Explore the best cryptocurrency mining pools
What is a Cryptocurrency Mining Pool?
Cryptocurrency mining pools are a combined effort of multiple miners who share computing resources to increase the odds of solving puzzles and successfully mining new cryptocurrencies. Solo mining requires technical expertise and mining infrastructure, which can be time-consuming and energy-consuming. Mining pools allow even beginners to get started without much setup. They can join pools and start mining with other miners by sharing computational resources and successfully mining cryptocurrencies.
Miners pool their resources to increase the likelihood of block identification and are rewarded based on their contribution. Most mining pools often charge a portion of mining rewards as mining fees. Nonetheless, mining pools help miners have a stable income through cryptocurrency mining by improving mining rewards.
Factors to Consider When Choosing a Mining Pool
If you decide to join a mining pool, here are some practical factors to consider when choosing a mining pool:
1. Choose the best cryptocurrency for mining
Your mining profits are directly affected by the price of the cryptocurrency you mine. Therefore, it is important to choose the best cryptocurrency before choosing the right mining pool. Do your research and find out the price history and past performance of cryptocurrencies. Cryptocurrency prices are volatile and unpredictable, but understanding historical price history and current market trends can help you choose the right cryptocurrency.
2. Check the pool’s reputation
Mining pools are cryptocurrency mining partners. Therefore, working with the right mining pool will help you have a successful mining journey. First, research which mining pools are suitable for your cryptocurrency and dig deeper. It is important to ask for feedback from fellow miners as many scammers in the industry steal profits. Choose a pool whose fees and payments are transparent and trustworthy. Additionally, to get the most out of your mining pool and maximize your profits, you should check its stability, including frequency of downtime and past attacks.
3. The size of the swimming pool is important
Pool size also directly affects mining profits. Pool size is nothing more than the number of miners connected to the pool and the hash rate of the pool. Most small pools have a few miners and have relatively low hash rates, resulting in low profits. On the other hand, large pools with many miners with sophisticated software can increase mining pool difficulty, especially if the hardware is not as powerful as the hardware. So, choose a pool with a decent number of miners that matches the capabilities of your mining rig. Therefore, the collective hashing power of the pool is reasonably high to successfully mine cryptocurrency.
4. Consider mining pool fees
While most swimming pools charge a fee, very few are free to operate. Typically, pools do not charge significant amounts and only collect 2% of mining rewards. However, it is essential to discuss fees with the mining pool in advance. This allows you to better predict your mining profits.
5. Check the pool payment method.
Each mining pool has its own way of paying miners. The most common methods are Pay-Per-Share (PPS) and Pay-Per-Last-n-Shares (PPLNS). For example, in a PPS approach, a mining pool pays miners a standard amount for every share they submit. On the other hand, PPLNS uses a solution weighting system. In PPLNS, the number of shares submitted by a miner is divided by the total number of shares submitted by the pool, and this is then multiplied by the block reward. Therefore, luck also plays an important factor in the PPLNS payment method.
Pool Concentration Description
Cryptocurrency mining pool concentration means that hashing power is distributed across various cryptocurrency mining pools. Pool concentration is very important for decentralized mining. Mining power may be centralized, for example if a large pool controls a significant portion of the network’s hash power. This will eventually lead to other unethical activities such as double spending of coins, manipulation of transactions, exclusion of other miners from block verification, etc.
Distributed hash power distribution across various mining pools is essential to ensure a healthy mining environment. This maintains integrity by ensuring that no single party has undue control over the mining network. Cryptocurrency experts and blockchain developers often monitor and analyze pool concentration regularly to address gaps and possible problems.
Current mining pool block sharing
Source: BTC
Let’s take a look at the block share of the top mining pools as of August 2023. However, mining pool block shares continue to fluctuate. Therefore, it is recommended to check the updated information of the mining pool you wish to mine.
Type of payment method
Mining pools reward miners for sharing computing resources. The rewards are of various types. Here we will discuss the most commonly used payment methods in mining pools.
1. Payment per share (PPS)
The PPS method provides immediate payouts for all shares settled by miners. Typically, a fixed amount is paid out, often a specific amount of newly mined cryptocurrency. Mining pools pay rewards immediately after deducting the pool’s fees. Therefore, the PPS method promotes stable income for miners. This method eliminates the risk of miners being scammed or underpaid by the mine.
2. Pay in full per week
The FPPS method works similarly to the PPS method, but the transaction fees are paid slightly differently. For example, in the FPPS method, in addition to paying a fixed amount as a block reward, a standard transaction fee is also paid to miners. Standard transaction fees are calculated and distributed to miners on a regular basis (usually every 24 hours). Therefore, the FFPS method is ideal for increasing profits as miners receive transaction fees along with mining rewards.
3. Final payment of N shares
The PPLNS method is another common pay scheme for mining pools that pays miners a certain percentage of shares. For example, miners are rewarded for the number of blocks they discover relative to the total number of shares (N). So the more blocks you find, the more profit you earn. This method is ideal for loyal pool members rather than pool hoppers.
4. Pay per share + (PPS+)
PPS+ is a combination of PPS and PPLNS. For example, the PPS+ method pays block rewards periodically. Transaction fees are based on the PPLNS method. The pool’s transaction fees are distributed to miners based on their hash rate contribution.
Best Cryptocurrency Mining Pools for Cryptocurrency Mining
The emergence of numerous cryptocurrencies has increased the need for custom ASIC miners that are fine-tuned to the specific mining algorithm followed by the cryptocurrency. Likewise, various cryptocurrency mining pools have also emerged customized for specific cryptocurrencies. Let’s take a look at some of the best cryptocurrency mining pools that you can utilize to mine various cryptocurrencies.
1. Binance
Binance is a trusted cryptocurrency mining pool that provides a dedicated platform for miners focused on PoW and PoS mining algorithms. Binance provides the best mining services by using the latest technology and giving miners access to specialized mining hardware. With reasonable mining costs, miners can utilize technology and other resources to enjoy the best mining experience. Binance supports miners with increased odds of successful mining, instant payouts, reduced volatility, and predictable income. Binance, which allows mining of numerous cryptocurrencies, also offers cloud mining services, making it easy for miners to mine while saving on all upfront costs.
How to participate in Binance mining pool?
All you need is to create an account with Binance and go to the mining pool page. Select the coin you want to mine and join the pool. You will receive a mining URL and worker name details that you can use to connect your mining software to the Binance pool.
How does Binance pay miners?
Binance is one of the well-established mining pools that supports all payment methods including PPS, FPPS, PPLNS, and PPS.
2. F2 pool
F2Pool is one of the oldest mining pools where miners can utilize computing power and successfully mine cryptocurrencies. Since its launch in 2013, F2Pool has amassed approximately 2 million active users. Miners can mine over 40 digital currencies including BTC, ETCH, ZEC, LTC, and more. By partnering with F2Pool, miners have access to cutting-edge technology, professional mining equipment, and instant payment systems. Moreover, F2Pool is known to effectively prevent DDoS attacks. You can check and compare the hash rates, prices, and mining algorithms of cryptocurrencies and mine according to your mining preferences. Miners can enjoy predictable income through F2Pool’s automatic payouts.
How to join F2Pool?
The process of signing up for F2Pool is relatively easy. You will need to create an account with F2Pool and configure your mining rig through it. You can then add your payment address and start mining immediately.
How does F2Pool pay miners?
F2Pool accepts PPS and PPS+ payment methods.
3. Pegapool
Bitcoin mining has been criticized for its massive energy consumption. Pega Pool, an eco-friendly mining pool, is an initiative for green mining by solving the carbon footprint problem caused by Bitcoin mining. By joining Pega Pool, you can donate your pool costs to help plant trees and reduce Co2 emissions. Join Pega Pool and become an environmentally friendly Bitcoin miner.
How do I join Pega Pool?
Joining an eco-friendly Pegapool begins with joining the pool. Once you receive all the details such as the pool’s URL and miner name, you can configure your mining rig with the Pega pool and start mining immediately. You can collect mining rewards in your wallet.
How does Pega Pool pay miners?
Pega Pool implements an FPPS payment scheme to incentivize miners to receive timely compensation for their contributions.
4. Via BTC
Via BTC is one of the best mining pools that supports multiple cryptocurrencies. Our intuitive dashboard allows you to understand the real-time hash rates, daily profits, prices, revenue models and mining difficulties of different cryptocurrencies and choose the one that best suits your mining needs. Additionally, Via BTC follows PPS (Pay Per Share) and PPLNS (Pay Per Last N Shares) revenue models, ensuring predictable income by paying miners immediately.
How to participate in the Via BTC pool?
Register on the pool website and receive all mining details to your preferred email address. Connect your mining device to the pool by entering all required information. Start mining and receive mining rewards in your cryptocurrency wallet.
How do I pay miners through BTC pools?
Via BTC offers three payment options including PPS+, PPLNS, and SOLO.
5. Antfull
AntPool is another established mining pool that supports a variety of cryptocurrencies. Launched in 2014, AntPool provides real-time updates on pool hash rates, network hash rates, coin prices, daily returns and profit modes for various cryptocurrencies, allowing miners to make informed decisions. Antpool supports Full Pay Per Share (FPPS), Pay Per Share (PPS), and Pay Per Last N Shares (PPLN), enabling revenue transparency for miners.
How do I sign up for AntPool?
Register with Antpool with your preferred email address and receive your account details. Configure your mining device and wallet address into a pool and start mining right away.
How does AntPool pay miners?
AntPool supports payment methods such as PPS, FPPS and PPLNS.
Compare different mining pools
Now let’s compare the top 5 cryptocurrency mining pools. Let’s take a look at what BTC.com statistics say about these pools.
The comparison table is for quick reference only. The values entered here are subject to change. Miners must actively monitor the market to know mining pool trends and performance.
