How to make a mining pool: from theory to practice

The article is about:

  • feasibility of pool launching;
  • who owns pools;
  • technical requirements ;
  • soft for a new pool;
  • ready-made engines at Github;
  • serious business vs hobby.

The world of cryptocurrency attracts not only with its novelty but also with real opportunities to become an active player in this market, for example, to launch your own personal coin or create mining pool. Authors of numerous online manuals and enthusiasts on the forums are full of optimism and try to transmit it to the newcomers. However, aiming to succeed in this field you need at least have a little understanding of programming, scripts, codes, operating systems and other technical information, without which it’s impossible to take a single step as a developer.

What is mining pool and who owns it?

In this article, we will not devote much time to a detailed explanation of what a mining pool is. Those users who are interested in how to make a mining pool probably already thoroughly studied this question from A to Z. The pool members direct all their efforts and technical powers to assemble the block together and then divide the trophy according to existing principles. It remains only to find out who can become the owner of such a server? Will the organizer profit? What material will contribution have to be made to this business?

Large organizations, blockchain companies computer chips and equipment for cryptocurrency mining, manufacturers own the lion’s share of pool servers. Most of them are in China. A lot of pools are deployed in the US and EU countries. But the representatives of the famous company Bitfury are located in several countries all over the world, including Georgia. A private person, who is going to create mining pool, can hardly compete with such giants, but it’s worth a try. Especially amidst the story that the oldest and the most powerful European pool Slushpool was started with only $ 45!

Strength in facilities

Can you organize your own data center? For maintaining the pool, it is simply necessary. Even if you have a super powerful gaming computer at your disposal and you are good at Linux, this seed capital is not enough to launch the pool from scratch.

For launching a pool you will need high-quality server equipment and special bitcoin mining server software, permanent power supply and broadband Internet access. The power source must also be stable and constant, and the payment for spent energy is as low as possible. It is a good idea to buy a power station and be fully independent of local electricity net.

That’s the way the owner of a pool can guarantee the information safety and ensure the operation of the resource in any conditions. Be ready to the regular hackers’ attacks to the pool. You’ll have to reflect numerous DDoS attacks, otherwise, secret keys or other important information can leak into the network.

Of course, such requests discourage newcomers, but in fact, no one forces you to create mining pool for top 10 cryptocurrencies. Choose not so popular coins, organize a 4-core server for this purpose or, if you are afraid to invest in such an affair, rent equipment for a couple of months just to try your chances.

Soft is your power

Even the most advanced equipment will not work properly without competent software configuration. It must perform a number of functions:

  • Register new users by email
  • Accept and record working equipment power
  • Track the blocks and divide profits according to the specified algorithm

Fine tuning the bitcoin mining server software implies the program ability to collect and analyze statistics, keep a constant difficult record, control the pool capacity and be a simple and convenient tool for every worker.

P2P or so-called peer-to-peer pool is completely decentralized and often doesn’t require registration from its users. Such servers don’t keep any important information in one place so online attacks, legal restrictions and technical problems like “blackouts” will not interfere them. P2pool-server-creation is a task for experienced programmers.

Where can I get the software? Is it really necessary to write everything from scratch? Not every programmer will master this task, but the cryptocurrency would not be so attractive if it were not adjusted with open codes. If such an opportunity exists for bitcoin, then a pool can also be created on the same basis.

Welcome to Github!

The Github service is the best platform where you can easily find any source code. But as soon as you do it, you have to ask a good programmer for assistance or get the necessary skills yourself. The second variant can be compared with a new language studying. How much time will you spend? The method is not for everyone, so you can not do without professional assistance. They know for sure how to make your own bitcoin mining pool or service for any other coin. If not to go into details in Linux commands, the actions to create a pool based on the ready engine will look like this:

  • Copy from the Github source files
  • Compile the original wallet files
  • Copy the binary wallet file
  • Create the configuration file
  • Synchronize your wallet
  • Configure Stratum server
  • Install the MySQL database
  • Copy the PHP-MPOS engine
  • Fill the database engine dump in MySQL
  • Run the Stratum server
  • Install web server and MPOS.

Only that! If seriously you’ve made sure that create mining pool is quite a difficult task, and it would better if a team of developers completes the mission. No wonder the largest pools are run by teams of promoters and developers. It’s not enough just to install hardware and software. For the proper pool functioning, you need to attract workers, ensure high hash rate and stable profit for you and the people who use your service to mine cryptocurrency.