Definition
A mining pool is a coordinated group of cryptocurrency miners who combine their computing power to act as a single participant in a proof-of-work blockchain network. It functions as a shared role that organizes miners, aggregates their hash rate, and distributes block rewards among members according to each participant’s contributed work.
In Simple Terms
A mining pool is a group of people or machines that team up to mine cryptocurrency together. By joining their computer power, they work as one bigger miner on the network and then share any rewards they earn, based on how much mining power each member contributed.
Context and Usage
The term mining pool is commonly used in discussions about proof-of-work blockchains, where individual miners decide whether to mine alone or join a collective role managed by a pool operator. It appears frequently in conversations about network hash rate, mining difficulty, and how block rewards are distributed among different participants in the mining ecosystem.