Following months of uncertainty, Dogecoin eventually enabled merged mining with Litecoin several days ago. To understand what this means, compare mining to a lottery where miners are permanently generating lottery tickets. If their tickets match the winning number they get rewarded. Before merged mining wasgoed implemented, Dogecoin mining and Litecoin mining were two separate lotteries that did not accept tickets from each other. Miners could only participate ter a single lottery at any given time. When Dogecoin enabled its AuxPow algorithm, the Dogecoin lottery embarked accepting tickets from both groups of miners. For Litecoin miners, this meant they could generate extra (Dogecoin) revenue without any extra effort. Spil a result, the Dogecoin network total hashrate has enlargened tenfold, spil most miners te the much larger Litecoin network commenced mining the former currency spil well.
Without a doubt, the budge greatly benefits Dogecoin, which is now no longer facing an imminent security threat. The ease also reflected ter the coin’s price, spil the digital currency spotted its market capitalization dual compared to just two weeks ago following the switch. With both price and hashrate going up, it would be expected that everyone ter the Dogecoin community would be glad. But unluckily, there is one group that does not benefit from the fresh merged mining: the former dedicated Dogecoin miners.
To understand why this group gets left behind, consider the following network statistics:
From September 11 to September 15, the period ter which Dogecoin enabled merged mining with Litecoin, the statistics for both coins switched spil goes after:
With the help of the previous gegevens, is effortless to examine what this means for, for example, a Gridseed Blade ASIC miner te both situations:
Before merged mining wasgoed enabled, the miner could be used to mine either $0.99 worth of Litecoin or $1.33 worth of Dogecoin vanaf day. After enabling merged mining, the miner will switch to Litecoin mining and receive Dogecoins spil well. This means mining will now yield $0.78 worth of Litecoin and $0.26 worth of Dogecoin vanaf day. For a miner that wasgoed already mining Litecoin it is a petite improvement, from $0.99 to $1.04 combined. But obviously, the former dedicated Dogecoin miners will actually see their revenue druppel spil a result spil they could mine $1.33 worth of Dogecoin vanaf day. For a Dogecoin miner that just wants to accumulate Dogecoins without selling them, the situation is even worse. The latter miner can only mine one tenth of the Dogecoins that could be mined previously. For thesis miners, it is a sad development to their time being involved with the world’s happiest currency. But to other involved parties, merged mining has brought them one step closer to the moon.