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Market Insights
Mitchell Weijerman
May 27, 2026
Solo mining means you keep the entire block reward if you find a block. Pool mining means you get smaller, consistent daily payouts. In 2026, with network hash rate exceeding 660 EH/s, this choice is not really a choice for most miners. Here is why.
Solo mining means your ASIC miner works independently, directly connected to the Bitcoin network. If your miner finds a valid block, you receive the entire reward: 3.125 BTC plus all transaction fees (potentially $350,000+ at current prices). If it does not find a block, you receive nothing. There is no sharing, no pool fees, and no guaranteed income.
Pool mining means your ASIC miner connects to a mining pool alongside thousands of other miners. You collectively search for blocks. When any miner in the pool finds one, the reward is split proportionally based on each miner’s contribution. You receive small, consistent payouts (typically daily) instead of rare, large ones.
| Factor | Solo Mining | Pool Mining |
|---|---|---|
| Payout frequency | Once every 30-40+ years (1 miner) | Daily |
| Payout amount | 3.125+ BTC per block (if found) | Proportional share (~0.0003-0.001 BTC/day per S21) |
| Revenue variance | Extreme (all or nothing) | Low (predictable daily income) |
| Pool fees | None | 0-2.5% of revenue |
| Minimum hash rate needed | Practically requires 10+ PH/s | Any amount works |
| Setup complexity | Higher (run your own node) | Simple (pool provides configuration) |
| Block reward | Keep 100% | Keep 97.5-100% (after pool fee) |
The math is unforgiving. At 660+ EH/s of total network hash rate, a single S21 (200 TH/s) represents 0.00003% of the network. The expected time between finding blocks is roughly 38 years. You could get lucky and find one in a week, or you could run for 50 years and never find one. Meanwhile, your electricity bill arrives every month regardless.
Pool mining eliminates this variance. Your daily income from a pool is almost identical to what you would expect to earn over the long run from solo mining (minus the pool fee). The difference is that pool mining delivers consistent daily payments instead of a lottery ticket with decades between potential payouts.
The 2% that changes everything: A typical pool charges 2% or less. On a miner earning $400/month in gross revenue, that is $8/month. In exchange, you get daily payouts instead of waiting decades. A 2% fee to eliminate years of income uncertainty is one of the best deals in mining.
Solo mining only makes mathematical sense when you have enough hash rate to find blocks with reasonable frequency. As a rough guideline, you need at least 10-50 PH/s (50-250 Antminer S21s) before solo mining produces payouts frequently enough to manage cash flow. At 50 PH/s, you would expect a block roughly every 5-6 days.
Some miners with smaller operations try “solo lotto mining” with services like Solo CKPool. They accept that they will probably never find a block, but they enjoy the tiny chance of winning the full 3.125+ BTC. This is entertainment, not a business strategy. If you are mining for income (which most hosted miners are), pool mining is the only rational choice.
In theory, over an infinite timeframe, solo mining earns slightly more than pool mining because you avoid the pool fee. In practice, the timeframe required for solo mining to “average out” with a single miner is so long that the theoretical advantage is meaningless.
Consider this: your single S21 expects to find a block every 38 years. For the long-run average to converge to the expected value, you would need to mine for hundreds of years. No miner, no machine, and no business plan operates on that timescale. The pool fee is the price of converting a multi-decade lottery into a daily paycheck, and it is worth every satoshi.
Setting up pool mining is straightforward. You create an account on your chosen pool’s website, add your Bitcoin wallet address, and configure your miner with the pool’s URL and your worker credentials. Most pools provide step-by-step setup guides for each major ASIC model. If you use hosted mining, the hosting facility typically handles pool configuration for you.
| Step | What You Do | Time Required |
|---|---|---|
| 1. Choose a pool | Select based on fees, payout method, and reputation | 15 minutes of research |
| 2. Create an account | Register on the pool’s website | 5 minutes |
| 3. Add wallet address | Enter your Bitcoin wallet address for payouts | 2 minutes |
| 4. Configure miner | Enter pool URL and worker name in your miner’s settings | 5 minutes |
| 5. Verify connection | Check pool dashboard to confirm your miner is submitting shares | 5 minutes |
There is no single “best” pool. The right choice depends on your priorities. Foundry USA offers 0% fees and is the largest pool, making it a strong default for North American miners. Braiins Pool offers transparent FPPS payouts with good reputation. AntPool and F2Pool are established operators with large user bases.
For most individual miners using hosted mining, we recommend choosing an FPPS pool with fees of 2% or less and a low minimum payout threshold. The difference between major pools in terms of actual earnings is typically less than 1-2%, so do not overthink the choice. Pick a reputable pool and focus on what actually drives profitability: electricity costs and hardware efficiency.
Yes, it has happened. Solo miners with a single machine have occasionally found blocks, earning the full reward. These events make headlines precisely because they are extremely rare. For every solo miner who finds a block, thousands more have mined for years without finding anything. It is a lottery, and while someone wins eventually, the odds for any individual are vanishingly small.
Not with a single miner. Each ASIC miner connects to one pool at a time. However, if you have multiple miners, you can point them at different pools. Some miners do this to diversify their payout risk, though it provides minimal practical benefit at small scale.
Reputable pools pay out any remaining balances before shutting down. However, if a pool disappears suddenly (which has happened with smaller pools), you may lose any unpaid balance. This is why it is important to use established pools and set low payout thresholds so your balance does not accumulate to a significant amount.
Yes. Solo miners connect directly to the Bitcoin network and choose which transactions to include in blocks. Pool miners delegate this decision to the pool operator. From a network health perspective, more solo miners would be ideal. From a financial perspective, solo mining is impractical for small operations. This tension is an ongoing discussion in the Bitcoin community.
Last updated: 2026-05-09
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