How to create your own mining pool

A fairly effective way to acquire ethereum classic, bitcoin, litecoin or other cryptographic money is mining in a consolidated mining pool system. This fact is due to the considerable computing power obtained from the efficient operation of a unified node, which includes many devices of different Internet users. It turns out that mining pools are beneficial to absolutely all parties to such a cryptocurrency mining system. The founders of the mining pool earn a lot, so it’s worth thinking about the promising concept creating a mining pool on one's own.
From this article you will learn:

Mining pool - what is it?
Features of a personal mining pool
How does the pool work?
Stages of creating a mining pool
Principles of organizing a mining pool
Cost of creating a mining pool
Conclusion

What is a mining pool

Before you create your own mining pool, you need to understand how it works and why it is needed. He acts as a kind of intermediary, receiving large tasks for opening a block and distributing them among all connected miners. Anyone who has at least some capacity to mine cryptocurrency can become a member of the mining pool.

Connected users receive mini tasks - balls. They use the power of their equipment to open them. After decrypting the share, the result is sent to the central server, where this fact is recorded. Depending on the payment method used, a reward is assigned for each open ball, their total number in the block, etc.

Which pool would a modern miner like?

The most important thing is that it is universal, that is, it allows you to mine several coins at once. The big appeal of cryptocurrencies is their volatility, and this allows miners to maneuver, switching between coins and choosing the most relevant ones at the moment. Modern services can make such switches automatically.

In order for people to choose you over numerous competitors, you need to offer them truly favorable conditions. An ordinary miner is primarily interested in a high hashrate, as well as low commissions and a minimum withdrawal threshold.

All processes in the pool must be managed by a special program. You can search for it on GitHub, order it from programmers, or develop it yourself if you understand programming and blockchain technology. You can try to download the kernel, but it requires a graphical shell, which will also have to be ordered by professionals.

People like a beautiful and clear interface, available for different operating systems and presented in their native language. It is very convenient when you can see complete statistics: mining efficiency, number of active participants in the system, estimated income, etc.

Buying a template project will save money, but can such a mining pool be as popular as the original one? Unlikely.

So, let’s define the key stages of creating your own resource for collective production:

selection of coins;
launching the server and website;
PR company;
organizing the work of miners, choosing a system for distributing rewards.

Advantages

The question of how to make your own mining pool arises among those who want to stop paying commissions to third parties, or who are going to make money from their own development. Usually, for connecting to a server, a commission is charged in the form of payment per day/month, a percentage of profit, etc. If you open your own, you won’t have to pay anyone.

Also, creating a mining pool allows you to customize it yourself to your liking. You can choose your own digital coin, ethereum, monero, etc., and switch between them if necessary.

Some people are thinking about how to open their own mining pool in order to make money from it by attracting other miners. A properly created mining pool will be extremely profitable if many miners come to it. You can look at the list of the largest players in this market and imagine what kind of income they receive even with a minimum commission of 0.5%.

Hashrate

Hashrate is one of the key indicators of the health of a cryptosystem. The hashrate of the Binance pool also characterizes the operating features of the platform. This concept is determined by the number of busy miners in the system. The more honest users are involved in mining, the higher the hashrate accordingly. This plays an important role in system security. A high hashrate guarantees higher security standards.

Registration with benefits

Server

A home computer is only suitable for familiarizing yourself and testing your abilities in how to install a mining pool. Its physical capacity is not enough to ensure effective operation 24/7 even with 1-2 people connected at the same time. Therefore, you will have to rent a separate server, where round-the-clock operation is guaranteed, and the equipment has high power.

If creating a mining pool for the future, in order to attract not only friends from neighboring houses, but also from all over the world, you need to take ping into account. The time it takes for the signal about the revealed ball to be transmitted to the central token server is very important. If there is a long delay, then the result of the discovery may simply not have time to arrive, and the reward will be lost. Therefore, you will have to rent 2 or more servers in different parts of the world to ensure a consistently low ping.

The difference between ciphers and electronic finance

Official statistics of top bitcoin mining pools confirm the progressiveness of these market relations, since savings do not suffer from the destructive depreciating effect of inflation. The entire system is a peer-to-peer network, that is, all participants in it are equal, and interaction occurs through open codes.

Photo from Premium-signals.co

Work with databases is not limited; a trader can carry out an unlimited number of transactions within a day, month, or year. The exchange rate of this asset is constantly growing and, moreover, it does not depend on the position of the dollar-euro, ruble-dollar currency pairs. This money has no such analogue, which ensures its stability in the market, but the value is affected by changes in the political and economic life of world powers.

The cost of one bitcoin at the 2022 exchange rate will be between 200 and 300 US dollars. By purchasing a large amount of cryptocurrency, you can lose more than 10 percent if stability is shaken; similarly, you can make a profit when selling.

Protection

Creating a pool for Ethereum mining, launching an advertising campaign and attracting people to it is not enough. As soon as you start earning at least something, the forces of hackers who want easy money will fall on you. With their DDoS attacks, they can not only put an end to the work of a mining pool, but also gain access to personal data. As a result, you will lose not only your brainchild, but also your money, and you can also set up those who mined with you.

To create competent protection against hacker attacks, you will need to not only spend your energy, but also invest money in it. You will have to hire specialists who are willing to guarantee your safety for a fee. And this is a mandatory condition, since modern crypto laws do not cover all areas. No one will undertake the investigation of the theft of funds located on Internet wallets, so you must provide protection yourself.

How justified is this expert opinion?

Experts agree that miners who understand the intricacies of programming and have access to impressive computing power will be able to create a pool that can bring profit to the owner. The profitability of the idea of launching a platform for collective digital currency mining depends on the approach to project implementation.

It is pointless to create platforms for mining Bitcoin, Ethereum, Litecoin. Look for a cryptocurrency with less block generation complexity. Mining Zcash and Monero is popular, but it is better to target beginners who have only recently gone through an ICO.

Leave the process of creating your own pool to the specialists. Keep in mind that to bring this idea to life, you must have start-up capital of at least several thousand dollars and equipment. The investment will pay off over time.

Connection

For home use, a speed of 100 Mbit/s is enough, but for a cryptocurrency pool you need much higher values. It is believed that for 1 connected miner you need to allocate a channel of 30-50 Mbit/sec. Then you can calculate how much is needed for a mining pool with 10 participants, 20, etc. Providers do not always provide such speeds, and even renting a dedicated server in this case is not a guarantee. You will have to look for options where there is such a connection, and they are usually not cheap.

List of Best Pool Sites for Bitcoin Mining

If you want to join an already established site, you need to consider several factors that beginners usually ignore:

This system works without investments, but there is one significant caveat - in return you must offer some skill or successful completion of an action. Think about what your intellectual, physical or financial resources are.
Method of dividing dividends. He is also very important. Typically, partners choose an equal distribution between all participants, but if one works harder and the other is slacker, such a subsidy is no longer considered fair, so it is worth considering proportional remuneration.
Withdrawing money. Before entering into such a structure, find out whether there is any possibility of receiving real currency.

Photo from Twitter

If all precautions are followed, you can practice your coin collecting skills on the following safe and promising resources:

Mininggrirentals. Foreign site without translation into Russian. The advantages of the server are the minimum commission and an exciting operating principle. Participants feel like they are playing Monopoly, but with real money. They rent drill holes and try to find coins in the virtual space. The portal has received recognition from many experienced miners and statistical agencies.
Minergate. The advantage of the pool is the ability to earn different types of cryptocurrencies such as ethers and dashes. Withdrawal methods are transparent - the entire amount minus a markup of one and a half percent can be received through the exchange or to an electronic wallet.
Zpool. American platform for bitcoin manipulation. Does not require registration, entering passwords or logins. The code it is written is unique and reliably protected from hacking. It is possible to receive other types of coins, but the withdrawal only works with Bitcoins.
BitClub Network. This project positions itself as an investment project. It supports various work formats, has a minimum commission and is something like a social network for traders. The advantage of the site is a high profit level of over one hundred percent. Registration is free, but the investment will be about a hundred dollars in membership fees.

When working with all sites, you need to install HashFlaer on your computer; multiplayer will allow you to receive notifications even offline.

In order to better understand the mechanism of how the pool works for bitcoin mining, carefully study the video instructions from practitioners of this business.

Staff

Weigh your strengths and weaknesses in the issue of cryptocurrency mining, and think about whether you can take on all the operational support? Keep in mind that you will have to deal with the website, advertising campaigns, the mining server itself, writing scripts, communicating with users and much more. Even at the beginning, it is not always possible to cope alone, so you will need to hire additional people. They will need to be paid regardless of whether your activity generates income or not.

How to create a watcher link

There are currently two ways to create a link for an observer. When using the first method, the client goes to the settings section and selects the option to share data. The following are notes for an outside observer. The create a third-party observer button is necessary in order to create a link to a valid subaccount. Next, you just need to copy the link and share it with the observer.

The second method is more complex and is carried out through the online subaccount management page. This option is available through the management page. You must select a subaccount where the link will be generated. Observer notes are created in the same way. Further, the principle is the same as in the first case. The link is copied and sent to the observer. In this case, an outside observer will not be able to influence the process. He will only have access to a link to view his profile.

Creation

There are 3 options for opening a personal mining pool:

Study the protocol specification of a certain token, and write your own script using some programming language.
Download the finished product from GitHub or a similar resource, install it on your own, configure and launch.
Order software development.

The simplest solution would be to order a turnkey project with detailed customization to suit your needs. No one will do this for free, and there are no clearly established prices for the service, so the amount can be any. On average, the cost of development is 60 ETH and above, which at the current rate is already $130,000. And this does not take into account renting a server, hiring additional workers, running advertising and other small expenses.

Some Internet services offer blanks for creating a mining pool for free or for little money. This is convenient, since the necessary base will already be present, which you just need to customize for yourself. However, we are not talking about any deep customization here, and your brainchild will not differ from thousands of others running on the same free software.

The most difficult method is to create it yourself. To do this, you need to understand not only how the pool works, but also the principle of the blockchain itself, the functioning of electronic currencies, and knowledge of programming languages. It is very difficult and it will take a lot of time to learn everything. But you get software that will fully meet your desires. But the difficulty of mining coins is gradually increasing, and no one knows whether you will have time to learn in time.

Don't forget that the costs won't end there:

Server rental – from $20 per month.
Advertising – from $60 monthly.
Employee salaries start from 100 per month.

You also need to understand that you need to create a mining pool not only for yourself, but also taking into account the possible desire of another miner. If you plan to make money from it and attract people, then you need to think through the interface, design, bonus and referral programs. Only then can you hope that someone will pay attention to you.

Possible difficulties

The main obstacle is advertising the pool. New platforms for collective cryptocurrency mining regularly appear on the Internet, but literally after 2-3 months the associations stop working. That’s why it’s so important not only to have a successful start, but also to promote the project.

To read: Geforce GTX 1050 ti for mining

A productive advertising campaign is not limited to banners, videos, mailings and announcements on thematic forums. Offer users a minimum commission, a small withdrawal amount and a high hashrate. This is enough to attract miners.

The second problem is scalability. Create a cross-platform platform. Code designed for crypto mining exclusively on Windows or Linux is doomed to failure. Practice confirms that universal software helps attract the target audience.

Independently launching a service for group mining of crypto assets involves technical difficulties: finding a VPS server, setting up the engine, creating a web shell. Cooperation with an experienced programmer automatically eliminates such difficulties.

Convenient alternative adding and managing ASICs in HiveOS.

Hive OS has launched a new service for owners of large mining farms called ASIC HUB . Using this application for Linux and Windows, you can quickly and easily create a list of all available ASICs by scanning networks and then monitor the operation of the mining farm in the now familiar Web interface.

To add ASIC to the Hub you need to copy your Farm Hash . ASIC HUB is launched in the same way as HiveOS - in the browser by entering the address https://localhost:8800. Next, choose the method of adding: specifying the IP, scanning the subnet and importing a CSV file with a list of IP addresses of ASICs.

List of supported ASIC miners for ASIC HUB:

Antminer:

D3
S17
S17 Pro
S17+
S17e
S19
S19 Pro
S19+
S9 Pro
T17
T17+
T17e
T9+
X17
Z11

AvalonMiner:

1047
1066-50
1066Pro-55

Innosilicon:

A10L
A9+
T2TI
T2TZ
T3+B
T3H+
T3S

WhatsMiner:

M20S
M21S
M29
M30S
M31S
M31S+

If the article about setting up ASIC for Bitcoin mining was useful to you, and you want to keep abreast of current news from the world of mining and cryptocurrencies, then support this project by joining our public VKontakte and Telegram channel, we also maintain Twitter with announcements of articles.

Difference in resources for distribution of reward for a new block

Among the most popular methods used in pools are:

PPS – Payment occurs for each “share” of the participant that he submits to the system. They use only the largest servers in their system.
PROP – Payments are made in proportion to correct decisions. The calculation is carried out according to the following method: the total reward is divided into the balls accepted by the pool.
PPLNS – Pays users for shares that were most recently invested. It all depends on how quickly you carried out the crypto coin mining session.

SOLVING PROBLEMS that arose while working with the program

The program crashes or does not start

To resolve the problem, you should do the following:

Add the word “pause” to the body file. This action will indicate the problem when closing the program.
Check the location of the batch file, it should be in the folder with the program.
Disable overclocking.
Checking contacts and power supply.

Detected 0 devices

To solve this problem, you should disable your antivirus while mining. There may be a driver error; you need to update them to fix it.

Hash above target

When troubleshooting this problem, you should check the settings of the mining software.

Rejected shares

Deflection of balls occurs for three reasons:

The ball turned out to be invalid.
The ball has become expired.
Shara is a duplicate.

Fan control

There are no settings for this control in mining programs.

Why did the illegal memory access error occur?

This error is generated by the system when overclocking the video card. To eliminate it, you need to reduce acceleration and limit power.

Search and installation of different versions of mining programs

Freely available on the Internet, there are many sites for searching and installing mining programs, some of them are:

https://phoenixminer.org/ru/
https://claymoredualminer.com

Security Settings

Mining pools are popular targets for hackers. There are objective reasons for this. To make sure no one steals your hard-earned bitcoins, make sure the pool uses SSL encryption type. The easiest way to tell if this protocol is enabled on a site is to see if there is a padlock icon in the browser bar.

Many pools also allow two-factor authentication, Slush Pool is no exception. The second step of confirming login can become a serious obstacle for hackers planning to hack the accounts of pool users. To activate this function you will have to use mobile devices.

Overclocking and undervolting video cards

For mining, it is recommended to use nvidia video cards; they are equipped with the ability to increase the acceleration and base frequencies. This video card has the ability to change the turbo frequency offsets, individual for each voltage. This action allows you to get full overclocking capabilities.

Memory and core overclocking coreclocs memclocks

Overclocking using the coreclocs and memclocks commands uses absolute and relative values in MHz.

The data is set this way:

Relative coreclocs, for example I will set the values + 150 and – 100
Absolute memclocks, for example value 4000

Coreclocs = +150, – 100

Memclocks = +300, 3700

In this case, core overclocking is 150 MHz

Memory overclocking – 300 MHz

The core frequency will be reduced by 100

The memory frequency will be set to 3700.

Power limit powerlimits

Powerlimits - used to set power limits.

By dragging the slider, we can increase or decrease the limit values. Increasing should be used to overclock the video card, and decreasing should be used to reduce temperatures.

Steps to register a profile from msi afterburner

To register a profile, you need to specify the path to the profile location in the bat file for mining.

Why you should optimize disk usage

When adding new disks to an existing pool, it is worth optimizing the use of disk space. This will allow some of the data to be transferred to the newly added disk, ensuring optimal use of the pool's capabilities.

When you add a new drive to an upgraded Windows 10 pool, optimization is performed automatically - the Optimize disk space usage to spread existing data across all drives checkbox is selected when adding a new drive. However, if this option is cleared or disks will be added before the pool is updated, you must manually optimize disk space usage.

disk space in the search box on the taskbar , select Disk space from the list of search results, and then select Optimize disk usage .

Type of stability

The type of resilience is the functionality of the array, analogous to one or another RAID . Technology offers us 4 such types.

Simple type - this can be either a regular partition based on one or several media, or an analogue of RA > (at least) the speed of reading and writing data. If one of the disks fails, all information is lost. File system – NTFS .

A two-way mirror is an analogue of RA > NTFS , and ReFS .

A three-way mirror is an analogue of RA > NTFS , and ReFS .

Parity is analogous to RA > NTFS .

Speed setting

If you see that the thermal operating conditions of the equipment allow you to overclock it a little, it is worth doing so. This will allow you to get the most out of your devices. With graphics cards this is necessary: the profits there are so small that the extra speed won't hurt.

EVGA's Precision X utility works well for overclocking video cards. AMD Catalyst drivers are also worth a try.