How merged-mining rewards are distributed
Merged-mining rewards are distributed according to the mining pool’s payment method for each coin, the miner’s eligible contribution, and any applicable fees. Under PPLNS, auxiliary-coin earnings depend on the pool’s actual block-finding results and the miner’s contribution within the relevant share window. A primary coin’s PPS+ setting does not automatically apply to its merged-mined coins, and account settlement is separate from withdrawal.
Merged mining allows a single proof-of-work attempt to satisfy the requirements of a parent blockchain and one or more compatible auxiliary blockchains at the same time. However, how those auxiliary rewards reach an individual pool miner depends on the pool’s accounting and payout rules, rather than being prescribed by the merged-mining protocol.
That distinction matters because merged mining is often described as “mine one coin, get another for free.” To understand the resulting earnings, miners need to distinguish the protocol mechanism from the pool-level rules governing eligibility, contribution measurement, payment methods, and settlement.
How AuxPoW lets one hash serve two chains
Auxiliary Proof of Work, or AuxPoW, allows a compatible auxiliary chain to accept proof of work performed for a parent chain. The auxiliary chain checks the proof against its own requirements; the parent chain does not need to process the auxiliary chain’s transactions.
This means a miner does not divide a machine’s hashrate between two chains. A Scrypt ASIC connected to a Litecoin pool that supports Dogecoin AuxPoW can perform hashing work that qualifies for both chains. A result that meets Dogecoin’s target can support a Dogecoin block even if it does not meet Litecoin’s target, provided the required auxiliary proof is valid. Dogecoin’s documentation explains that its 2014 transition to Scrypt-based merged mining allows miners to contribute the same computational work to multiple chains (Dogecoin mining documentation).
Finding an auxiliary-chain block therefore does not require finding a parent-chain block. Nor should miners assume that every parent-chain block automatically produces an accepted auxiliary-chain block: the work must include the appropriate commitment and satisfy the auxiliary chain’s validation requirements.
Shares versus blocks: how pools measure contribution
Pools measure each miner’s contribution through shares. A share is a submitted proof of work that meets the pool-assigned share target. The share difficulty is typically lower than the network difficulty, allowing miners to submit measurable work frequently instead of waiting to find a block.
An easier share target has a higher numeric value than the network block target. Most valid shares do not meet the network’s harder target and therefore do not qualify as blocks. Some shares satisfy both requirements and can be used to submit a block (Bitcoin mining documentation).
How shares translate into earnings depends on the payment method. PPS pays a theoretical amount for valid shares without requiring the pool to find a block first. PPLNS instead uses a recent share window to determine each miner’s allocation when the pool finds a valid block. Submitting a share is therefore evidence of contributed work, not a guarantee of a reward from every auxiliary chain.
How pools distribute merged-mining rewards
For an auxiliary coin distributed under PPLNS, the process follows these steps:
- The miner connects to the pool. The miner must meet the pool’s eligibility requirements for the auxiliary coin.
- The pool prepares and distributes merged-mining work. The work includes the commitment needed to link the auxiliary block to the parent-chain mining attempt.
- The ASIC performs hashing work and submits results. Valid shares let the pool measure contribution. A qualifying result may also support a block on the auxiliary chain, the parent chain, or both.
- The pool submits the qualifying block. The relevant network validates it under that chain’s rules.
- The pool calculates eligible miners’ rewards under the auxiliary coin’s PPLNS rules. The allocation depends on the pool’s block results, each miner’s contribution within the applicable window, and any applicable fees. Confirmation requirements depend on the documented rules for that coin.
- The pool settles earnings to the miner’s account. Settlement credits the calculated amount to the account balance. Withdrawal transfers that balance to an external wallet or another supported destination under separate rules.
For PPLNS-based auxiliary rewards, earnings can vary with the chain’s reward rules and difficulty, the pool’s actual block-finding results, and the miner’s contribution within the accounting window. Fees and settlement schedules also affect what reaches the account and when. The merged-mining protocol does not prescribe the pool’s distribution method.
PPS+, PPLNS, and why payout labels must be read coin by coin
Pay-Per-Share Plus (PPS+) generally combines a theoretical per-share payment for the block subsidy with a variable component tied to transaction fees from blocks the pool finds. Pay-Per-Last-N-Shares (PPLNS) instead allocates rewards from pool-found blocks according to miners’ contributions within a defined recent share window. ViaBTC’s payment-method documentation makes this distinction between its PPS and PPLNS components (ViaBTC fees and payment methods).
Selecting one payment method for a primary coin does not automatically apply that method to an auxiliary coin mined through the same connection. A pool may allow PPS+ or PPLNS for the primary coin while distributing the associated auxiliary coins under PPLNS.
In that case, choosing PPS+ for the primary coin does not give the auxiliary coin a fixed per-share payout. Its earnings remain dependent on the pool’s auxiliary-chain block results and the miner’s contribution within the relevant PPLNS window. Miners should check the documented method for each asset rather than assume it matches the primary coin’s setting.
ViaBTC’s merged-mining structure: BTC and LTC
The following product details were checked against ViaBTC’s official documentation on September 28, 2026. Supported coins and distribution rules may change.
On the Litecoin pool, miners using either PPS+ or PPLNS for LTC are eligible for merged mining of DOGE, BELLS, PEP, and DINGO. These auxiliary-coin rewards are distributed under PPLNS regardless of the payment method selected for LTC itself. Earnings for these coins are credited to the miner’s ViaBTC account every two hours (ViaBTC LTC merged-mining tutorial).
As a concrete reference point, Dogecoin’s block subsidy is 10,000 DOGE per block. A block can also earn transaction fees, so the subsidy should not be treated as the complete reward including fees. Neither amount is what an individual pool miner automatically receives: the pool distributes earnings according to its payment rules (Dogecoin miner documentation).
On the Bitcoin pool, eligible miners using PPS+ or PPLNS for BTC can additionally receive Namecoin (NMC) and Fractal Bitcoin (FB) through merged mining (ViaBTC merged-mining overview). ViaBTC’s FB documentation states that FB has no fixed distribution ratio and is allocated under PPLNS in proportion to contributed hashrate. A primary-coin PPS+ selection therefore does not turn FB into a fixed-rate payout (ViaBTC Fractal Bitcoin mining tutorial).
The PPLNS label alone does not establish an auxiliary coin’s exact fee, share window, or confirmation requirement. Check the rules for the specific coin rather than assume every parameter matches a general payment-method description.
Settlement is not withdrawal
A settlement event is not the same as an on-chain payout. On ViaBTC, LTC merged-mining earnings are settled to the pool account every two hours. This credits the calculated reward to the account balance; it does not mean that a transfer to an external wallet has occurred.
Withdrawal is a separate process. ViaBTC supports both manual and automatic withdrawals for DOGE, BELLS, PEP, and DINGO, subject to its withdrawal rules (ViaBTC LTC merged-mining tutorial). A withdrawal may therefore be initiated manually or processed according to configured automatic-withdrawal settings.
When reviewing dashboard figures, distinguish earnings credited to the pool account from funds already transferred out of it.
What to check before comparing merged-mining earnings
Before comparing earnings across periods or pools, check:
- The auxiliary coin’s payment method. It may differ from the primary coin’s method.
- The contribution measurement and comparison period. Pool-estimated hashrate and the ASIC’s local reading are measured differently. Compare them over aligned, sufficiently long windows rather than at a single instant.
- The pool’s block-finding results. Pool luck affects PPLNS-based auxiliary rewards, so one settlement cycle is not enough to assess typical earnings.
- The current coin-specific rules. Confirm supported coins, applicable fees, settlement timing, and withdrawal conditions against current pool documentation.
FAQ
Does merged mining split my ASIC’s hashrate between coins?
No. In a compatible AuxPoW setup, the same hashing work can qualify for the parent chain, the auxiliary chain, or both, without dividing the ASIC’s hashrate between separate mining jobs.
Do I receive a full block reward on every chain whenever I submit a share?
No. A share records contributed work and usually does not qualify as a block. Earnings depend on each coin’s payment method. Under PPLNS, auxiliary rewards depend on the pool finding valid blocks and your contribution within the applicable share window; PPS-based earnings do not require the pool to find a block first.
Why did my auxiliary-coin reward vary even though my primary coin uses PPS+?
A pool may distribute auxiliary coins under PPLNS regardless of the primary coin’s payment method. On ViaBTC, LTC merged-mining coins such as DOGE follow PPLNS even when LTC uses PPS+, so their rewards depend on auxiliary-chain block results and your contribution within the relevant window.
Is a settlement credit the same as a withdrawal?
No. Settlement credits earnings to your pool account balance. Withdrawal transfers funds out of that balance and may be manual or automatic, depending on the supported options and your settings. ViaBTC’s two-hour settlement schedule for LTC merged-mining coins is not a two-hour external-wallet payout schedule.
Can I compare my ASIC’s local hashrate directly with the pool dashboard figure?
Not reliably over short periods. Local hashrate and pool-estimated hashrate are measured differently and should be compared over a sufficiently long, aligned time window.