Ethereum’s Top 5 Mining Pools Account for 65.4% of ETH Blocks (2024)
Despite Ethereum’s 6-year journey being marked by ups and downs, this quarter has emerged to be the most rewarding so far because the second-largest cryptocurrency based on market cap recently hit an all-time high (ATH) price of $4,650.
This has been a remarkable milestone, given that Ethereum’s all-time low was recorded in 2015 at $0.4.
On the other hand, ETH miners have been making notable strides. For instance, the top 5 Ethereum mining pools account for 65.4% of all the ETH mined. Market insight provider CryptoCompare explained:
“Ethermine remained the largest ETH mining pool with 25.0% share, up 21.5% from September - followed by unknown miners (21.8%) and F2Pool (20.5%). The top 5 known pools now account for 65.4% of ETH blocks.”
Ethereum miners have cashed in the most in the crypto space so far this year, even surpassing Bitcoin miners. Crypto insight provider Arcane Research noted:
“Bitcoin miners may get the most attention in the mining sector, but Ethereum miners have earned the most in 2021. - BTC miner revenue in 2021: $13.6b. - ETH miner revenue in 2021: $17b.”
Arcane Research stated that the biggest reason Ethereum miners have earned more than Bitcoin miners in 2021 is based on the massive activity on the ETH network, which is pushing up transaction fees.
For instance, the average revenue fees stood at 37% for Ether miners, whereas their Bitcoin counterparts recorded 7%.
The crypto insight provider added:
“The ether miner revenues are far more dependent on transaction fees than Bitcoin miners, in turn leading the daily ether miner revenue to be far more volatile than for Bitcoin miners. ETH miners' daily revenue volatility is 47%, while being "only" 28% for BTC miners.”
Meanwhile, Ethereum has recorded seven consecutive positive quarters, and if the current one closes in green, it will be the eighth.
Joining the best ethereum mining pool 2022 is one of the ways to cash out from the crypto space. The best ETH mining pool offers good efficiency, low fees, high hashrates, and user-friendly payout methods. Ethermine, Nanopool, F2Pool, Hiveon, and 2miners are the top five Ethereum mining pools.
For instance, the top 5 Ethereum mining pools account for 65.4% of all the ETH mined. Market insight provider CryptoCompare explained: “Ethermine remained the largest ETH mining pool with 25.0% share, up 21.5% from September - followed by unknown miners (21.8%) and F2Pool (20.5%).
Lido is an open-source ETH staking pool, providing users with a decentralized staking solution. It's also the biggest Ethereum staking pool. One standout feature of Lido is its substantial liquidity, which tops $19.14 billion. In addition to Ethereum, Lido also operates on the Polygon blockchain.
Larger pools have a higher probability of creating blocks due to their larger computing power, while smaller ones generally take longer. A mining pool's size can also reflect its trustworthiness to some extent.
On the other hand, 1 ETH mining cost is around $150 while 1 ETH price is around $1.6K. If we compare 1 BTC with 1 ETH mining cost-to-profit ratio is higher in Ethereum. Bitcoin halving is coming next year as a result mining costs will be doubled. which means mining in California will cost almost around $60K.
How Many Ethereum Can Be Mined? Unlike Bitcoin, there is no limit to the amount of Ethereum that can be generated. Each day around 13,500 Ether are mined.
Kryptex, the Ethereum mining software, enables users to mine various cryptocurrencies, including Bitcoin, Grin, Monero, and Ethereum, on Windows 10. With the ability to optimize hashing capabilities, Kryptex rewards miners with real money or Bitcoins, making it a top choice in the world of cryptocurrency mining.
Each miner had a 1 in 1,400,000 chance of mining an entire block, and the chances of two tiny miners managing the same feat in the same week have been estimated at 1 in 1 billion. Average daily Ethereum mining profitability has been on a decline since it spiked to an all-time high of $0.282 on May 12, 2021.
Are Mining Pools Profitable? It depends on how much you've paid for equipment, the pool you join, its payout method, and your work contribution. In general, the more work you do when the pool earns cryptocurrency, the more you receive.
Historically, Bitcoin (BTC) has been one of the most lucrative cryptocurrencies to mine due to its high market value. However, other cryptocurrencies like Ethereum (ETH), Litecoin (LTC), and Monero (XMR) have also been profitable for miners, depending on market conditions and mining hardware efficiency.
The block size in the Ethereum blockchain is limited to a maximum of 12 MB. However, the average block size is much smaller, around 1-2 MB. The block size is dynamic and can fluctuate based on network usage.
The Beacon Chain holds the most Ethereum out of any single address by a considerable amount, with around 22 million tokens locked valued at approximately $39 billion, accounting for just over 18% of the total supply.
Popular choices for Ethereum mining include graphics cards from Nvidia's GeForce RTX series and AMD's Radeon RX series. Some specific models known for their performance in Ethereum mining include Nvidia RTX 3060 Ti, RTX 3070, RTX 3080, and AMD Radeon RX 5700 XT.
In general, the profitability of Ethereum mining has decreased in recent years due to the increasing difficulty of mining and the fluctuating price of Ethereum. However, it is still possible to make a profit if you have the right setup and a long-term view.
Introduction: My name is Kareem Mueller DO, I am a vivacious, super, thoughtful, excited, handsome, beautiful, combative person who loves writing and wants to share my knowledge and understanding with you.
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