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Bitcoin mining pps vs pplns
depth article on calculating luck check out this article. In this case N shares represents a fixed amount of shares that is not based on luck. Usually only large pools with a lot of reserves can afford to take on the variance risk. Pplns (Pay Per Last N Shares). In the long-run it should balance out to the statistical mean (obtain 10 of blocks) but in the short-run there can be a lot of variance. So what is PPS and pplns? The amount of processing needed to compete with mining pools has become very expensive and solo mining is no longer seen as viable an option by many. Proportional (Prop) When block is found, the reward is distributed among all workers proportionally to how much shares each of them has found. Even if the pool doesnt win the lottery the miner will still get paid 10 of the block reward (if there are 10 total tickets).
PPS is a popular choice by miners because of the ease in which potential earnings can be calculated. The more powerful your rig, the more youll earn. Now imagine that the miner submits 1 ticket and it happens to be the winning ticket. As you earn based on the blocks found during the time that you mine, you may see large variances in the payments. For clarity, many of the pricing discussions mention. Pay On Target (POT a high variance PPS variant that pays on the difficulty of work returned to pool rather than the difficulty of work served by pool. So I know it's supposed to have measures against pool hopping, and that pplns is safer for the pool operators, but at this point I'm frustrated and thinking about just staying on PPS. Luck - The luck of a mining pool is probabilistic in nature. So I switch back over to pplns for the night, and every single shift is again earning me less than if I had stayed on PPS.