Mining Pools

    There are two ways to mine:  Solo mining and mining with a pool.  Solo mining is useful if you have a very high hashrate compared to the rest of the network.  When you mine in a pool, you collaborate with others to find blocks.  In the very long run, solo mining is always more profitable – but beware of the variance.  For stable returns, mine in a pool.  If you don’t mine a block solo at least every day or so we advise to mine in a pool.  Smaller pools have higher variance, but in the long run only the fees should make a difference.

    There are difference fees and reward systems.  The most popular are PPLNS, or round based PPLNS.  “Pay Per Last N Shares”.  This means you get a share of the total reward based on your % of shares submitted to the pool.  The N shares defines over how long a period this is calculated.  In practice, this means for a large N shares number that there is a “ramp up” period before you get full payment.  PPS is Pay Per Shares.  This means you get paid a fixed number for each share.  Over the long run a PPLNS system always pays more, but has higher variance.  This is due to fees.  It is important to verify if the pool pays transaction fees too – for bitcoin these fees are starting to add up.  For example, transaction fees can add up to over 10% of the total miner reward…

  • Here are pools we can recommend in no particular order (this is a non-exhaustive list) :
    • CKpool.  The lottery solo pool !  Solo mine here without hassle.  0.5% fee.
    • Kano pool.  Very well run pool.  Does not pay out less than 0.0001btc.  0.9% fee.  PPLNS
    • F2pool.  Chinese pool, PPS. 3% for bitcoin, ethereum and zcash.
    • Antpool.  PPLNS or PPS.  0% fee / 1.5%.  Does not pay transaction fees.
    • CoinMine.  Has a variety of pools, ETH and ZEC included, 1% fee.
    • Coinotron.  ETH, ZEC and other pools.  1% fee.
    • Nicehash.  You can rent hashrate or sell your hashrate here.  Very user friendly and they have their own miner.  Highly recommended, but 3% fees will add up over time.  You get paid in BTC regardless of the algorithm.
    • ETHpool.  1% fee ETH pool.  They also have Flypool for ZEC.
    • SlushPool.  Operating since 2010 !  2% fee but pays out transaction fees.
    • MiningPoolHub.  Great pool, Multi-coin mining, 0.9% fee.
    •  Multi-Algo Pool, with SOLO mining pools as well.  1% fee.  (Sponsored)

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