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What is a PPLNS window?


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Let's start by explaining what PPLNS payment system is by explaining its predecessor - PPS system first.

When you mine, you find "shares" - solutions to a new block that are not quite enough to be valid, as the difficulty is too low, but big enough for proving your work.

PPS is Pay Per Share - for every share you submit (and its difficulty) you get paid. Pool operators absorb all "luck or no luck" of the pool, usually having higher mining fees, so your payouts are more consistent. This system is not perfect, it does not punish pool hoppers, etc. Also in the long run you are loosing money because of the higher pool fee.

 

PPLNS stands for Pay Per Last N Shares. Unlike PPS, this payment system initiatives miners to be loyal, and binds the mining community, because pool hopping is not worth it. In the long run (month+), PPLNS is superior to PPS for both miners, pool and community. PPLNS pays out when the pool finds block, and the payout from each block is divided evenly, based on number of shares*difficulty in the given PPLNS Window (time-span when your shares count to the payout round). When pool does not find a block for a long time, the PPLNS window is prolonged, so your shares were not wasted. When pool finds blocks fast, the PPLNS window is shorter. All and all, this system is fair to everyone.


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Wor3d
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