogecoin pool. After getting some knowledge and complete stratergy you can join as solo mining. This way you will not have to wait for the first block of your new currency. You will also feel that you are part of the community and what Dogecoin is all about!
After Mining Dogecoin you can exchange into local currency with the help of different exchange providers. For mining dogecoin or any other crypto coins, you required high-performance hardware devices.
If the all thing is set, then you will sit back and all the working is happening automatically with the help of the computer. You need just electric power to operate the high-performance systems.