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For many, mining crypto seems too complex or too expensive. Our desktop mining programs and step-by-step VPS setup guide will have you mining Hacash quickly.

Pool Rewards Explained

The mining pool rewards both block producers and non-block producers in the pool ensuring that everyone contributing mining power is rewarded. Specifically, in addition to any transaction processing fees for a mined block of the mining pool, the block producers receive 50% of the reward separately, and the remaining 50% of the block reward is divided among the other pool miners based on their mining power contribution for the time period.

For example, let’s say we have 5 Pool Workers (abbreviated “PW”). Each PW contributes equal amounts of mining power to the pool (20% each). PW-1 then successfully discovers the next block. PW-1 will receive 50% of the block reward. PWs-2, 3, 4 and 5 will then equally split the remaining 50% of the block reward since they were contributing equal mining power. Of course, in the real world, different PWs will contribute different amounts of mining power. Each PW is rewarded based on the power that is being contributed to the pool.

A special note for those with powerful mining machines: If a certain address contributes more than 50% of the total computing power of the mining pool, the excess reward will be automatically distributed to other participants. In other words, if you have a lot of computing power, the best way is to spread it in multiple different addresses and decentralize the computing power.

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