Cryptocurrency mining remains an excellent way for people to build up a modest crypto portfolio. Several currencies can be mined with traditional computer hardware, including Dogecoin or Monero. However, the Dogecoin hashrate approaches a new all-time high, and using ASIC hardware is almost mandatory.
Dogecoin Hashrate Seeks New ATH
There has been substantial interest in the world’s leading meme coin recently. Although Dogecoin started as a joke – and it still is, for the most part – it is also very accessible. Unlike Bitcoin, it is a currency anyone can mine with their computer. Mining crypto with a GPU remains a great way to introduce more novices to cryptocurrencies and how mining works. DOGE can be mined with any hardware, even if it isn’t necessarily competitive.
Like all other major proof-of-work networks, Dogecoin is best mined with ASIC devices. The hardware is expensive, although there are a few manufacturers to choose from. Bitmain, GoldShell, and Innosilicon all hold a strong market position. Their ASICs ensure the Dogecoin hashrate continues trending higher. Even at an upfront cost of $3,000 to $18.500, miners want to support the network and continually stack DOGE.
With the Dogecoin hashrate at a near-all-time high, interest in this currency continues to soar. Since DOGE surpassed $0.08, people have taken the meme coin more seriously. It also retained a solid market cap ranking throughout the 2022 bear market. Moreover, in early 2023, the currency regained over 10% of its value. That makes DOGE a worse performer than BTC, ETH, and even Shiba Inu, but it remains significant.
The question is when the Dogecoin hashrate will surpass the previous all-time high of 635.1966 terahash/second. A recent dip to under 575 terahash concerned some people, but the overall network support remains solid. The network reached over 632.5 terahash/second in the next few days. With a bit more extra hardware, the new Dogecoin hashrate ATH will be solidified. That may not happen today or tomorrow, though.
Is Dogecoin mining profitable?
One crucial question is figuring out whether one makes a profit mining DOGE. There’s no point in boosting the Dogecoin hashrate unless one can secure some financial gain. Unfortunately, in the crypto space, profitability is never a given. Miners must factor in their initial investment, electricity consumption, mining fees, etc. Even with the most powerful ASIC at one’s disposal, earning a profit of over $20 per day per machine will prove tricky.
Per Coinwarz, miners should expect almost 1,500 days of continuous mining to break even on their initial investment. That is quite long and requires a significant commitment. Some hardware may never break even. Moreover, that timeline will be pushed back further if more people join the network, if the mining difficulty goes up, or if the Dogecoin price declines. Under those circumstances, it isn’t necessarily appealing to contribute more power to the Dogecoin hashrate.
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