Can someone explain to me how does PPLNS mining pool profit split in lay terms? I tried reading up on how PPLNS works for mining pools, but I'm still very lost. Can someone explain how does pay per last N shares work? Explain it as if I was a kid.
As you mine, you earn shares. The more hashes you do, the more shares you earn. PPLNS means that every time the pool mines a block, shares of the reward are distributed to the miners that mined the most recent shares. Often, N is chosen as twice the difficulty. So if, on average, a block will be found every one billion shares, the block reward is divided to those who submitted the last two billion shares when the block was found.