If you already know how to mine Dogecoin, you must be wondering whether or not you should take the plunge at all.
Is it profitable to mine Dogecoin?
This might be the question on your mind.
Well, if this is what you have wondering about, then we are here to clear your doubts.
If you have taken a look at the whole list of things you need to get started with mining of Dogecoin, you would surely know that it is not a pocket-friendly affair to begin with. To mine Dogecoin, you need to invest in expensive equipments.
Even without monetarily quantifying your own intellectual effort involved in mining, or even the noise pollution and pressure on resources the entire process entails, it remains a sizeable expense.
So of course, it is only wise to consider whether it would even help you earn any profit on all your investments to begin with.
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How Much Do You Stand To Earn From Dogecoin Mining?
At press time, the price of Dogecoin stands at a meagre level of 0.00234858 dollars.
Now, usually, the reward for mining one block is 10000 units of Dogecoin. This implies that for every block you mine, you earn a small value of just around 23.5 dollars.
If at this point, you are thinking that it is thoroughly worthless to mine Dogecoin, we cannot entirely blame you. After all, you are shelling out so much money to be able to mine a block and you are using your own cognitive capacity as well.
The value of your intellectual labour remains unpaid for and your fixed cost seems unrecoverable. These are indeed convincing arguments against mining Dogecoin at all.
As a result of these considerations, most experts would tell you that it is not really worth it. However, we will give you a few reasons why it might be worth a shot, especially in the long run.
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Why Go For Dogecoin Mining Even When Experts Tell You Not To?
A lot of cryptocurrencies thrive on gut instincts of developers and a spontaneous support from miners and community members.
Although the rate of block rewards is quite low, in view of the market price, you must take note of how low the block difficulty of Dogecoin itself is. In case of Bitcoin, it takes a seasoned miner about 10 minutes to find a block and even in Litecoin ( a Scrypt-based coin just like Dogecoin), the time required is around 2.5 minutes. At a fraction of both these times, Dogecoin blocks can be mined in around a minute each.
Given the difficulty in mining is rather low in case of Dogecoin, you might choose to go for it any way, choosing to focus on volume rather than efficiency.
Final Thoughts: What Should You Do?
If we are to make a recommendation that we believe in, it is to ask you to hold off on the Dogecoin Mining plan for now.
The prospects for this coin does not seem too bright as of now. Although Bitcoin also grew from a similar stage earlier, our article Will Dogecoin Be a Good Investment in 2019? will tell you why Dogecoin does not look that promising at all.
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