Comparing Different Mining Pool Payout Schemes: PPS vs PPLNS
Mining Bitcoin and other cryptocurrencies as a solo miner can be challenging due to increasing network difficulty and competition. As a result, many miners join mining pools, which combine computational power to increase the chances of earning block rewards. However, not all mining pools reward their participants equally — the payout schemes differ significantly and can impact miners’ profits and income stability. Two of the most popular payout methods are PPS (Pay Per Share) and PPLNS (Pay Per Last N Shares). This article compares these payout schemes to help miners decide which is better suited for their needs.
What Is PPS (Pay Per Share)?
Pay Per Share (PPS) is a straightforward payout method where miners receive a fixed reward for each valid share they submit, regardless of whether the pool finds a block. Essentially, miners are paid a predetermined amount based on the expected value of the shares submitted.
