Mining hardware decides the payout currency
Basically, the selection of the mining hardware decides on the #payout #currency of the proceeds. This means that if you buy and operate #BitcoinMiner, you will receive your proceeds in #Bitcoin. If you buy and operate #KadenaMiner, the proceeds go to #Kadena, etc.
Solo mining or in the mining pool?
This decision has an extreme impact on the payout time.
In solo mining, the miners dig alone and try to find a block as quickly as possible and thus receive the reward. If you have hundreds or thousands of miners, then it makes sense to operate solo mining, if there are only a handful of miners, then the payout can take months or years.
When you join a mining pool, all miners get a share of the reward the community found. Since thousands of miners solve the mining puzzle in parallel, you usually receive daily payouts. The pool receives a fee of 1-3% for the management of this.
More miners = faster payouts?
The stronger the performance (better or newer ASICs), the more mining puzzles you can solve at the same time, increasing the chance of finding the right block hash to get the payout.
Many mining pools have a minimum size that must be reached before proceeds are paid out. With several miners you reach the payout threshold faster and then get daily or multiple daily payouts.
Especially with solo mining, the number of miners increases the payout speed enormously, since the chance of solving the puzzle increases with each miner.
In the case of the mining pools, on the other hand, the daily payout thresholds are usually reached with just a few devices.
Is it possible to change the payout time of the mining pools?
Many pools offer that you can change the payout threshold yourself, of course from the minimum threshold. This has the advantage that you can save transaction fees. Every transfer costs money, even in the crypto world, and these costs can be reduced if the proceeds are not paid out every day but, for example, once a week.
Can I be paid out in another currency?
Yes, some pools offer alternative payout currencies. Here you can mine Ethereum Classic, for example, and have your proceeds paid out in Bitcoin. This is a great solution, especially for the Ethereum network with its high transaction fees.
Do you also receive your payouts directly to your own wallet in miner hosting?
That depends heavily on the provider. Some providers only operate their own pools and do not allow any alternative, others even collect the entire hash performance in the provider wallet and then only distribute the proceeds at the end.
The default case is and should be that you receive your proceeds straight from the pool to your own wallet, with no custody on the part of the hosting provider.
What happens to balances in the mining pool if you don’t withdraw them?
The credit remains in the pool wallet until you initiate the payout.
Can you also get your mining proceeds in euros or dollars?
No, the crypto mining pools do not yet offer a solution to be paid out directly in euros or dollars. In addition, many miners also want to hold the cryptocurrency and hope that prices will continue to rise. So you not only have the mining proceeds, but also the price gain.
Can you have your mining proceeds booked directly onto a credit card?
That’s fine. There are #credit #card providers who have integrated a crypto wallet and you can have the mining proceeds booked on it. If you then use the credit card, the credit card provider converts cryptos into euros or FIAT in a second in order to be able to make the payment.
There are even providers who offer interest on the credit. We’d be happy to show you how.