New Solo Mining Service
2023-03-09 15:45 UTC
Over the past few months, we have collaborated with LiteSolo to develop a modern platform for solo mining. This new platform allows solo miners to easily perform merged mining of Litecoin and Dogecoin, without the need for any special software setup on their end.
For those who are not familiar with solo mining, it is essentially the opposite of pooled mining: instead of pooling resources with other miners and sharing the rewards, a solo miner engages in a solitary search for blocks. Blocks are hard to find, but also very valuable, so the statistical variance of solo rewards is much higher. This means that over a given period of time a miner could make much more or much less compared to pooled mining, depending purely on luck. This is especially true in the case of small miners, where solo mining has been rightfully dubbed “lottery mining”; as the user's hash rate increases, however, the effects of variance become less dramatic. You can play with the calculator on LiteSolo's website to gain a better understanding of what this means in practice.
Another thing that makes solo mining different is that rewards are generated directly at the miner's address as newly minted coins, without having to pass through a pool-operated wallet. This might seem like a small difference, but it is actually a great advantage in terms of security, as there are no intermediary accounts that could be hacked.
LiteSolo just got out of beta, and since a few of our users have expressed their interest in solo mining in the past, we thought a shout-out was in order.