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8 Best Mining Pools For Solana (Guide)

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Solana is currently among the most interesting cryptocurrency projects. It is not only one of the most staked tokens with class-topping TVL (total value locked), but it is also among the largest digital assets by market capitalization.

As an investor, you may want to take advantage of its profitability potential, and one way to do that is to mine or stake your coins for passive gains.

In this guide, you will learn everything about staking Solana (SOL) tokens, how to participate using a staking pool and how the token compares to the leading smart contract platform, Ethereum.

Can Solana Crypto Be Mined?

No, Solana cannot be mined for one main reason: it does not use a mining consensus mechanism. Instead, Solana uses staking.

More specifically, Solana uses a hybrid approach based on Proof of Stake (PoS) and Proof of History (PoH). Merging these two enables the innovative blockchain network to achieve some of the fastest network processing speeds.

The staking mechanism works by requiring all transaction validators to put up a stake of the native asset, which acts as an incentive to ensure good behavior from the validator.

Additionally, the stake serves as a guide on who gets precedence when it comes to creating blocks. Essentially, the higher the stake, the higher the chances that the system will choose the validator to create the next block.

Read Is Solana A Blockchain?

How to Earn Solana Through Mining

Although Solana cannot be mined. However, that doesn’t mean you can’t earn SOL through mining.

Unmineable is one of those companies. They enable anyone with the hardware to mine a platform to do so with coins that actually support mining. These include Ethereum, Ethereum Classic, Ravencoin, and Monero, among others.

These are coins that can be mined by easily affordable hardware such as using GPU or CPU machines. The miner contributes their computing power towards mining, for example – Ravencoin – but instead of getting rewarded with Ravencoins, they get to choose which of the supported tokens they prefer, including Solana.

The basic premise is that the miner participates in a PoW network, gets rewarded for their work, and exchanges the rewarded coins into desired PoS coins.

Companies such as Unmineable automate the conversion step making it seem as if the miner is mining PoS tokens.

Check Is Solana Inflationary Or Deflationary?

How Fast Can You Mine Solana?

As explained in the previous section, mining is not an option when it comes to Solana. However, if you opt to get rewarded in SOL tokens in mining pools for other PoW coins, the rate at which you can accumulate SOL depends on various factors.

  • The chosen coin to mine;
  • Your hardware;
  • Exchange rate;
  • Mining pool fees.

Alternatively, you can become a validator and contribute your computing power toward securing the Solana network directly.

This route is more capital intensive and requires that you have essential technical and marketing skills to run a validator node and promote your node for SOL stakeholders to delegate their tokens to you.

Can Solana Overtake Ethereum?

There are several aspects of comparison to consider between Solana and Ethereum, and in most of these, Solana has already surpassed Ethereum.

If you consider network speed, eco-friendliness, ease of use, staking rewards, and most others, Solana is way ahead of its competition.

Ethereum, however, is leading in popularity, community engagement, adoption, network valuation, and security. It has managed to maintain this lead mainly due to its first-mover advantage.

Given enough time, it is possible for Solana to displace it as the go-to smart contract platform, but it is a tall order.

Additionally, Ethereum is also constantly improving to keep up with other networks. Currently, the core developers are upgrading it to a staking network as opposed to using mining as a consensus mechanism.

This shift is expected to reduce transaction fees and increase the network speed making it more competitive and harder to displace.

Best Mining Pools For Solana

Since Solana does not use mining to achieve consensus, its equivalent to mining pools is validators which are entities tasked with verifying and validating transactions on the network. Stakeholders delegate their SOL tokens to these validators and get to share in the rewards.

There are three factors to consider when choosing the validator to which you want to delegate your tokens. These are:

  • Commission: This is the amount of the reward entitled to the delegate that the validator takes as payment for its services. Typically, that varies between 0% and 10%. The lower, the better.
  • Performance: Consider the operation statistics for the particular validator . Poor performance may lead to lower returns and therefore lower rewards to the delegators.
  • Reliability: Closely related to performance, reliability is the measure of the dependability of the validator to get the work done right and in good time. Also, the higher reliability scores correspond to lower risks of slashing, which happens when the system punishes the validator for engaging in malicious behavior.

The following list includes some of the best validators on the Solana network:

  1. Cogent Crypto

APY (Estimated) – 6.629%

Commission – 0%

Active stake – 192,968 SOL

Datacenter – Chicago (US)

  1. ADISOL

APY (Estimated) – 6.643%

Commission – 0%

Active stake – 65,276 SOL

Datacenter – CA-Montreal (US)

  1. Sanatio Validator

APY (Estimated) – 6.599%

Commission – 0% (until 2023)

Active stake – 102,407 SOL

Datacenter – Chodzież (Poland)

  1. Allnodes

APY (Estimated) – 6.455%

Commission – 0%

Active stake – 125,351 SOL

Datacenter – Chicago (US)

  1. SNOWSAND

APY (Estimated) – 6.447%

Commission – 0%

Active stake – 146,008 SOL

Datacenter – Minneapolis (US)

  1. SoLiD

APY (Estimated) – 6.433%

Commission – 0%

Active stake – 146,423 SOL

Datacenter – Chicago (US)

  1. Team MyVidster

APY (Estimated) – 6.436%

Commission – 0%

Active stake – 238,892 SOL

Datacenter – Kyle (US)

  1. 0xsoless

APY (estimated) – 6.440%

Commission – 0%

Active stake – 28,518 SOL

Datacenter – Roubaix (France)

What Is The Easiest Crypto To Mine?

Monero (XMR) is, arguably, one of the easiest cryptocurrencies to mine. Its hashing algorithm named RandomX, which is based on the CryptoNote protocol, allows for the use of a home PC. Anyone with a decently powered home computer can participate in the XMR PoW mining process.

Final thoughts

Solana is an innovative cryptocurrency project, but those looking to mine it will be disappointed. Its use of a PoS consensus mechanism only supports staking instead of mining.

There are still opportunities to profit in staking as outlined in this article; you can delegate your SOL tokens to validators for a profit.

If, however, you absolutely have to mine, you can use some of the unofficial mining pools that allow you to mine PoW coins but receive your rewards in SOL tokens.