Bitcoin mining remains one of the most straightforward ways to earn Bitcoin. However, as mining difficulty has surged, the demands on mining hardware have intensified. Half a decade ago, individuals could mine Bitcoin using smartphones, but today, even the most powerful graphics cards are considered inefficient for this purpose.
Before investing in ASIC miners, GPUs, or other equipment, you must decide which type of coin to mine and choose between two primary methods: solo mining and pool mining. In the early days of Bitcoin, solo mining was common among miners who had the technical capacity to discover new blocks and claim the full reward.
Mining complexity and the average hash rate were considerably lower before 2017. As more miners joined the network, the demand for powerful devices and energy-intensive mining farms grew. By 2019, building a personal mining setup had become expensive and was often not economically justified. The solution? Joining a mining pool to combine resources with other miners.
What Is a Bitcoin Mining Pool?
A mining pool emerges when individual miners combine their computational power to improve their chances of successfully mining blocks. Essentially, a mining pool is a service that splits a large computational task into smaller segments and distributes them across connected devices. When the pool successfully generates a block, the reward is shared among all participants based on the amount of work each miner contributed.
While mining pools don’t generate Bitcoin directly, they enable participants to collaborate efficiently. Some platforms also offer cloud mining services, allowing users to join pools and receive rewards in a transparent and equitable manner.
Understanding Bitcoin’s Hash Rate Distribution
The Bitcoin network’s total computational power, known as the hash rate, is distributed among numerous mining pools. Prominent pools typically include BTC.com, Poolin, F2Pool, and AntPool, though their market shares fluctuate over time. This distribution is critical for network security and decentralization.
Comparing Leading Bitcoin Mining Pools
Here’s an overview of some notable mining pools, highlighting their features, supported cryptocurrencies, and reward structures.
Poolin Mining Pool
Hash Rate: 16,793.12 PH/s
Market Share: 17.74%
Poolin supports mining for a variety of cryptocurrencies, including BTC, BCH, BSV, Litecoin, Decred, Dash, ZCash, Monero, and Electroneum. It is compatible with ASIC miners and GPUs from manufacturers like Nvidia and AMD. The pool offers multiple reward systems, such as PPS, FPPS, and PPLNS. Settlements occur daily at 12:00 UTC+2, and minimum withdrawal amounts vary by cryptocurrency.
Despite being a relatively new entrant, Poolin has quickly grown into one of the largest Bitcoin mining pools due to its versatile support for coins and payment methods. Key features include:
- A built-in mining profitability calculator.
- Mobile apps for Android and iOS for managing your account and monitoring network hash rate.
- Moderate transaction fees, averaging around 1.07%.
- An internal PIN token that serves as proof of participation in the Poolin community.
F2Pool
Hash Rate: 12,667.01 PH/s
Market Share: 13.39%
F2Pool was among the first mining pools established in China. Initially focused solely on Bitcoin, it expanded to support Ethereum in 2015 and many other cryptocurrencies by 2019. It remains one of the most trusted pools globally.
Although F2Pool faced increased competition as hash rates grew in 2018, it has maintained a strong reputation for simplicity and reliability. The platform supports English and Spanish and charges a 1.36% transaction fee. Its decentralized nature and absence of major controversies have bolstered user trust. Mobile apps for iOS and Android allow users to manage their accounts conveniently.
AntPool
Hash Rate: 9,468.53 PH/s
Market Share: 10.24%
Launched in February 2014 by Bitmain, AntPool was created to test the company’s ASIC devices. It quickly grew into one of the industry’s leading mining pools. By mid-2014, AntPool was a major player, and it began supporting Ethereum and Litecoin mining in May 2016. Later, it added compatibility with ETC, Zcash, and Dash.
In August 2018, AntPool announced a transition to the SegWit2X protocol. The pool supports both shared and solo cloud mining and offers customer service in multiple languages. Withdrawals are processed daily with minimal fees, and rewards are distributed via:
- Pay-Per-Share (PPS), which rewards miners upon submission of a valid share.
- Pay-Per-Last-N-Shares (PPLNS), which distributes rewards after a block is found, with no fee.
- Solo mining, where the entire block reward goes to one miner, subject to a 1% fee.
Huobi Pool
Hash Rate: 5,918.94 PH/s
Market Share: 6.26%
Huobi Pool is a multi-cryptocurrency mining service launched in 2018 atop the Huobi Global exchange. It began with Bitcoin and later incorporated BCH, ETH, LTC, DCR, GRIN, SC, and TRTL. A major advantage is its support for both Proof-of-Work (PoW) mining and Delegated Proof-of-Stake (DPoS) voting for EOS, making it one of the largest EOS voting platforms.
The pool uses the FPPS reward model for Bitcoin and Ethereum and PPS for other coins. Transaction fees are as low as 0.78%, and the platform emphasizes functionality and multi-currency support.
ViaBTC
Hash Rate: 5,904.44 PH/s
Market Share: 6.25%
ViaBTC is a large mining pool offering cloud mining services for major cryptocurrencies. It stands out with its paid "transaction accelerator" service, which prioritizes Bitcoin transactions. The pool also supports AsicBoost technology to enhance mining efficiency for BTC and BCH.
ViaBTC started with Bitcoin cloud mining in October 2016 and gradually incorporated BCH, DASH, ZEC, ETH, ETC, and XMR. The platform is available in Chinese, English, Korean, Japanese, and Russian. Mobile apps let users monitor hash rate and profitability, and an online calculator helps estimate earnings. Payment options include:
- PPS+ with a 4% fee.
- PPLNS with a 2% fee.
- Solo mining with a 1% fee.
BTC.TOP
Hash Rate: 4,609.28 PH/s
Market Share: 4.88%
BTC.TOP officially launched in December 2016, initially as a closed pool exclusively for the Chinese market. It lifted registration restrictions in late 2017, rapidly growing into one of China’s top three Bitcoin mining pools.
Its growth is attributed to enhanced hash rate in solo mining mode and withdrawal fees below 12%, which were lower than the national average. The current transaction fee is 0.98%. Note that the platform supports only Chinese language and is designed for ASIC owners, not GPU miners.
Bitfury
Hash Rate: 3,092.44 PH/s
Market Share: 3.4%
Founded in 2011 by Latvian entrepreneur Valerii Vavilov, Bitfury began with CPU and GPU Bitcoin mining before shifting to ASICs. The company produced its first mining chip using 55-nanometer technology in 2013. By mid-2017, Bitfury controlled 9–10% of Bitcoin’s total hash rate.
As one of the largest non-Chinese mining companies, Bitfury operates a closed pool, primarily using its own hardware and proprietary software. It supports ETH, BCH, and LTC mining with a transaction fee of 1.05%.
Bitcoin.com Pool
Hash Rate: 516.3 PH/s
Market Share: 0.2%
Bitcoin.com offers both cloud and hardware mining services, focusing on BTC and BCH. Founded by Roger Ver through Saint Bitts LLC, it is one of the largest pools for Bitcoin Cash.
The platform features a user-friendly interface and supports PPS and PPLNS reward systems. Its cloud mining service allows users to rent computational power, with servers and mining equipment located in the United States. All services require a digital contract, which auto-terminates if revenues fall below costs for 30 consecutive days.
Slush Pool
Hash Rate: 3.54 EH/s
Market Share: 3.9%
Launched on November 27, 2010, by Satoshi Labs, Slush Pool became a leading Bitcoin mining pool by the summer of 2017. It adopted a 2% fixed fee in 2017 and ranked third in Bitcoin production share in 2018.
Slush Pool uses a hybrid reward system combining PPLNS and PROP:
- PPLNS rewards miners based on shares submitted near the time of block discovery.
- Proportional (PROP) rewards are based on each miner’s contribution to the pool’s total work.
The pool enforces a 2% fixed withdrawal fee and uses a scoring system to discourage miners from switching pools frequently. Automatic withdrawals are available once a threshold is reached.
BTCC Pool
Hash Rate: 0 PH/s
Market Share: N/A
No list of historic Bitcoin mining pools is complete without mentioning BTCC Pool. This major Chinese pool operated from 2014 to 2018, peaking in the latter half of 2017 with 1,824 blocks mined. Over its lifetime, it mined 16,959 blocks with an average transaction fee of 3.62646173 BTC per block.
Conclusion
Solo mining has become prohibitively expensive for most individuals, making pool mining a practical and often more profitable alternative. By combining resources with other miners, participants can earn more consistent rewards. This overview aims to provide useful insights to help you make an informed decision when choosing a mining pool.
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Frequently Asked Questions
What is a Bitcoin mining pool?
A mining pool is a collective of miners who combine their computational resources to increase their chances of successfully mining blocks. Rewards are distributed based on each participant’s contributed hash power.
How do mining pools distribute rewards?
Pools use various methods like PPS (Pay-Per-Share), PPLNS (Pay-Per-Last-N-Shares), and FPPS (Full Pay-Per-Share). Each model has different risk and reward structures for miners.
Can I mine Bitcoin with a GPU?
While technically possible, GPU mining for Bitcoin is no longer efficient due to high network difficulty. ASIC miners are the standard for profitable Bitcoin mining.
What is the typical fee for joining a mining pool?
Fees vary by pool but generally range from 0.78% to 4%. Some pools may also charge withdrawal or maintenance fees.
Is cloud mining a good option?
Cloud mining allows you to rent hash power without maintaining hardware, but profitability depends on market conditions and contract terms. Always research providers thoroughly.
How do I choose the best mining pool?
Consider factors like pool size, fee structure, payment frequency, supported currencies, and user reviews. 👉 Explore advanced mining strategies to optimize your setup.