Whats the difference between cloud mining & mining pool section??

[Sincerem]

I have heard many things about mining pool and cloud mining. But i never know how this two mining system works. I'm still gruelling about how they work and the big difference between them.
Can any one explain the difference between mining pool and cloud mining system??

 

[Yan]

They are kind of similar actually. Mining pool is when a bunch of miners come together and share processing resources to mine bitcoin because you need large amount of processing power to actually mine Bitcoin. While cloud mining is when there is a large data centre with large processing power so you connect to them via the cloud services and they mine the Bitcoin for you.

 

[Sincerem]

They are kind of similar actually. Mining pool is when a bunch of miners come together and share processing resources to mine bitcoin because you need large amount of processing power to actually mine Bitcoin. While cloud mining is when there is a large data centre with large processing power so you connect to them via the cloud services and they mine the Bitcoin for you.

Good point, you made insightful comments, I now have a clue about how they work. The two system gets me on the wrong foot all the time i think of it. I was wondering how they operate, not knowing one provides the cloud services to mine considerable amount of Bitcoin.

 

[Mackoy30]

Cloud mining enables mining of cryptocurrencies, such as bitcoin, without installation of expensive mining hardware. A mining pool is a joint group of cryptocurrency miners who combine their computational resources over a network to strengthen the probability of finding a block or otherwise successfully mining for cryptocurrency.

 

[Kayzzy3]

I have heard many things about mining pool and cloud mining. But i never know how this two mining system works. I'm still gruelling about how they work and the big difference between them.
Can any one explain the difference between mining pool and cloud mining system??

Simple put, Cloud mining is mining of crypto currency from a other people's mining hardware without have to install or purchase a mining hardware yourself.

While mining pool involve a group of miners putting their mining power together to maximize output.

Basically that's the difference.

 

[Adegbindin Abdullahi]

Mining pool is the pooling of resources by miners,who share their processing power over a network, to slit the reward equally,according to the amount of work they contributed to solving a block. Cloud mining is the process of bitcoin mining utilizing a remote data center with shared processing power

 

[Planet408]

They are kind of similar actually. Mining pool is when a bunch of miners come together and share processing resources to mine bitcoin because you need large amount of processing power to actually mine Bitcoin. While cloud mining is when there is a large data centre with large processing power so you connect to them via the cloud services and they mine the Bitcoin for you.

Thanks for your awesome detailed explanations on the person's post. It made me to also understand the difference between cloud mining and mining pool.

 

[Akinwale701]

I have heard many things about mining pool and cloud mining. But i never know how this two mining system works. I'm still gruelling about how they work and the big difference between them.
Can any one explain the difference between mining pool and cloud mining system??

To me, mining pool may be used to mean a situation whereby people come together to mine Cryptocurrency. This is seen in smart contract program like Forsage, LionShare, etc. while cloud mining is when an individual person mines bitcoin or any Cryptocurrency on their own.

 

[Sincerem]

To me, mining pool may be used to mean a situation whereby people come together to mine Cryptocurrency. This is seen in smart contract program like Forsage, LionShare, etc. while cloud mining is when an individual person mines bitcoin or any Cryptocurrency on their own.

Wonderful explanation, I'm a bit satisfied with the information you provided about the two questions i asked. I use to hear different things about the two mining system but i never came to a concrete detailed information about how they work.

 

[EMMANUEL]

A mining pool is a joint group of cryptocurrency miners who combine their computational resources over a network to strengthen the probability of finding a block or otherwise successfully mining for cryptocurrency

 

[Richmond funke abosede]

Cloud mining is a mechanism to mine a cryptocurrency, such as bitcoin, using rented cloud computing power and without having to install and directly run the hardware and related software. Cloud mining firms allow people to open an account and remotely participate in the process of cryptocurrency mining for a basic cost, makes mining accessible to a wider number of people across the world. Since this form of mining is done via cloud, it reduces issues such as maintenance of equipment or direct energy costs.

Post automatically merged: Jan 27, 2021

Cloud mining is a mechanism to mine a cryptocurrency, such as bitcoin, using rented cloud computing power and without having to install and directly run the hardware and related software. Cloud mining firms allow people to open an account and remotely participate in the process of cryptocurrency mining for a basic cost, makes mining accessible to a wider number of people across the world. Since this form of mining is done via cloud, it reduces issues such as maintenance of equipment or direct energy costs.

 

[Trojan8]

Cloud mining occurs when a group of miners mine together under a central database system. With pool mining, it is the coming together of the computing strength of various miners to form a single mining unit. I think they both serve same purpose to mine bitcoin. I feel cloud mining would be more expensive since it takes a lot to build a centralized mining system.

 

[Mariyam]

I have heard many things about mining pool and cloud mining. But i never know how this two mining system works. I'm still gruelling about how they work and the big difference between them.
Can any one explain the difference between mining pool and cloud mining system??

Mining pool is the pooling of resources by miners, who shares their processing power over a network, to split the reward equally according to the amount of work they contributed to solving a block ... Cloud mining is the process of Bitcoin mining utilizing a remote data center with shared processing power

 

[Chris]

Cloud mining enables mining of cryptocurrencies, such as bitcoin, ... Cloud miners become participants in a mining pool. While a mining pool is a joint group of cryptocurrency miners who combine ... mining pools goes against the decentralized structure inherent in bitcoin .

 

[ossai]

I have the same question about mining pools. I’m doing cloud mining until I can learn more about mining pools from a reliable source. Mining pools seem to have more variables than cloud mining, and I wanted something simple to start.

As for cloud mining, here’s the way it works:

• you pay for hashrate a/k/a hashpower
• and then,
  • depending on the amount of hashpower you have,
  • and the then-current difficulty of solving the blocks,
• you will be paid a certain amount daily,
  • in bitcoin (btc)^
  • which you have the option of withdrawing to your wallet,
  • or reinvesting back into more hashpower*

^Maintenance fees (usually very small) are deducted from daily payouts.

*Choosing the “Reinvest” option rather than taking daily withdrawals for the first 190 days on a 365 day contract will significantly increase your earnings.

I’ve heard good things about Genesis Mining and I am signed up there, but their bitcoin mining contracts are sold out at the moment.

 

[Jomarie05]

Cloud mining is mining of crypto currency from a other people's mining hardware without have to install or purchase a mining hardware yourself.While mining pool involve a group of miners putting their mining power together to maximize output.

 

[Patrik]

cloud mining has two types, you either invest an amount of money and get something in return from their mining rigs, or start mining in virtual private servers, mining pool are a group of people mining a single coin

 

[Zamaney]

Cryptocurrency mining involves two functions – releasing new cryptocurrency into the system (similar to gold discovery), and verifying and adding transactions to the blockchain public ledger. Cloud mining is a mechanism to mine a cryptocurrency, such as bitcoin, using rented cloud computing power and without having to install and directly run the hardware and related software

 

[Profuk57]

I think cloud mining is when you pay for the services of a mining company to mine on your behalf why do you order one he is a more technical stuff where you do the mining by your own self without requiring the help of any company associated with mining of any cryptocurrency.

 

[Olubayo12]

I have heard many things about mining pool and cloud mining. But i never know how this two mining system works. I'm still gruelling about how they work and the big difference between them.
Can any one explain the difference between mining pool and cloud mining system??

I once saw a post somewhere where someone tried to explain it... he said cloud mining can be likened to individual mining if cryptocurrency or the works of miners in Block chain while mining pool may be referred to as involving in smart contract mining