Pool operators control reward distribution with no cryptographic guarantees. Miners must trust centralized systems with their earnings without transparency.
Miners pay $20-100 in network fees for withdrawals, making small mining operations unprofitable. Traditional pools have no mechanism to reduce these costs.
Mining rewards are locked in specific networks without cross-chain functionality or access to modern financial services and yield opportunities.
Mining pool coinbase addresses become TSS-controlled federated addresses. Every block reward automatically collateralizes mp-tokens on Ethereum through independent custodians, eliminating trust dependencies and ensuring transparent operation.
Miners queue withdrawals that are guaranteed inclusion in the next pool block at minimal network fees. Emergency CPFP mechanism for urgent transactions. This reduces withdrawal costs by 85-95% through mining infrastructure privileges.
Professional custodians stake collateral and compete on transparent rates. 5-of-7 FROST threshold signatures ensure security without single points of failure. Two-level tokens: mp-tokens for pools, S-tokens for full DeFi access.
| Feature | SatoshiFi | ViaBTC | MPOS | NOMP | Foundry | CKPool |
|---|---|---|---|---|---|---|
| Architecture | Ethereum Smart Contracts + FROST TSS | Centralized Database | MySQL/PHP | Redis/Node.js | Proprietary | C/SQLite |
| Automatic Collateralization | ✓ Coinbase TSS | ✗ | ✗ | ✗ | ✗ | ✗ |
| Built-in DeFi | ✓ Native Integration | ✗ | ✗ | ✗ | ✗ | ✗ |
| Privileged Withdrawals | ✓ 85-95% Fee Reduction | ✓ Pool Priority | ✗ | ✗ | ~ Limited | ✓ ckproxy Features |
| Smart Contract Guarantees | ✓ Cryptographic | ✗ | ✗ | ✗ | ✗ | ✗ |
| Multi-chain Support | ✓ BTC/DOGE/BCH/LTC | ✓ Multiple | ~ Limited | ~ Limited | ✓ Multiple | ✓ All PoW |
| Full Mining Cycle | ✓ Complete + DeFi | ✓ Complete | ✓ Complete | ✓ Complete | ✓ Enterprise | ✓ Complete |
| Pool Ownership Models | ✓ Private/Joint/DAO | ✓ Private/Joint | ✓ Private/Joint | ✓ Private/Joint | ~ Private | ✓ Private/Joint |
| Algorithm Marketplace | ✓ Open + Incentives | ~ Fixed Set | ~ Fixed | ~ Fixed | ✗ | ~ Fixed |
| Stratum V2 Support | ✓ Full Support | ✓ | ✗ | ~ Partial | ✓ | ✓ |
| Trustless Operation | ✓ TSS Federation | ✗ | ✗ | ✗ | ✗ | ✗ |
| Development Status | Production Ready | Mature | Legacy | Community | Enterprise | Specialized |
Pool-specific tokens (mpBTC, mpDOGE, mpBCH, mpLTC) serve as withdrawal vouchers with guaranteed redemption through pool queues at minimal fees.
Independent custodians convert mp-tokens to fungible S-tokens (SBTC, SDOGE, SBCH, SLTC) with full DeFi compatibility and cross-chain functionality.
Stake S-tokens across supported networks to earn yields from protocol development, custodian operations, and integrated DeFi strategies.
Use S-tokens as collateral for borrowing stablecoins, enabling leveraged mining operations and working capital access with competitive LTV ratios.
Seamless movement between all supported PoW networks through unified S-token infrastructure with TSS security and competitive rates.
Direct conversion of mining rewards to stablecoins with automatic bank payouts in local currency, bypassing complex exchange processes.
5-of-7 threshold signature scheme with ~4200 gas verification cost. No single custodian can compromise the system, ensuring distributed security.
All custodian rates are publicly visible and immutable after agreement. On-chain verification of every operation through Ethereum smart contracts.
Professional operators stake collateral and compete on service quality. Market forces drive optimization while maintaining security standards.
Blockchain-based audit trails provide real-time verification of all pool operations, collateral ratios, and reward distributions.
CPFP withdrawal system for urgent transactions plus automatic slashing for custodian violations of protocol terms.
All fee structures are transparent and agreed upon before operation. No hidden costs or surprise changes to economic parameters.