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What is a mining pool and what is mining (the benefits of mining in a mining pool)

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What is a ore pool and what is mining

What is a ore pool and what is mining and what is a mining machine of Cryptocurrency? Mining is a distributed computing power allocation mechanism. In the Bitcoin network, a point-to-point power provider is responsible for selecting different Proof of work consensus algorithms to obtain block rewards, which can be used to pay for ASIC chips, graphics cards and power resources to support their operation When a machine does not have enough computing power generating equipment, it will increase the difficulty of the entire network to halve every ten minutes; If the entire system is running unsafe or has problems at this time, a large amount of manpower is needed to maintain and upgrade the server and ensure data security So is mining ponds a good way to dig coins? We now see that many projects are making money with ore pools, such as a recently popular network called “Litecoin”. It automatically packages tokens into digital assets through smart contracts for transaction processing, ultimately achieving a high degree of decentralization. This allows miners to participate in the game without having to bear operating costs, and the profits are relatively higher. However, due to the very different working principles of these mining pools and the high threshold of professional knowledge: they usually need to master the background of computer science and the basic concepts of blockchain

Benefits of Mining in Pools

According to Coindesk, Bitcoin has increased by more than 10 times in the past year. The benefit of mining in a mining pool is that investors can directly enter this market to earn profits, which is not unfamiliar to most ordinary people because they want to participate in it and profit from it, but in reality, the significance of doing so is not significant

At present, the mainstream Cryptocurrency mining industry is divided into three aspects: centralized computing, centralized storage and decentralized exchange (DEX). The dispersion of computing power is the highest among them. According to Blockchair’s data, since the beginning of 2018, over 27000 companies worldwide with Bitcoin ATMs and smartphones are believed to be using the service.

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