Why do individuals have to join a "mining pool" to mine bitcoins?

It's basically impossible to mine bitcoins using a personal mining approach. Large-scale mining has already taken place, and individuals need to join a mining pool.

With more and more people mining on the internet and more and more computing power, m31s miner the probability of a single miner being able to mine bitcoin is getting smaller and smaller, and the revenue is getting more and more important and unstable, without a mining pool, you may only be able to mine one block a month.

If we pool everyone's computing power together and participate in mining, and then distribute the rewards of the blocks mined to everyone, this provides more revenue and is more stable. This collection of more than N people's computing power is the mining pool.

For miners, there are two main cooperation models for mining pools: PPS and PPLNS.

The PPS model gives you a basic daily fixed income based on your share of the mine's computing power. metal prototype fabrication If you have 1T of computational power and the entire pool has 100T of computational power, then you take 1% of the pool's computational power.

Based on the current mining difficulty and the sum of the global computing power, the pool is expected to be able to mine one day's worth of blocks, and you will then be rewarded with a proportional amount of bitcoin accordingly.

The PPLNS model, which pays out economic revenue based on the N shares of the business in the past, saas payment gateway allows all miners, once they have mined such a block, to distribute it and the new bitcoins in the block based on each person's share, i.e., the percentage of the amount of computing power they contributed.

The difference between the PPLNS model and the PPS model is that in the PPS model, the bitcoin share is paid to the miners by the mining pool in advance, and as long as the miners' mining machine speed develops steadily, the amount of bitcoins they can get every day is very stable.

Under the PPLNS model, the amount of bitcoins that a company receives during a fixed working time is subject to a certain amount of luck.