How does a solo mining pool work? - Printable Version +- ElitesHost Forums (https://forum.eliteshost.com) +-- Forum: Support (https://forum.eliteshost.com/forumdisplay.php?fid=3) +--- Forum: General Support (https://forum.eliteshost.com/forumdisplay.php?fid=13) +--- Thread: How does a solo mining pool work? (/showthread.php?tid=57606)

How does a solo mining pool work? - Agatha Christie - 01-16-2026 Advanced Crypto Solo Mining Pool is a service that provides the essential infrastructure (like a node and block submission) for an individual miner to attempt finding a full block reward, but unlike a regular pool, the entire block reward goes only to the miner who solves it, not split, making it a high-risk, high-reward lottery where the pool takes a small fee (1-2%) for convenience and technical support. Miners connect their hardware, receive work, and if they find a block, the pool validates it and sends the full reward (current 3.125 BTC + fees) directly to the miner's wallet. How it works: Connect your miner: Point your mining hardware (such as an ASIC) to the pool's server using the Stratum protocol, entering your Bitcoin wallet address as the username. Receive work: The pool server provides you with tasks (work units) to solve, similar to a traditional pool, but focused on finding a complete block. Submit valid shares: If your miner finds a valid solution (a "share") that meets the difficulty, you submit it to the pool. Block discovery: When one of your shares is the actual solution to a new block for the entire Bitcoin network, the pool recognizes it. Full reward payout: The pool submits the block to the network and sends the entire block reward (e.g., 3.125 BTC plus transaction fees) directly to your wallet, minus a small fee.  Key differences from traditional pools: Reward structure: You keep 100% of the winnings; traditional pools share rewards among all members. Risk: Solo mining is extremely volatile, like a lottery, with long periods of no earnings for potentially massive payouts. Convenience: It removes the technical burden of running your own full node and managing block submission, making solo mining accessible.