In the PPLNS (Pay Per Last N Shares) earning model, the mining pool does not immediately calculate the corresponding earnings for the shares submitted by miners. Instead, after the pool receives every N shares, it tallies the total amount of coins mined during that period and allocates the mined coins based on the proportion of shares submitted by each miner within those N shares.
Characteristics of the PPLNS earning model: The distribution of mining rewards has a delay, as earnings are allocated only after every N shares have been submitted. Since PPLNS distributes the actual coins mined by the pool, it is influenced by the pool’s luck factor. Miners’ allocated rewards can be higher or lower than the theoretical value, leading to greater volatility. (Reference: F2POOL website explanation)
In the PPS (Pay Per Share) earning model, the mining pool calculates the theoretical mining rewards for each share submitted by a miner’s rig based on the current mining difficulty. This amount is accumulated in the mining account and paid out regularly.
Characteristics of the PPS earning model: Mining rewards are only related to objective factors such as mining difficulty at the time, the miner’s hash rate, and network conditions. This model does not change based on the pool’s actual earnings or luck, ensuring that miners have a long-term stable income from mining. (Reference: F2POOL website explanation)
