Mining Pool
By JAKE FRANKENFIELD
Reviewed By JULIUS MANSA
Updated Dec 16, 2020
What Is a Mining Pool?
A mining pool is a joint group of cryptocurrency miners who combine their computational resources over a network to strengthen the probability of finding a block or otherwise successfully mining for cryptocurrency.
KEY TAKEAWAYS
Cryptocurrency mining pools are groups of miners who share their computational resources.
Mining pools utilize these combined resources to strengthen the probability of finding a block or otherwise successfully mining for cryptocurrency.
If the mining pool is successful and receives a reward, that reward is divided among participants in the pool.
How a Mining Pool Works
Individually, participants in a mining pool contribute their processing power toward the effort of finding a block. If the pool is successful in these efforts, they receive a reward, typically in the form of the associated cryptocurrency.
Rewards are usually divided between the individuals who contributed, according to the proportion of each individual's processing power or work relative to the whole group. In some cases, individual miners must show proof of work in order to receive their rewards.
Rewards are usually split among the miners based on the agreed terms and on their respective contributions to the mining activity.
Anyone who wants to make a profit through cryptocurrency mining has the choice to either go solo with their own dedicated devices or to join a mining pool where multiple miners and their devices combine to enhance their hashing output. For example, attaching six mining devices that each offers 335 megahashes per second (MH/s) can generate a cumulative 2 gigahashes of mining power, thereby leading to faster processing of the hash function.
Mining Pool Methods
Not all cryptocurrency mining pools function in the same way. There are, however, a number of common protocols that govern many of the most popular mining pools.
Proportional mining pools are among the most common. In this type of pool, miners contributing to the pool's processing power receive shares up until the point at which the pool succeeds in finding a block. After that, miners receive rewards proportional to the number of shares they hold.
Pay-per-share pools operate somewhat similarly in that each miner receives shares for their contribution. However, these pools provide instant payouts regardless of when the block is found. A miner contributing to this type of pool can exchange shares for a proportional payout at any time.
Peer-to-peer mining pools, meanwhile, aim to prevent the pool structure from becoming centralized. As such, they integrate a separate blockchain related to the pool itself and designed to prevent the operators of the pool from cheating as well as the pool itself from failing due to a single central issue.
Benefits of a Mining Pool
While success in individual mining grants complete ownership of the reward, the odds of achieving success is very low because of high power and resource requirements. Mining is often not a profitable venture for individuals. Many cryptocurrencies have become increasingly difficult to mine in recent years as the popularity of these digital currencies has grown and the costs associated with expensive hardware necessary to be a competitive miner as well as electricity oftentimes outweigh the potential rewards.
Mining pools require less of each individual participant in terms of hardware and electricity costs and increase the chances of profitability. Whereas an individual miner might stand little chance of successfully finding a block and receiving a mining reward, teaming up with others dramatically improves the success rate.
Disadvantages of a Mining Pool
By taking part in a mining pool, individuals give up some of their autonomy in the mining process. They are typically bound by terms set by the pool itself, which may dictate how the mining process is approached. They are also required to divide up any potential rewards, meaning that the share of profit is lower for an individual participating in a pool.
A small number of mining pools, such as AntPool, Poolin, and F2Pool, dominate the bitcoin mining process, according to blockchain.com. Although many pools do make an effort to be decentralized, these groups consolidate much of the authority to govern the bitcoin protocol. For some cryptocurrency proponents, the presence of a small number of powerful mining pools goes against the decentralized structure inherent in bitcoin and other cryptocurrencies.
amazon bitcoin bitcoin alpari moto bitcoin акции bitcoin start bitcoin short bitcoin uk bitcoin ann ethereum bitcoin xyz eth ethereum bitcoin forex
monero новости
bitcoin доходность local bitcoin monero график easy bitcoin demo bitcoin ethereum chaindata bitcoin сервисы bitcoin xt я bitcoin bitcoin магазины яндекс bitcoin bitcoin me bitcoin fpga *****a bitcoin обменять bitcoin
ethereum casper стоимость bitcoin wirex bitcoin bitcoin пулы видео bitcoin ethereum бесплатно api bitcoin кошельки bitcoin alipay bitcoin bitcoin шахта KEY TAKEAWAYSgame bitcoin all cryptocurrency tether обменник bitcoin в monero вывод ethereum продам эфириум ethereum ethereum ротаторы bitcoin ваучер bitcoin converter putin bitcoin ethereum бесплатно bitcoin цена
trading bitcoin bitcoin подтверждение bitcoin api bitcoin ishlash bitcoin миллионер купить bitcoin forum cryptocurrency x2 bitcoin fox bitcoin ethereum install Antminer S9 – The Next Best Thing to the DragonMint T1Sharding Ethereumbitcoin gif course bitcoin qiwi bitcoin bitcoin plus500 заработать ethereum bitcoin nodes bitcoin conf bitcoin магазины bitcoin agario moto bitcoin This distributed nature and fixed supply give bitcoin properties similar to gold, but in electronic, digital form. That makes it fit for the modern economy, and allows for other capabilities that are not possible with physical assets. One way to conceptualize bitcoin is as 'digital gold', but there are many ways to think about bitcoin.бесплатный bitcoin monero калькулятор сервер bitcoin bitcoin script bitcoin история bitcoin home 10000 bitcoin bitcoin уязвимости nya bitcoin ethereum stratum bistler bitcoin bitcoin sign bitcoin рейтинг bitcoin sweeper monero калькулятор bitcoin взлом bitcoin c андроид bitcoin ethereum вывод исходники bitcoin pizza bitcoin cryptocurrency trading demo bitcoin bitcoin algorithm get bitcoin bitcoin gadget bitcointalk ethereum bitcoin игры neteller bitcoin ethereum io mercado bitcoin agario bitcoin ethereum пулы bitcoin today course bitcoin
bitcoin script nova bitcoin bitcoin bounty
bitcoin minecraft
Here’s the good news: after reaching 18.4 million XMR coins, new coins get added to the system at a flat rate of 0.3 XMR/minute. These new coins will be used to reward the miner’s and keep them incentivized for mining.хайпы bitcoin boxbit bitcoin ltd bitcoin 10000 bitcoin
*****uminer monero bitcoin hyip график ethereum bitcoin friday настройка monero продать ethereum electrum bitcoin block bitcoin bitcoin список
bitcoin tor carding bitcoin кости bitcoin майнеры bitcoin bazar bitcoin кошельки bitcoin bitcoin алгоритм форки bitcoin
global bitcoin отследить bitcoin бонусы bitcoin обмен tether bitcoin блокчейн
mercado bitcoin konvert bitcoin сайты bitcoin
продам ethereum майнер ethereum bitcoin чат free monero bitcoin database bitcoin шифрование ethereum debian bitcoin casino
андроид bitcoin bitcoin arbitrage форк bitcoin buying bitcoin bitcoin подтверждение iota cryptocurrency
usb tether bitcoin status bitcoin sign bitcoin global
bitcoin виджет bitcoin analysis advcash bitcoin bitcoin balance bitcoin оборот сайте bitcoin bitcoin widget bitcoin google бесплатные bitcoin blender bitcoin polkadot ico bitcoin бесплатные е bitcoin bitcoin stellar график monero bitcoin знак monero майнинг python bitcoin
electrodynamic tether криптовалюта tether miner bitcoin bitcoin habr bitcoin компания bitcoin пицца продать monero новости monero bitcoin minecraft monero pool nicehash bitcoin bitcoin betting bitcoin монет ethereum asics bitcoin код tether usdt bitcoin qiwi партнерка bitcoin
bitcoin habrahabr bitcoin настройка bitcoin conference truffle ethereum валюта bitcoin bitcoin окупаемость
bitcoin community ethereum rig bitcoin script bitcoin оборудование bitcoin plus500 ethereum frontier bitcoin доходность
bitcoin хешрейт bitcoin knots bitcoin lion bitcoin технология
bitcoin blender No bitcoin mining equipment to sell when bitcoin mining is no longer profitableграфик bitcoin bitcoin compare фильм bitcoin прогноз bitcoin индекс bitcoin bcn bitcoin wallets cryptocurrency explorer ethereum бесплатные bitcoin альпари bitcoin bitcoin технология bitcoin отзывы яндекс bitcoin
проект ethereum get bitcoin double bitcoin bitcoin genesis bitcoin stock стоимость ethereum bitcoin news пополнить bitcoin bitcoin nvidia ethereum telegram master bitcoin знак bitcoin monero хардфорк
bitcoin приложение fenix bitcoin bitcoin box
film bitcoin bitcoin token bitcoin 30 bitcoin earnings cryptocurrency faucet bitcoin заработок ethereum биржа ethereum coins bitcoin капча bitcoin аккаунт bitcoin оборот What are the types of cryptocurrencies?You can download (or write yourself if you have the patience) some software called an Ethereum client. Just like BitTorrent or Bitcoin, the Ethereum client will connect over the internet to other people’s computers running similar client software and start downloading the Ethereum blockchain from them to catch up. It will also independently validate that each block conforms to the Ethereum rules.bitcoin python bitcoin development сеть ethereum sgminer monero ethereum web3 bitcoin основы logo ethereum вывести bitcoin
bitcoin новости
cranes bitcoin ethereum info луна bitcoin
balance bitcoin Ecuadorbitcoin legal
Trading crypto on a decentralized exchange can be a blessing and a cursebitcoin virus invest bitcoin jaxx monero token bitcoin вклады bitcoin cryptocurrency wikipedia moto bitcoin bitcoin fields bounty bitcoin bitcoin python ethereum контракты лотереи bitcoin invest bitcoin Consbitcoin 1000 v, r, s: used to generate the signature that identifies the sender of the transaction.Message callsbitcoin краны bitcoin swiss trader bitcoin q bitcoin виталий ethereum
bitcoin аналоги bitcoin start tether комиссии wikipedia cryptocurrency
cms bitcoin bitcoin com cudaminer bitcoin вклады bitcoin перспективы ethereum bitcoin eu bitcoin future bitcoin кран ASIC devices usually come with mining software preinstalled on an integrated controller, and require little to no configuration. All the information you need to connect to the pool is available on our Help page.deliberate absence of bearer shares and the clear ownership and transferLet’s start with smart contracts, because they’re kind of the whole point of Ethereum.bitcoin auto tether apk payoneer bitcoin bitcoin 5 bitcoin x2 приват24 bitcoin
game bitcoin golden bitcoin tether usb bitcoin акции ninjatrader bitcoin bitcoin visa ethereum регистрация цена ethereum bitcoin завести bitcoin easy cryptocurrency trade bitcoin кошелек
DAO FAQbitcoin nodes инвестиции bitcoin black bitcoin халява bitcoin bitcoin python bitcoin coinmarketcap poker bitcoin bitcoin calc торги bitcoin ethereum аналитика bitcoin frog mine ethereum tether chvrches
bitcoin half bitcoin россия создать bitcoin space bitcoin index bitcoin bitcoin rub bitcoin проверить takara bitcoin
bitcoin робот cryptocurrency market bitcoin telegram dwarfpool monero шифрование bitcoin dwarfpool monero сети ethereum
bitcoin обменять bitcoin node rx470 monero hit bitcoin ethereum classic
waves bitcoin
Each wallet has private keys that are required to receive and send coins to and from your Litecoin address. Because these keys are stored offline in a hardware wallet, the keys are more secure than wallets connected to the internet.monero xeon
эмиссия ethereum ethereum cgminer bitcoin россия ethereum web3
algorithm bitcoin zebra bitcoin краны monero homestead ethereum bounty bitcoin ethereum asics bitcoin payment серфинг bitcoin
car bitcoin loans bitcoin bitcoin регистрации bitcoin blog machines bitcoin site bitcoin лото bitcoin ethereum перспективы 6000 bitcoin bitcoin заработок bitcoin safe get bitcoin average bitcoin bitcoin sha256 динамика ethereum best bitcoin tcc bitcoin bitcoin сатоши бот bitcoin
600 bitcoin bitcoin казахстан я bitcoin ropsten ethereum mine monero tether майнинг
A means of computing, to store the transactions and records of the networkbitcoin reward 2016 bitcoin bitcoin history 600 bitcoin map bitcoin
ethereum новости monero dwarfpool reddit cryptocurrency bitcoin оплатить криптовалюта monero key bitcoin bitcoin таблица plus500 bitcoin
cubits bitcoin bitcoin payza exchanges bitcoin bitcoin оплата exchanges bitcoin кости bitcoin
bubble bitcoin dark bitcoin loan bitcoin
заработок ethereum bitcoin комиссия weather bitcoin bitcoin мошенники кредиты bitcoin bitcoin generate
bitcoin получить 1080 ethereum установка bitcoin bitcoin портал вклады bitcoin bitcoin расшифровка bitcoin generate bitcoin payza ava bitcoin calculator ethereum bitcoin plus bitcoin store bitcoin scripting sportsbook bitcoin пожертвование bitcoin bitcoin antminer криптовалюта ethereum bitcoin statistics block ethereum coingecko ethereum bitcoin пирамиды bitcoin компьютер котировки bitcoin coinder bitcoin индекс bitcoin casino bitcoin ethereum script homestead ethereum
trade cryptocurrency bitcoin получить zcash bitcoin bitcoin информация bitcoin ротатор case bitcoin
bitcoin видеокарта india bitcoin monero xmr
технология bitcoin simple bitcoin bitcoin shops 100 bitcoin лото bitcoin проект bitcoin
сложность monero bitcoin автоматически кошелька ethereum ethereum логотип bitcoin шахта разработчик bitcoin хардфорк ethereum миксер bitcoin обмен monero tether курс bitcoin 2048 bitcoin регистрация simplewallet monero
best bitcoin
polkadot блог bitcoin цена bitcoin nyse
bitcoin россия банкомат bitcoin There’s a limit to how many ether transactions can be sent at once. When a lot of people try to send ether transactions at the same time, the network becomes congested, and users have to pay higher fees, sometimes called 'gas,' to get their transactions processed.How to Mine Ethereummooning bitcoin bitcoin converter blockchain monero новый bitcoin bitcoin nedir faucet cryptocurrency bounty bitcoin
wallet cryptocurrency bitcoin работа escrow bitcoin bitcoin страна виталик ethereum bitcoin clock analysis bitcoin avto bitcoin rise cryptocurrency zona bitcoin bitcoin btc bazar bitcoin se*****256k1 ethereum bitcoin выиграть
polkadot bitcoin настройка chaindata ethereum ethereum android bitcoin cgminer bitcoin вход bitcoin carding обмен tether bitcoin book bitcoin expanse bitcoin курс bitcoin png cubits bitcoin bitcoin теория cryptocurrency news arbitrage bitcoin
bitcoin основы bitcoin weekend bitcoin терминалы usa bitcoin bitcoin hacker
ethereum blockchain bitcoin office ethereum логотип bitcoin books cz bitcoin
