The crypto industry keeps expanding at a brisk pace worldwide. Investors no longer seem to be so intimidated by downturns and drops in exchange rates: a rising number of institutional players pay their attention to cryptos as a very promising investment. A certain industry maturity has contributed to this: many serious players have changed their minds in the last few years. That is why digital asset mining has also begun to attract special attention.
Crypto Mining
I would like to shed light on cryptocurrency mining. Of course, unless you want to mine Bitcoin, you should pay attention to the king of altcoins — Ethereum. We will speak about this cryptocurrency in terms of Ethereum mining pools — we will try to find the best mining pools for Ethereum.
On the one hand, preparations for the transition to PoS are in full swing, which can hurt the existing pattern of the mining market. On the other hand, the new revolutionary solutions are fueling even more interest in the already most popular digital asset after bitcoin.
Therefore, when a potential miner starts asking more specific questions, it is necessary to state that cryptocurrency mining is simply the most profitable. And to understand how to organize the business in the best way, it is worth deciding how to work better — alone or in a team? The article will answer this question and review some of the best ETH mining pools for different miners in 2022.
Reward Distribution
In general, you don’t need to know much theory to figure out how to earn the most. It’s simple: whoever finds the next block first gets the reward. And the more equipment you use, the faster you mine.
Usually, after you understand the basics, you no longer agree that “it is profitable to work alone in mining Ether.” It becomes obvious that even having N number of Asics (which appeared for Ethereum not so long ago), it is impossible to compete with the top mining pools. Just go to https://miningpoolstats.stream/ethereum and estimate the capacity of each of the top 20. The hashes there are completely different from those of the singles. Accordingly, such pools have a much better chance of mining a new block.
But there are some peculiarities concerning mining pools for people with little equipment. It is worth paying attention to the conditional position in a given top and the algorithm for awarding rewards. If PPLNS is used, weaker farms may be left without any reward. In this scheme, only shares transferred over a certain period before the block’s closing are considered. And if that interval is very short, you may not be able to find any blocks. It means that you will be left without a reward.
In general, however, it is fair to say that most market entrants should choose the pool with the highest hash rate and the number of mining crypto-assets. To that end, let’s describe a few of the top 10 pools currently on the market. There will also be some small caveats, but about that below.
Best Pools for ETH Mining in 2021
1. Ethermine
For industry old-timers, it needs no introduction. Ethermine‘s the largest pool at the moment and has a worldwide presence. Its servers are situated in the USA, Canada, China, Russia, etc.
Ethereum mining on Ethermine can be done completely anonymously, appealing to many users, with a relatively low commission and instant payment speed. The only disadvantage is the minimum withdrawal threshold of 0.1 ETH. The award scheme here is PPLNS. For convenience, you can control the process through the official application.
2. Sparkpool
It is a Chinese giant and the second largest mining pool globally. Sparkpool is characterized by smooth operation and stable payments. It stores assets on a cloud wallet, which increases security. While you sleep, the mining benefiting you goes on.
The site has interesting theoretical material and guru experience, mostly in English or Chinese. Whoever knows these languages will find a ton of useful information. There is also a mobile app for easy management.
3. Binance Pool
Binance seems to cover all areas of the crypto industry. The advanced project did not ignore PoW, organizing its pool. The interface is intuitive, even for a beginner. There are no restrictions on the withdrawal amount (funds are withdrawn the next morning directly to the exchange). Transfers within the platform are free. The pool uses a PPS+ reward distribution scheme, which benefits not-so-powerful farms.
Now Binance pool is in the top 10 largest pools in the world. It continues to grow rapidly and allows everyone to earn. The commission here is only 0.5%!
4. Nanopool
If we talk about time-tested mining associations, Nanopool is one of the first among them. This platform allows the industry representatives to work steadily for many years, rewarding them for the provided capacities.
Here you can withdraw your earned assets at least several times a day. The pool’s servers are also located all over the Earth, ensuring uninterrupted work. The commission is only 1%. Nanopool is among the top 10 most powerful pools in the world. The implemented system of rewards is PPLNS. This project also has an extensive knowledge base allowing everyone to learn something new about the world of mining.
The Key to Success
Those who went into mining a few years ago, believing in this branch of business, have now amassed quite impressive capitals. Every year, the entry threshold is getting higher and requires more and more preparation. It is extremely unwise to spend huge sums on equipment without basic knowledge and receive minimal profit. That’s why it’s worth elaborating on some subtleties and general principles that will help a beginner earn good money, saving a lot of time and nerves.
Conclusion
Mining Ether in 2021 in pools is still profitable. Even without ASICs, it is possible to profit from GPU-farm significantly. Of course, dependence on the ETH exchange rate is unavoidable, but time has already proved that Ether will lead by leaps and bounds and give a serious fight to Bitcoin. Not believing in Ethereum now is like not believing in digital crypto technologies in general.
For a successful and profitable work on the market, there are many mining pools from giants like Binance and independent projects, which specialize only in this kind of earning and also, by the way, have already become market giants. Pay attention mainly to the hash rate and the number of miners, but do not forget about other characteristics. Among them are the pool commissions, the scheme of distribution of rewards, and the minimum withdrawal amount of Ethereum.
Having read this article about Ethereum mining pools, you can choose a pool to work with on your own. And finally: keep in mind that mining ETH on CPUs is not profitable now. The cost of equipment and electricity indicates it. So GPU is the right solution for mining Ether, which is already obvious to many people.