- Centralized Pool - simplest way to mine monero, just download xmrig, configure the pool address run xmrig and you're done! Example of a Centralized Pool is supportxmr.com
Pros:
- Simple & Easy setup
- Consistent payouts (depending on pool's hashrate)
- Niceties like profit switching and auto exchange (depending on pool)
Cons:
- Centralizes network
- Pool fees (depending on pool)
- May log your ip/require setting up account (depending on pool)
- Decentralized Pool (P2Pool)
Probably the most complex setup out of the three. But no matter its hashrate it decentralizes network hashrate. Example of Decentralized Pool is p2pool.io
Pros:
- Decentralizes network
- No pool fees
- Consistent payouts
- No accounts required
Cons:
- Complex setup (local monero node + p2pool node
- Possible security vulnerabilities (due to p2pool node)
- No niceties like profit switching and auto exchange
- Solo Mining
Easier to setup than decentralized pool but still more complex than centralized pool. To Solo mine you need to run your own local monero node and mine to it.
Pros:
- Decentralizes network
- No accounts required/anonymous
- Full monero block payout (0.6 xmr)
Cons:
- More complex setup than centralized pool
- Inconsistent payouts: you could be mining for months to years without earning any monero
- No niceties like profit switching and auto exchange