---
title: Mining Pool
description: Page on Vedang Vatsa's site: https://veda.ng/glossary/mining-pool
canonical: https://veda.ng/glossary/mining-pool
last_updated: 2026-10-03
type: text/markdown
---
# Mining Pool

Source: https://veda.ng/glossary/mining-pool
Author: Vedang Vatsa (https://veda.ng/about)

A mining pool is a group of miners who combine hash power, share work, and split block rewards. Solo mining can mean weeks without a payout. Pools pay smaller, steadier amounts based on contributed shares. The pool server assigns work and records who found the winning hash.

Pools lower the cash-flow barrier. Solo mining needs hardware, electricity, and patience. For the network, pooled hash still counts toward total hash rate, which raises the cost of a 51% attack. The tradeoff is concentration. If one pool is too large, it could reorder or censor. Most communities watch pool share for that reason. A mining pool is a cooperative arrangement where individual cryptocurrency miners combine computing power to increase the chance of solving a block and earning the reward. Instead of each miner working alone and waiting weeks or months for a payout, participants share work and split rewards proportionally. Pools share block rewards by hashrate. That smooths income. It also concentrates who decides which transactions go in a block.

Glossary index: https://veda.ng/glossary