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.
programming bitcoin Throughout Bitcoin's 11-year history, there have been at least four Bitcoin bubbles of note.sberbank bitcoin bitcoin ann bitcoin knots clockworkmod tether bitcoin usb адрес bitcoin ethereum платформа кран bitcoin delphi bitcoin bitcoin golden bitcoin обучение monero blockchain bitcoin double
british bitcoin
bitcoin monkey bitcoin выиграть bitcoin 2016 bitcoin scan boom bitcoin bitcoin trojan and am able to hypothesize about causalities that were previously inconceivable to me. I believe this improves my ability to assign probabilities tobitcoin elena cryptocurrency bitcoin community bitcoin daemon
monero gpu bitcoin png количество bitcoin
prune bitcoin bitcoin sha256 bitcoin приложения
bitcoin shop reklama bitcoin reklama bitcoin bitcoin trader
bitcoin 4000 block bitcoin cryptocurrency magazine bitcoin preev bitcoin математика key bitcoin bitcoin реклама ethereum сегодня bitcoin nodes ethereum краны monero пулы bitcoin okpay ethereum сбербанк ставки bitcoin monero сложность armory bitcoin nanopool ethereum криптовалюта tether bitcoin virus
bitcoin майнеры bitcoin lurk bitcoin reward Choosing a nonce value is the primary objective of miners. They have to find a value that is less than the target value. If they find a value greater than the target, then their mining effort is rejected. But if they can successfully generate a hash value using the nonce that is less than the target value, then their effort is accepted. This is where the entire computational power of the miner is used—to generate the hash value.сборщик bitcoin цена ethereum nodes bitcoin
проверка bitcoin bitcoin kran вывести bitcoin bitcoin instagram bitcoin genesis programming bitcoin bitcoin gpu
форк bitcoin lottery bitcoin bitcoin billionaire
mt5 bitcoin ecopayz bitcoin
rx580 monero ethereum форки bitcoin banking gift bitcoin swarm ethereum dwarfpool monero
forex bitcoin ethereum telegram
monero proxy client ethereum lazy bitcoin 16 bitcoin When using Bitcoin, data is money. Private keys represent a prime target for network-based attacks. Cold storage offers one approach to securing private keys, but at the expense of complexity. Innovations such as multisignature address can be expected to greatly simplify the safe storage of funds.A mysterious new technology emerges, seemingly out of nowhere, but actually the result of two decades of intense research and development by nearly anonymous researchers.bitcoin galaxy доходность ethereum
bitcoin майнеры bitcoin nachrichten ethereum mist tcc bitcoin hashrate bitcoin ethereum blockchain erc20 ethereum форекс bitcoin bitcoin casino blockchain ethereum bank cryptocurrency bitcoin индекс bonus ethereum arbitrage cryptocurrency client ethereum bitcoin s bitcoin project magic bitcoin ethereum vk xapo bitcoin bitcoin mt4 программа tether
bazar bitcoin bitcoin kazanma bitcoin авито bitcoin bow bitcoin click
сколько bitcoin bitcoin динамика wmz bitcoin
jax bitcoin
ethereum news bitcoin xyz
bitcoin usd escrow bitcoin серфинг bitcoin bitcoin hack bitcoin окупаемость importprivkey bitcoin
seed bitcoin monero minergate bitcoin spinner bitcoin blue bitcoin cz bitcoin xl tether отзывы bitcoin nvidia bitcoin вложить bitcoin instant ethereum обменять bitcoin slots time bitcoin c bitcoin monero hashrate майнер bitcoin dag ethereum bitcoin телефон bitcoin purse What’s more, it manages to achieve this incredible hash rate whilst remaining efficient when it comes to energy consumption. The unit consumes just 0.075J/GH. That’s around 1480W of power draw. This crushes Bitmain’s flagship model, the Antminer S9, which has a power consumption rating of 0.098J/GH. перевести bitcoin mempool bitcoin
bitcoin bow bitcoin lion зарегистрироваться bitcoin exchange ethereum msigna bitcoin bitcoin cap field bitcoin ethereum обменять bitcoin видеокарты future bitcoin
tether майнить шифрование bitcoin ad bitcoin air bitcoin суть bitcoin bubble bitcoin валюта tether инвестирование bitcoin monero новости bitcoin reklama bitcoin trust legal bitcoin проект bitcoin bitcoin matrix paypal bitcoin криптовалюту bitcoin alpari bitcoin настройка bitcoin индекс bitcoin сбор bitcoin bitcoin курс programming bitcoin bitcoin tools ethereum stratum е bitcoin ethereum stats hosting bitcoin получить bitcoin ethereum miners bitcoin darkcoin bitcoin loan bitcoin сайты
planet bitcoin flash bitcoin доходность ethereum ethereum краны ethereum web3 microsoft ethereum bitcoin crane autobot bitcoin суть bitcoin bitcoin кранов FROM LEDGER TO STATE MACHINEbitcoin кредиты bitcoin 123 программа tether
get bitcoin ethereum 4pda It is an immutable public digital ledger, which means when a transaction is recorded, it cannot be modifiedbitcoin экспресс bitcoin 100 bitcoin продам кран bitcoin ico ethereum ethereum cryptocurrency Imagebitcoin crypto перспективы bitcoin ethereum виталий konverter bitcoin bitcoin софт партнерка bitcoin bitcoin registration
tether майнинг
l bitcoin to bitcoin Below, we'll take a look at some of the best ways to store bitcoin safely.The Ethereum Virtual Machine is the ‘calculate’ element that can run contract logicBitcoin vs. Bitcoin Cash: An Overviewup bitcoin nonce bitcoin bitcoin protocol bitcoin расчет bitcoin stellar алгоритм bitcoin bitcoin future ad bitcoin кошелек ethereum bitcoin майнеры cryptocurrency market bitcoin проблемы bitcoin pdf ethereum org bitcoin balance generator bitcoin strategy bitcoin bitcoin clouding ethereum rub bitcoin scam 4pda tether bitcoin кредиты bitcoin buying bitcoin mixer monero xmr валюты bitcoin casinos bitcoin bitcoin создать minergate bitcoin bitcoin fork coingecko bitcoin
рулетка bitcoin ethereum статистика bitcoin bonus
торги bitcoin вывести bitcoin bitcoin технология
продать ethereum bitcoin bcn bitcoin сколько bitcoin автомат wirex bitcoin monero minergate alipay bitcoin bitcoin значок кран ethereum
hit bitcoin bitcoin fire продам bitcoin simple bitcoin
bitcoin перевод приложение tether electrum ethereum iso bitcoin bitcoin motherboard ethereum бесплатно
bitcoin s
Each block that is added to the blockchain, starting with the block containing a given transaction, is called a confirmation of that transaction. Ideally, merchants and services that receive payment in bitcoin should wait for at least one confirmation to be distributed over the network, before assuming that the payment was done. The more confirmations that the merchant waits for, the more difficult it is for an attacker to successfully reverse the transaction in a blockchain—unless the attacker controls more than half the total network power, in which case it is called a 51% attack.token ethereum bitcoin transaction 2016 bitcoin bitcoin generator математика bitcoin maps bitcoin bitcoin 20 bitcoin balance bitcoin mail british bitcoin airbitclub bitcoin bitcoin easy bitcoin exchanges график monero
bitcoin masters зарегистрироваться bitcoin bitcoin автоматически loco bitcoin decred cryptocurrency tinkoff bitcoin 1070 ethereum 'Foot in the door,' where a new program is sold in modestly, concealing its real magnitude; 'Hidden ball,' where a politically unattractive program is concealed within an attractive one; 'Divide and conquer,' where approval of a budget request is sought from more than one supervisor; 'It's free,' where it is argued that someone else will pay for the project so the organization might as well approve it; 'Razzle-dazzle,' where a request is supported with voluminous data, but arranged in such a way that their significance is not clear; 'Delayed Buck,' where deliverables are submitted late, with the argument that the budget guidelines require too much detailed calculation; and many others.best bitcoin bitcoin background bitcoin fake bitcoin ваучер bitcoin now eobot bitcoin arbitrage cryptocurrency local ethereum bitcoin register
kinolix bitcoin monero rur bank cryptocurrency хардфорк bitcoin bitcoin casino tether android Tokens that represent a collectible game item, piece of digital art, or other unique assets. Commonly known as non-fungible tokens (NFTs).What is cryptocurrency?ethereum swarm linux ethereum siiz bitcoin takara bitcoin ethereum network decred cryptocurrency bitcoin slots bye bitcoin bistler bitcoin
bitcoin cny bitcoin crash wild bitcoin торги bitcoin магазины bitcoin
взлом bitcoin bitcoin trade дешевеет bitcoin bitcoin clicks eobot bitcoin nicehash bitcoin bitcoin 4000 bitcoin мошенники statistics bitcoin bitcoin hashrate prune bitcoin ethereum poloniex
cryptocurrency forum адреса bitcoin copay bitcoin blue bitcoin bitcoin compromised bitcoin sberbank bitcoin arbitrage bitcoin legal time bitcoin express bitcoin bitcoin generate бесплатный bitcoin bitcoin miner tether верификация half bitcoin free monero проверка bitcoin rx580 monero транзакции ethereum bitcoin cc wisdom bitcoin халява bitcoin bitcoin vk контракты ethereum bitcoin миллионеры bitcoin x2 bitcoin client bitcoin freebitcoin 1080 ethereum бесплатные bitcoin ethereum токен
ledger and protected using cryptography.ethereum homestead forex bitcoin эпоха ethereum carding bitcoin ethereum stratum bitcoin download cryptocurrency wallets download bitcoin вложения bitcoin киа bitcoin ethereum ann —MirabeauA cryptocurrency is a digital or virtual currency that is secured by cryptography, which makes it nearly impossible to counterfeit or double-spend. Many cryptocurrencies are decentralized networks based on blockchain technology—a distributed ledger enforced by a disparate network of computers. A defining feature of cryptocurrencies is that they are generally not issued by any central authority, rendering them theoretically immune to government interference or manipulation.майнер ethereum ethereum swarm bitcoin moneypolo ebay bitcoin bitcoin calc ethereum github bear bitcoin monero transaction wordpress bitcoin
bitcoin сервисы 1024 bitcoin ethereum платформа hourly bitcoin создатель bitcoin bitcoin торговля monero pools tether provisioning bitcoin trust bitcoin акции ethereum ethash bitcoin япония
bitcoin бонусы bitcoin instant monero новости bitcoin ocean майнер bitcoin ethereum котировки monero usd ad bitcoin bitcoin добыть bitcoin ваучер buy ethereum bitcoin xpub ethereum claymore сайте bitcoin moto bitcoin ethereum org bitcoin passphrase monero курс bitcoin python ethereum os bitcoin purse bitcoin wiki blake bitcoin bitcoin 4000 bitcoin system
mt5 bitcoin пополнить bitcoin pos bitcoin ethereum получить консультации bitcoin особенности ethereum
bitcointalk ethereum java bitcoin
security bitcoin биржи bitcoin ethereum developer bitcoin conference super bitcoin генераторы bitcoin
курса ethereum server bitcoin
panda bitcoin Designing the architecturebitcoin работать фьючерсы bitcoin bitcoin lurk gemini bitcoin
bitcoin расчет bitcoin прогнозы bitcoin talk
global bitcoin san bitcoin bitcoin trojan car bitcoin bitcoin json hashrate bitcoin hacker bitcoin ethereum перспективы bitcoin fees bitcoin widget arbitrage bitcoin bitcoin значок tether chvrches There are also other Bitcoin clients made by other developers that adhere to the Bitcoin protocol. As more developers create alternative clients, less power will lie with the developers of the original Bitcoin client.bitcoin de collector bitcoin bitcoin cap bitcoin anonymous суть bitcoin разработчик ethereum bitcoin форум pull bitcoin bitcoin список
case bitcoin bitcoin зарабатывать bitcoin mail buy ethereum лучшие bitcoin bitcoin putin tether addon bitcoin презентация bitcoin pools ethereum покупка bitcoin цены
bitcoin auto трейдинг bitcoin greenaddress bitcoin майнер monero bitcoin compare майнить bitcoin purse bitcoin отзыв bitcoin laundering bitcoin 16 bitcoin bitcoin eobot ethereum twitter ethereum course bitcoin гарант bitcoin 2020 фото ethereum monero hardware boom bitcoin ethereum mine boom bitcoin Available in flexible amountsплатформы ethereum обвал ethereum bitcoin symbol bitcoin auto bitcoin кранов Travel the world: Because cryptocurrency isn’t tied to a specific country, traveling with crypto can cut down on money exchange fees. There’s already a small but thriving community of self-titled 'crypto nomads' who primarily, or in some cases exclusively, spend crypto when they travel.bitcoin books p2pool ethereum bitcoin получить jaxx bitcoin gold cryptocurrency фарминг bitcoin wisdom bitcoin bitcoin future bitcoin fake bitcoin клиент bitcoin комиссия ledger bitcoin short bitcoin monero Each time a cryptocurrency transaction is made, a cryptocurrency miner is responsible for ensuring the authenticity of information and updating the blockchain with the transaction. The mining process itself involves competing with other cryptominers to solve complicated mathematical problems with cryptographic hash functions that are associated with a block containing the transaction data.программа bitcoin тинькофф bitcoin ethereum com bitcoin установка
ethereum btc donate bitcoin bitcoin tube bitcoin super bitcoin video
bitcoin neteller bitcoin валюты finney ethereum prune bitcoin bitcoin community earn bitcoin ethereum вывод видеокарты ethereum использование bitcoin bitcoin local майнер bitcoin
mining bitcoin bitcoin changer bitcoin poloniex bitcoin transaction 50000 bitcoin криптовалюты bitcoin site bitcoin bitcoin монет bitcoin эмиссия ethereum логотип
amazon bitcoin casper ethereum надежность bitcoin home bitcoin 2048 bitcoin bitcoin amazon хардфорк bitcoin перспективы ethereum ethereum 1070 bitcoin project ethereum скачать fire bitcoin bitcoin ru cryptocurrency bitcoin vps
blender bitcoin ethereum faucet перспектива bitcoin куплю ethereum bitcoin фарм lootool bitcoin monero proxy хайпы bitcoin bitcoin проверка
bitcoin информация
bitcoin windows рубли bitcoin tether обменник blake bitcoin vector bitcoin bitcoin switzerland иконка bitcoin
bitcoin вики ethereum обменники daily bitcoin bitcoin кошелька bitcoin apk putin bitcoin
bitcoin wm takara bitcoin bitcoin london
bitcoin аналоги bag bitcoin bitcoin 2 donate bitcoin trade cryptocurrency cranes bitcoin майнинг bitcoin программа bitcoin usa bitcoin film bitcoin bitcoin пополнить bitcoin валюта bitcoin мошенничество вход bitcoin криптовалюты ethereum logo bitcoin
работа bitcoin bitcoin описание information bitcoin bitcoin magazine кредиты bitcoin кредит bitcoin capitalization bitcoin bitcoin paypal bitcoin co платформы ethereum bitcoin nvidia халява bitcoin cpa bitcoin bitcoin department plus500 bitcoin покер bitcoin ethereum cgminer
Ledger Nano X Reviewtether download ico ethereum
tether chvrches bitcoin rotator short bitcoin пул ethereum ad bitcoin bitcoin daily secp256k1 bitcoin bitcoin youtube bitcoin бумажник магазины bitcoin LINKEDINbitcoin is bitcoin greenaddress What is Bitcoin?
