Bitcoin Mining Fees

Here’s an ungodly stupid question for you, but it’s literally the only thing I haven’t quite clearly understood so far.

Bitcoin mining fees go to the block finder, right?
So how do people mining with pools get their steady payouts, since big pools such as, SlushPool, AntPool, F2Pool, etc… are most likely to mine all the blocks instead of solo miners?
Do they just give out a percentage of what they earn in relation to the power borrowed from the miners?
And if so, does that mean that solo miners stand next to no chance on earning fees due to the harsh difficulty of finding a block on their own?

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I would agree to everything you wrote here… this is at least my understanding of mining, fees etc. In the early days of BTC you could mine as a single person, but due to the increased difficulty I believe this makes no sense anymore.

You are correct in that large pools will get most of the blocks and thus rewards. Currently the rewards in a pool are distributed based on how much you contribute proportionally. This creates 2 main problems. The first is clear in that it takes a decentralized construct and turns it into a psuedo centralized one.

The second is that it is unstable in the long run. Eventually block rewards will disappear and all that is left is fees which will be much smaller. If the same model is used it is likely that the reward will be so small that it will not be worth contributing to the pool and they will collapse.
Theoretically this may make it more decentralized again but the power houses in the pools will likely win most blocks which could have the opposite effect. Either way it still is true that a new miner without a ton of ASICs will not mine blocks unless as a fluke.

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