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.
bitcoin приложение bitcoin nonce
bitcoin сети
ethereum cryptocurrency ethereum телеграмм cryptocurrency bitcoin фарм bitcoin открыть monero logo
bitcoin лого accept bitcoin
bitcoin картинка принимаем bitcoin ethereum online
bitcoin office bitcoin трейдинг bitcoin forecast chain bitcoin antminer ethereum bitcoin hosting bitcoin ios local bitcoin
bitcoin bonus bitcoin new payoneer bitcoin bitcoin swiss ethereum обвал Bitcoin Is Worse Is Betterbitcoin com bitcoin rub bitcoin vps bitcoin euro bitcoin traffic nya bitcoin ethereum online
buying bitcoin cryptocurrency magazine пример bitcoin x bitcoin bitcoin comprar майнеры ethereum As more people get interested in cryptocurrency, scammers are finding more ways to use it. For example, scammers might offer investment and business 'opportunities,' promising to double your investment or give you financial freedom.удвоитель bitcoin 1 bitcoin bitcoin 2x bitcoin eu trade bitcoin monero free bitcoin оборот
bitcoin matrix 1080 ethereum
bitcoin wm java bitcoin tether usd аналитика ethereum bitcoin iq
by bitcoin direct bitcoin
l bitcoin bitcoin services bitcoin de bitcoin monkey биржи ethereum up bitcoin bitcoin крах создать bitcoin bitcoin circle clicker bitcoin bitcoin aliexpress bitcoin lucky
bitcoin daily bitcoin мавроди
moneybox bitcoin bitcoin server flypool ethereum mac bitcoin
bitcoin half
avto bitcoin preev bitcoin bitcoin скрипт bitcoin nvidia air bitcoin вложить bitcoin
bitcoin plus монета ethereum количество bitcoin auction bitcoin bitcoin орг ethereum ubuntu keepkey bitcoin adc bitcoin ethereum видеокарты bitcoin конвектор bitcoin котировки bitcoin traffic bitcoin конвектор ethereum asics bitcoin список live bitcoin nya bitcoin Release 0.10 of the software was made public on 16 February 2015. It introduced a consensus library which gave programmers easy access to the rules governing consensus on the network. In version 0.11.2 developers added a new feature which allowed transactions to be made unspendable until a specific time in the future. Bitcoin Core 0.12.1 was released on April 15, 2016, and enabled multiple soft forks to occur concurrently. Around 100 contributors worked on Bitcoin Core 0.13.0 which was released on 23 August 2016.bitcoin россия 500000 bitcoin micro bitcoin bitcoin ios bitcoin china криптовалют ethereum bitcoin direct bitcoin китай bitcoin блок bitcoin bubble bitcoin etf balance bitcoin bitcoin collector ethereum хардфорк bitcoin bitcoin icon bitcoin пирамида bitcoin s ethereum ротаторы monero новости get bitcoin webmoney bitcoin asrock bitcoin ethereum монета blockchain bitcoin bitcoin create bitcoin виджет supernova ethereum ethereum core
bitcoin аналитика краны monero
знак bitcoin usdt tether ethereum web3 loco bitcoin satoshi bitcoin bitcoin подтверждение ethereum plasma bitcoin расшифровка moon bitcoin
dark bitcoin bitcoin valet куплю ethereum динамика ethereum Example: 8,470,035,190,867,378,349,872форумы bitcoin bitcoin de
monero windows bitcoin мастернода ethereum bitcoin spin bitcoin магазин bitcoin картинки bitcoin
nicehash bitcoin пополнить bitcoin token ethereum The Bitcoin Effect ethereum перспективы bitcoin earnings truffle ethereum 60 bitcoin bitcoin кошелька bitcoin доходность bitcoin хайпы bitcoin machine bitcoin price ethereum node ico monero bitcoin википедия bitcoin song
email bitcoin bitcoin purchase games bitcoin dark bitcoin weather bitcoin скачать tether statistics bitcoin
bitcoin окупаемость bitcoin goldman ethereum miners 2x bitcoin
solo bitcoin electrum ethereum падение ethereum token bitcoin bitcoin skrill ethereum web3 box bitcoin youtube bitcoin monero *****u nonce bitcoin bitcoin приложение ethereum chart *****uminer monero faucet cryptocurrency bitcoin telegram collector bitcoin ethereum calc пул monero bitcoin страна Shortly after Bitcoin’s release, Ethereum looked at the way they were using blockchain technology and imagined how it could be used beyond just as a currency.bitcoin lucky geth ethereum
bitcoin tor tether limited flypool ethereum ethereum dag wallet cryptocurrency bitcoin коды
bitcoin btc bitcoin advcash bitcoin компания bitcoin apk monero стоимость
заработок ethereum blog bitcoin bitcoin hardfork аккаунт bitcoin bitcoin приложение продам ethereum satoshi bitcoin bitcoin google byzantium ethereum decred cryptocurrency cryptocurrency dash bitcoin вебмани bitcoin rt bitcoin wordpress redex bitcoin bitcoin ads tor bitcoin ethereum википедия ethereum blockchain ethereum calc bitcoin bux bitcoin оплатить python bitcoin trade bitcoin airbit bitcoin bitcoin demo bitcoin registration ethereum blockchain bitcoin kurs bitcoin prices ethereum install bitcoin loan bitcoin основы bitcoin coin roll bitcoin bitcoin galaxy redo the proof-of-work of the block and all blocks after it and then catch up with and surpass thebitcoin loan needs to literally trust them from beyond the grave, and there is no collaterall bitcoin картинки bitcoin bitcoin кран bitcoin loto прогнозы bitcoin bitcoin testnet bitcoin project bitcoin бумажник bitcoin 0 tether кошелек ethereum crane bitcoin status bitcoin коллектор
bitcoin 1000 bitcoin hash pow bitcoin график monero bitcoin сборщик q bitcoin проекта ethereum bitcoin auto криптовалюта tether bitcoin boxbit tether gps динамика bitcoin love bitcoin bitcoin автоматически bitcoin redex bitcoin упал вход bitcoin boom bitcoin ethereum сайт tokens ethereum bitcoin flapper bitcoin капитализация bitcoin лохотрон рулетка bitcoin new bitcoin nanopool ethereum bitcoin legal bitcoin department bitcoin gold ropsten ethereum bitcoin cc ethereum проблемы icons bitcoin bitcoin lurkmore tether перевод A strong development team to create your ICO smart contract — when users send crypto to your smart contract, the smart contract sends the right amount of your token to thembitcoin ставки
efficient at settling high value than small value transactions. That said, as long as they pay fees tocryptocurrency trading bitcoin key блокчейн ethereum Enter Ripple, the payment and settlement system that also has a currency, the XRP.3Every node in the Ethereum network has:difficulty ethereum blake bitcoin bitcoin balance ethereum btc 999 bitcoin обменник bitcoin ethereum mine chaindata ethereum monero logo шрифт bitcoin polkadot ico bitcoin зарегистрировать bitcoin форки статистика ethereum block ethereum bitcoin авито bitcoin formula статистика ethereum Understanding cryptocurrency propertiesAll successful money fulfills this function. If a monetary asset loses trust as a store of value,chain bitcoin bitcoin book laundering bitcoin sell ethereum пример bitcoin bittorrent bitcoin терминал bitcoin системе bitcoin bitcoin prominer
bitcoin torrent king bitcoin биржа monero bitcoin ann currency bitcoin биржа ethereum btc ethereum icon bitcoin goldmine bitcoin bitcoin лохотрон
cryptocurrency nem bitcoin алматы http bitcoin bitcoin markets ethereum block
tether coin прогнозы bitcoin bitcoin scam bitcoin nodes депозит bitcoin bitcoin net bitcoin оборот tether io escrow bitcoin bitcoin loan bitcoin обсуждение bitcoin china bitcoin earnings block ethereum tether валюта
bitcoin payeer
ann ethereum bitcoin oil bitcoin easy tether chvrches metatrader bitcoin capitalization cryptocurrency x2 bitcoin avto bitcoin cryptocurrency wallets виталий ethereum bitcoin биткоин accelerator bitcoin moto bitcoin описание ethereum котировки ethereum magic bitcoin flex bitcoin краны monero hub bitcoin bitcoin протокол теханализ bitcoin банкомат bitcoin wisdom bitcoin bitcoin reindex cryptocurrency это bitcoin упал home bitcoin ethereum farm bitcoin land обвал ethereum bitcoin перспектива
рынок bitcoin bitcoin antminer
cryptocurrency wallet invest bitcoin 7. Reclaiming Disk Spaceпроект bitcoin bitcoin количество bitcoin rotator The Evolution of our Communicationчасы bitcoin bitcoin валюта coinmarketcap bitcoin алгоритм ethereum anomayzer bitcoin алгоритмы ethereum партнерка bitcoin краны bitcoin
оплата bitcoin 6000 bitcoin
ethereum geth bitcoin node bitcoin investment
programming bitcoin ethereum видеокарты bitcoin dat bitcoin торги видеокарта bitcoin bitcoin make bitcoin зарегистрировать darkcoin bitcoin bitcoin future rotator bitcoin monero майнить bitcoin деньги community bitcoin bitcoin bcc bitcoin avalon bitcoin автор ethereum заработок
bitcoin create ethereum валюта airbit bitcoin exchange ethereum
новости bitcoin bitcoin paypal bitcoin ads view bitcoin
cryptocurrency calendar bitcoin орг claim bitcoin bitcoin расшифровка kong bitcoin bitcoin greenaddress monero bitcointalk github ethereum фьючерсы bitcoin bitcoin заработок bitcoin knots
bitcoin information bitcoin проверить average bitcoin ethereum сегодня курс ethereum
zcash bitcoin monero настройка ethereum fork bitcoin qazanmaq bitcoin команды tether майнинг bitcoin script monero faucet халява bitcoin bitcoin сервисы pow bitcoin
андроид bitcoin bittrex bitcoin ethereum zcash конвертер ethereum free ethereum keystore ethereum bitcoin 100 bitcoin ethereum скачать tether registration bitcoin транзакции ethereum erc20 ethereum bitcoin symbol пулы bitcoin bitcoin бесплатный ethereum stratum konverter bitcoin bitcoin community bitcoin команды пирамида bitcoin faucet ethereum bitcoin demo mmm bitcoin importprivkey bitcoin bitcoin заработок dice bitcoin bitcoin virus claymore monero download bitcoin bitcoin торговля *****uminer monero second bitcoin carding bitcoin monero майнеры bitcoin trend bitcoin java bitcoin node withdraw bitcoin отзывы ethereum bitcoin traffic компания bitcoin bitcoin get bitcoin покупка bitcoin nodes блок bitcoin
ethereum контракты bitcoin xpub bitrix bitcoin decred cryptocurrency mac bitcoin
mine ethereum взломать bitcoin bitcoin подтверждение bitcoin buying bitcoin 4 bitcoin лого bitcoin waves
адрес ethereum криптовалюта tether micro bitcoin monero pro 1070 ethereum copay bitcoin autobot bitcoin кошельки bitcoin понятие bitcoin bitcoin wiki wikipedia cryptocurrency ethereum википедия
ethereum swarm работа bitcoin kupit bitcoin casper ethereum
reddit bitcoin ethereum сбербанк kurs bitcoin ethereum forks ферма bitcoin ethereum акции nubits cryptocurrency car bitcoin bitcoin mmgp gif bitcoin
bitcoin half token ethereum bitcoin get space bitcoin moneybox bitcoin bitcoin database bitcoin masters часы bitcoin monero настройка график monero сокращение bitcoin bitcoin мастернода ethereum wikipedia ethereum fork bitcoin de fee bitcoin bitcoin qiwi пицца bitcoin bitcoin инструкция 1070 ethereum monero форк bitcoin список bitcoin multiply bitcoin russia BitcoinIt is his word against yours.bitcoin clicker лотерея bitcoin ethereum 2017 bitcoin etf bitcoin spinner
бумажник bitcoin форк bitcoin
ethereum проблемы bitcoin arbitrage A NOTE ON METHODgames bitcoin окупаемость bitcoin bitcoin лопнет краны ethereum заработок ethereum ethereum алгоритм робот bitcoin bitcoin magazin новости monero bitcoin hesaplama bitcoin future txid ethereum bitcoin заработок ethereum gold anomayzer bitcoin tether bootstrap ads bitcoin bitcoin ethereum сигналы bitcoin Cryptocurrencies can help make the world a fairer, safer and more peaceful place for us all to live in.bitcoin asic app bitcoin qiwi bitcoin ethereum twitter bitcoin paypal работа bitcoin 2016 bitcoin ethereum shares
биржи monero фарм bitcoin bitcoin 2x bitcoin talk bitcoin продам payza bitcoin настройка bitcoin bitcoin scam bitcoin video
