The twenty-first century dictates the new lifestyle rules for people all around the world. Nobody wants to leave the house and work for getting money. Now it is popular to use Bitcoin mining pools. If you don’t know what it is continue reading this article because we are going to give you all necessary information. So, what are Bitcoin mining pools?
There are lots of pools for mining Bitcoin. Pool is a group of miners which are join in order to get more profit. The sense of cooperative work lays in the fact that this mining type brings more bitcoins. Everyone makes a few numbers of algorithms and at the end, the group of miners shares block rewards in proportion to their mining hash power. As a rule, one block costs 12.5 BTC. It means that without cooperative work in a pool, a user cannot achieve such a great result or it is going to be a lucky chance.
Why do we need mining pools?
After the cryptocurrency emergence, you could mine virtual coins on your home PC. The first miners were students, gamers, and programmers who were using a free minute to practice mining.
Pretty quickly the situation has changed. With the popularization of Bitcoin, more and more people started to connect to the process of mining. In this situation, its complexity began to increase. First, successful mining required a special video card, then reprogrammed chips. Today, there are devices called ASICs which are high speed and low energy consumption.
But solo-mining (mining bitcoins alone) has lost its relevance. The cryptographic tasks has become so complex and expensive that costs have not paid off. Therefore, users decide to join the pools. In this case, a unified system, including dozens or even hundreds of thousands of computers allow mining cryptocurrency much faster.
Bitcoin mining software
First of all, you need to set up a Bitcoin wallet where you can keep money. For example, Copay is a one of the examples of Bitcoin wallet. Bitcoins are sent to your Bitcoin wallet by using a unique address that only belongs to you. You can purchase a wallet by downloading a software client to your computer.
Also, download a special program used for Bitcoin mining. There are a lot of programs that can be used for Bitcoin mining, but the most popular are CGminer and BFGminer.
Choose the best mining pool
You shouldn’t choose new pools for mining, as they don’t have the capacity immediately to earn decent money.
The selection criteria are universal:
- the lifetime of the project;
- adequate feedback;
- the fee for withdrawing bitcoins;
- participation in the project;
- the status of the organization;
- feedback about the project at professional forums.
The biggest pools are situated in China. Nowadays Chinese pools control mostly 81% of the network hash rate. Electricity is very cheap there that helps Chinese miners to occupy such a big niche and to be recognizable as Chinese four: Antpool, BTCC, F2 pool and BW pool. The second place goes to Iceland which controls 5% of the Bitcoin mining pools. Then come Japan and Czech Republic with 3%. And at the end of the list there are Georgia and India with only 2% of all pools.
You can start mining in one of the pools and then redirect the hashing power to another mining pool at anytime.
Top Bitcoin mining pools
The list below is based on the information from Blockchain pool share chart:
- 1. Antpool (25.2%)Antpool is based in China and owned by BitMan. Antpool mines about 25% of all blocks. Antpool is free to join and has special service – solo-mining for those who likes tempt fate.URL: https://www.antpool.com/
- 2. BTC.top (11.2%)This pool is private and closed for joining.URL: http://btc.top/
- 3. BTC.com (10.2%)BTC.com is a public mining pool.URL: https://btc.com/
- 4. Bixing (8.1%)Bixing is based in China and suitable for Chinese speakers.URL: https://bixin.com/common/pool_landing
- 5. BTCC (7.3%)It’s another Chinese mining pool with the third China’s largest Bitcoin exchange.URL: https://pool.btcchina.com/
- 6. F2 pool (5.4%)F2 pool, also known as DiscusFish, is based in China too. It was based in 2013. In the last six month, F2 pool mined around 5-6% of all blocks. But you should be attentive because you can withdraw money only during 90 days.URL: https://www.f2pool.com/
- 7. Via BTC (5%)Via BTC is a quite new Chinese mining pool. It was founded only one year ago. URL: https://pool.viabtc.com/
- 8. BW pool (5%)BW is based in China. It mines around 5% of all blocks.URL: https://www.bw.com/pool/i
- 9. BitClub.Network (4.8%)BitClub.Network is a big mining pool, but it seems to be something shady. It is better to stay away from this pool. This pool positioning itself as an investment project. Registration is free but the membership fee is 99$.URL: http://www.bitclub.network/
- 10. Slush (2.6%)Slush is Czech Republic mining pool. It is the first mining pool. Now it mines around 3% of all blocks. It is not one of the largest mining pools but one of the most popular. Slush is good for beginners.URL: https://slushpool.com/home/
How to join Bitcoin mining pool?
There are two types of mining pools: free and private. If the mining pool is free the join process is very simple.
- First, you should register an account.
- Configure your mining software to point your hardware hash point power.
- Enter your Bitcoin wallet address that will receive the payout.
As in any business, you have to make small investments of time and finances for being on the wave of success in the future.
Start mining today and have a better life tomorrow.