cryptodailytrading.com

Dogecoin Mining Pools - Is It Worth It?

  • Vera Thornpike
    📚 WikiCoin

    Do Dogecoin mining pools live up to the hype? Let’s find out whether mining DOGE is worth it, and what is better – solo or mining in rigs?


Dogecoin Mining Pools - Is It Worth It?
You may also like:
Contents

 

 


Let’s be sincere: we’ve gotten tired of Ethereum and Bitcoin, and when it comes to ETH and BTC mining, crypto enthusiasts became disappointed in them in 2018. The bang isn’t worth the invested buck. What to do if you still want to be the part of cryptocurrency family and a proud owner of digital coins? Try Dogecoin! Let’s find out whether Dogecoin mining is profitable, and what the best ways to obtain it are.

Why Doge?

Dogecoin (DOGE) is the first coin that was intended to be some kind of joke. To be more precise, this coin was created with a pinch of sarcasm and a great will to make crypto more available for ordinary people. Surprisingly, the coin has become popular: 200k followers, 100k subscribers, and thousands of miners. It’s more than Iota and NEO have. Could Doge creators have imagined their creation would ignite such interest?

The Dogecoin community is large, but what about its mining properties? The numbers show that the coin is actually more competitive than other coins from the standpoint of block rewards.

Cryptocurrency  

Mining difficulty (01/12/2019)

Reward (For 1 Block)

Bitcoin

5,618,595,848,853.28

12.5

Ethereum

2,651,619,145,272,150

5

Litecoin

6,106,167.56668499

25

Dogecoin

2,404,260.6685

10,000

Dogecoin has the largest reward per block, leaving Verge with its 750 coins behind. Does it mean that mining Dogecoin is more profitable? Not necessarily. However, it’s the 24th cryptocurrency by the market cap and is expected to see a fundamental increase in cost as it continues evolving. That’s why Doge mining profitability can get higher.

Solo or mining in pools?

Here comes the first pitfall: there’s actually no such thing as pure Dogecoin mining because you have to mine it together with Litecoin. Turns out, DOGE coins are simply the by-product of Litecoin mining. You have a choice: to join a Dogecoin mining pool or hunt for the coins on your own. The key advantage of mining solo is the fact you get the reward alone (which is considerable thanks to a large block reward).

But solo mining is like playing roulette: your chances of mining the whole block alone are minor. If you have rather weak hardware, you can be mining it without any success. If you join a pool, though, your chances will multiply. But be prepared to pay fees.

Solo vs Mining pools
The difference between solo mining and mining pools

 

No matter which coin you’re interested in, we highly recommend joining a mining pool. Why? Because the worthiest crypto assets have the highest mining difficulty, and earning them without anyone’s help is impossible without an ultra-advanced mining pool (which most of us can’t afford).

👉MUST READ Best Dogecoin Mining Pools 2018
Best Dogecoin Mining Pools 2018

7 best Dogecoin mining pools

The first thing you should keep in mind is that Dogecoin mining pools should support the Scrypt hashing algorithm. Until recently, GHash.IO was the ultimate choice for Dogecoin miners, but it was closed in 2016. Now miners have to search for alternatives and, luckily, there are plenty of them.

1. Multipool.us

This is one of the oldest mining pools around. Multipool allows mining 29 crypto coins with various algorithms, including Scrypt. Several currencies can be mined simultaneously. The main advantage of multipool is that it has a great payout. Besides, there are no withdrawal fees, and you can boost your profits with the help of merge mining feature.

Multipool.us user interface
Multipool.us website interface

 

2. Prohashing

Prohashing is among the most demanded Scrypt mining pools that are used for mining different altcoins. You just need to register and choose a crypto asset for reward (DOGE is available). What are the key benefits of this mining pool? It has agreeable fees and offers detailed statistical data (number of miners, hash rate, real-time profitability, etc).

3. 1CoinPool

1CoinPool is a mining pool for both LTC and DOGE. It has no fees, though users’ donations are welcome. Judging by the information on their official website, 1CoinPool mines three blocks per week. Users are rewarded proportionally to the hashing power they provide.

Alternatively, you can use a mining pool that works with the X11 algorithm. Note that Darkcoin and Dash support this algorithm, and you can request a payout in Dogecoin, too.

4. HashFaster

The name of this mining pool is totally justified: you can start mining without creating an account. Choose your username and specify the wallet address, and you’re ready to start. The first payout will take up to six hours only.

HashFaster is very easy in navigation
HashFaster website interface

 

5. Litecoinpool

This option is recommended for merged mining. Litecoinpool was established in 2014 and has quickly gathered a good reputation. It utilizes a transparent payout system with the pay-per-share (PPS) rate. By default, payments are made in Litecoin, but you can also request reward in merge-mined currencies such as Dogecoin. In comparison with traditional LTC mining pools, such a website will bring you more money. Besides, it’s said that it was the first LTC pool use TLS-encrypted Stratum connections for protecting miners.

👉MUST READ 5 Best Litecoin Mining Pools: Mine LTC with a maximal effectiveness
5 Best Litecoin Mining Pools: Mine LTC with a maximal effectiveness

6. Eobot

This is another mining pool that’s been around for over 5 years. Eobot was established in 2013 and is still one of the most popular choices among miners. Users can mine coins based on Scrypt and SHA-256. Earnings can be withdrawn in different currency including Dash, XRP, and Doge. The website ensures an unbeatable level of protection for users, though it won’t hurt to use 2-step authorization.

Eobot – a sure-fire choice for Dogecoin mining
Eobot is one of the most reliable Dogecoin mining pools with cloud mining option

 

7. Aikapool

This is a small mining pool with about 100 miners – the right spot for starters. It supports various Scrypt-based altcoins, including Doge.

So, is the game worth the candles burnt?

Here we come to the most important question: should you mine Doge? The sad truth is that such a venture is not really worth your effort – the reward is so small, it won’t even cover electricity.

The main reasons for NOT mining DOGE are:

  • Direct Dogecoin mining is not profitable because recently it switched to merged mining. It means you have to compete with 3 Terahash of LTC pools. The coin is too cheap to cover your expenses and compensate efforts.

  • In fact, mining most Scrypt coins are not profitable unless you have free electric power and equipment. According to statistics, it brings miners $1 every 2 months per every megahash spent. Not a fair deal, is it?

  • If you don’t have juggernaut servers, don’t rush to start mining – you can’t compete with huge mining farms that run with the help of hydropower stations.

  • Dogecoin has an unlimited supply, which will inevitably lead to inflation.

  • Think about cloud mining instead? Unfortunately, a lot of cloud mining websites appear to be a total scam.

Does it mean you shouldn’t even try dealing with Dogecoin? No, you can become a DOGE owner just to join the crypto community and add to your crypto asset portfolio. Mining other coins and converting them into DOGE might be a better idea. Alternatively, you can pay attention to the new Dogethereum fork (DOGX) – it utilizes the same algorithm as Ethereum.

Dogecoin is not the only altcoin available – you’re free to choose a lot of replacements. This cryptocurrency was created just for fun, so you should approach DOGE mining the same way.

Only the most important posts per day. Infographics, analytics, reviews & summaries. Join our Telegram channel!
👓 Recommended articles

Blockchain Developer Salaries. Top Job Offers of Blockchain Companies

  • Eric Croix
    📚 WikiCoin

     

    Are you fascinated by Bitcoin and Ethereum? Would you like to take part in the development of Web 3.0 and the payment systems of the future? Then you may also be wondering how much you will be paid for such work. Tune in to find this out!


Blockchain Developer Salaries. Top Job Offers of Blockchain Companies
You may also like:
Contents

 

The blockchain sphere was sort of under the radar since the introduction of Bitcoin until finally Ethereum’s ERC20 standard appeared and gave birth to thousands of startups in 2017. The ICO craze led to a notorious crypto bubble, which drove up the demand for quality developers. Innovative technology, low competition, and startling salaries attracted many of the engineers from other spheres to the blockchain space. As they were building new networks and dApps, the infamous crypto burst of 2018 occurred and some of the companies started to rapidly lose the funds they raised.

👉MUST READ Is BTC and Cryptocurrency Crash 2018 Similar to the Dotcom Crash?
Is BTC and Cryptocurrency Crash 2018 Similar to the Dotcom Crash?

After the dust settled, the surviving startups realized that the only competitive advantage they can have in the future is only a real working product. The times when people paid millions of dollars just for a white paper are gone. Hence, to make it through hard times and eventually prosper, crypto companies need experienced engineers even more. In addition, large enterprises like IBM and Google realized the new trend and are now making the competition even tighter. Unlike the freshly appeared startups, these behemoths have plenty of cash in their pockets to pay a premium for good specialists.

Considering that the blockchain sphere is still in its infancy and there is enough room to grow professionally and financially, engineers around the world are still looking into entering the space. There are also people who never touched a terminal but were attracted to the crypto market during the latest bull cycle and want to start their professional paths within the industry. For all of them, it will be useful to know the size of a paycheck to aim for. Therefore, in this article, we will present you with an overview of the job market for blockchain engineers. Let’s get going!

Where to look for a job?

Traditional job listing boards

Traditional aggregators

For our first step, we took the most popular website for job search overall, which is Indeed.com and also a resource that is used by startups to post their listings – AngelList. We also included LinkedIn, as it’s by far the most used social network for professionals. The blockchain-related openings on these resources soared significantly (in some cases more than 4 times) from 2016.

Specialized aggregators

Specialized aggregators

The new industry inspired a new type of job board. Currently, there are several crypto-oriented resources where one is able to find a job in a crypto startup. Among such service providers are Blocktribe, Cryptojobslist, Blockace and a number of others.

Upwork

Upwork logo

For people, who are familiar with working remotely, Upwork is the go-to resource to find clientele. This is the most popular freelance website in the world and the paychecks there can be astonishing.

Company websites

IBM/VISA/Google logos

Some of the job postings for large (and some small) companies never leave company websites. Recruiters may be in a passive mode of searching for some positions, so it’s always useful to double check the ‘career’ section on websites.

How big of a paycheck to expect

Blockchain developers make 10 to 20% more than their non-blockchain peers. This is on par with AI software developers. For instance, if we talk about the most prominent place for software companies, Silicon Valley, a blockchain engineer’s salary there may reach $158k USD a year, while a hardware engineer’s salary will only be $135k USD. Switzerland companies in some cases offer even higher salaries that may go up to $180k USD a year, but you have to consider that the taxes and prices there are quite high too.

Median salaries

If we review the market as a whole, the average salary for software engineers specializing in blockchain is $114k USD. The range of salaries goes between $50k and $134k USD a year for a full-time job. For freelancers, the hourly rates start from $15 and continue up to $300 USD.

As we discussed in our article about the most popular languages in blockchain development, there are new ones like Solidity and Simplicity that are just starting to get traction. Enterprises with their products are also more inclined to pay higher amounts of money to those, who already have narrow specialization, such as Hyperledger composers.

👉MUST READ Top 12 Highest-Paying Blockchain Jobs in 2019
Top 12 Highest-Paying Blockchain Jobs in 2019

Enterprises vs startups

It’s important to distinguish between young companies and well-developed enterprises. Startups are looking to recruit the best professionals out there as they influence the company’s image. People heading there will receive more responsibility, freedom of making decisions and room for professional growth. On the flipside, the salary range is in the lower bracket of $50k to $70k USD. However, in the long run, financial rewards can be much higher for some devs, as they may be offered equity in the company or certain allocation of tokens that have a chance to skyrocket.

Startup vs Enterprise

For those, who are looking for more secure positions, enterprises represent a better choice. Starting salaries for junior developers can be from $70k to $80k USD and senior devs usually start getting from $100k to $120k USD. The drawbacks could include a limited set of tasks, the need to report more to seniors and not so many promotion prospects. In addition, enterprises will be able to provide better social compensation and benefits.

Top offers

  • Senior Managing Consultant at IBM ($122k-$179k USD/year)

IBM is one of the leaders in software development with a great legacy of hardware development. With Hyperledger and Sawtooth, IBM strives to capture a significant share of the developing blockchain market. The position they offer pays well and requires an appropriate level of experience, at least 5 years of programming and half a year in blockchain development.

  • Blockchain SI Partner Development Manager at Microsoft ($109k-$172k USD/year)

Considering the size of Microsoft and their involvement in cloud and blockchain solutions based on their Azure platform, there is no wonder that it makes it to the top of our list. Except for advanced programming skills and knowledge of the proprietary software, this job will require the perfect candidate to have a background in business communication and management experience.

  • Blockchain Engineer at Visa ($110-$140k USD/year)

Visa, like any global payment system, feels the competition from cryptocurrencies the most and tries to get the best talent to evolve quickly. A developer joining this company should consider making an emphasis on Java and Golang, as Visa requires two-year experience with these languages. Expertise in other spheres of software development will also be a plus along with specialization in scalable products.

  • Blockchain Developer at Blocksmith ($45k-$65k USD/year)

Here we step onto the startup grounds. Blockchain offers outsourcing services related to the blockchain to other startups and enterprises. In their job posing, Blocksmith highlight willingness to learn and share knowledge as the core requirements. Unlike enterprises like Visa and IBM, they value personality more than tech expertise. In addition, the person who gets hired will be eligible for equity share after working within the company for more than 6 months.

  • Senior C++ Blockchain Developer at Atlas City ($90k USD/year)

Atlas City is another startup that is focused on helping other businesses to cut costs and boost efficiency. The team looks for a person with decent knowledge of blockchains, which is apparent by the requirement of knowing C++, a language Bitcoin was built with. Among other requirements worth considering is the knowledge of Linux and back-end scripting. The salary for a startup is rather high and there is a neat bonus of being eligible equity.

👉MUST READ Top 8 Blockchain Courses Worldwide — Free and Paid
Top 8 Blockchain Courses Worldwide — Free and Paid

The bottom line

To sum up, the blockchain sphere with its incredible volatility and instability is still a technical environment that is set to disrupt our world and transform it completely. Despite rallies and crashes on the market, the business side of blockchain has been rumbling since its inception.

This field is definitely challenging because there are many undiscovered territories, and the infrastructure is not always clear. However, anyone with exceptional ambitions and libertarian views will feel comfortable in the epicenter of the blockchain development buzz. Thankfully, at this point in time, there is no shortage of opportunities, and the level of experience varies greatly from company to company. In some cases, personality comes before knowledge. If you feel uncomfortable working at the office, you will be glad to find out that there are not only many freelance opportunities but also remote offerings from startups and enterprises.

👉MUST READ Cloud Mining 2019 or How to Make $500 from $100. Is it possible?
Cloud Mining 2019 or How to Make $500 from $100. Is it possible?

When it comes to payment, like in any workplace it will depend on a number of variables. First and foremost, you will have to choose between working in a recently initiated startup or an enterprise with a long history of operation. Second, your development experience along with the knowledge of specific languages will play an important role. Third, if you want to get a higher position, be prepared to learn or prove some managerial skills. Finally, your personality and willingness to learn new things in such a fast-paced environment will also be evaluated by hiring parties. In any case, you can safely consider that your payroll will be a little bit higher than the average for developers in other fields. After all, the demand for the workforce in the blockchain is high and the supply is low – it’s time to ride this wave!

Image by U.Today image archive.

Only the most important posts per day. Infographics, analytics, reviews & summaries. Follow us on Facebook!
👓 Recommended articles