Why miners should think twice when choosing what pool to mine from
So we found that gem that is going to 100x and started to mine away! Why is it important to think about what pool to mine from before leaving the rig to crack those blocks?
The whole idea with proof of work is that anyone with the hardware can do it. And with mining pools being available it does not matter if you are a small miner, you share the block rewards with all the miners in the pool.
So you might think that it is wise to choose the biggest pool available on the coin you want to mine. But think again.
Actually, in theory, if everyone was going to go over to solo mining, with time everyone would receive a fair share of the rewards, It might take days or weeks to find that first block, then one day you find 10!
What we do when joining a pool is lowering the risk of being unlucky for several days. Not seeing any rewards in our wallet.
So this means that a big pool and a small pool will give you the same amount of coins when mining at the end. The difference is just that there will be days when you are lucky and get more, or unlucky and get less when mining on the smaller one.
But in the end you always end up with the same amount of rewards for your hash rate. This is how prof of work is set up.
Try it out and see for yourself :)
Therefor decentralization of the block chain that you are mining on always should be the first priority when choosing a pool. Don’t take the one with 45% of the network hash rate. Take one with 10% or less.
Help the cause and decentralize. ❤