Minting it! If you thought it was only Dogecoin that was killing it, take a load of the amount miners of this meme currency are making. Their revenue is up 4,500% this year.
Daily miner revenue has risen above $3 million this week, rising to an impressive record high of $3.6 million on April 26. This marks a 4,575% rise from its humble tally on New Year day. These numbers are from the data provided by ByteTree.
In other words, the Dogecoin army is no the only one making bank in 2021. Miners that are responsible for generating the Shiba Inu themed cryptocurrency are also laughing their way to the bank.
Mining Dogecoin is not all that different from mining other digital coins like Bitcoin.
Miners receive newly created coins and transaction processing fees as a reward for mining blocks and processing transactions on the distributed ledgers. Revenue estimates assumes miners sell their coins immediately, which makes sense seeing that they operate predominately on cash.
The price of Dogecoin has rallied by 7,000% this year, and that has sent miner revenue skywards.
Data provided by Coin Metrics shows a 60-fold increase in daily transaction fees this year alongside several brief spikes in the number of daily transactions. However, these transaction fees only brought in just $23,200 or 0.64% of the total miner revenue of $3.6 million on April 26.
This aspect differentiates Dogecoin miners from those who mine Bitcoin, but in any case, these are impassive numbers overall.
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