Mining Pool

A mining pool is a group of cryptocurrency miners who combine their computational resources to increase their collective chances of successfully mining a block. Instead of solo mining, where a single miner may only rarely earn a reward, participants in a mining pool receive more consistent payouts by sharing any rewards according to each member's contributed computing power (hashrate). Pool operators manage the coordination and distribution of rewards, usually charging a small fee for their service. This arrangement helps smaller miners reduce risk and compete more effectively with larger operations.