Small solo miners win gold with full BTC blocks
Tiny bitcoin miners are making headlines because they essentially hit the jackpot by mining entire blocks themselves. In what has become a modern “gold rush,” bitcoin enthusiasts are now starting up tiny USB miners with tiny hash rates to try their luck at what is eerily like buying lottery tickets. Among the miners who have rushed here, a few have won the ultimate prize.
Solo Bitcoin Miner Gets Full Block
In an unlikely event, a solo miner was able to mine an entire bitcoin block at a low hash rate. This was made public by Dr. Kolivas, a software engineer who contributed to the development of the Cgminer. He revealed that the solo bitcoin miner was able to solve a full block on his own with just 86th. This happened at a block height of 270,175.
Congratulations to another miner with about 86th solving a solo block on https://t.co/UWgBvLkDqc ! There are now a lot more miners in the solo pool and if enough people are mining solo, eventually someone will be the lucky one like here. https://t.co/Hqte2achR4 pic.twitter.com/0ZT635LicD
— Dr. Con Kolivas (@ckpooldev) January 24, 2022
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The miner who is part of a mining pool that allows solo miners to pool their hash rates to increase their chances of solving a block could get the full block reward after solving. The miner had received the full block reward of 6.25 BTC, earning them a total of over $220,000 at current prices in addition to the transaction fees paid to the block miner.
With such low computing power as this miner’s, it makes it nearly impossible for them to mine a block on their own. They wouldn’t be the first to be lucky.
Another two weeks ago solo miner from the same mining pool had won the same jackpot, mine a block and earn the full block reward plus transaction fees.
The BTC Rush
One thing about proof-of-work mechanisms is the high computational power required to mine bitcoin blocks. As more players enter the mining space armed with millions of dollars in institutional support, being a small miner is nearly unprofitable. This is why mining pools like the ckpool exist.
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In these pools, solo miners can pool their low computing power to increase their chances of finding a block. dr. Kolivas explained that although this miner fluctuated in their mining power, they could solve the block with only 8.3 terahashes.
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He explained the math, explaining that by pooling their hashes, miners could increase their chances of solving a block to a 1 in 5 chance or a 20% chance. As more miners join the pool, the chances of solving a block increase. In a reply to another user, Dr. Kolivas explains that if the current hashrate increased by 4, the probability of mining a block would rise to 63%.
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