Does the Pool Operator Benefit Financially from Setting the Share Difficulty Higher or Lower?
The pool operator benefits from setting the share difficulty at an optimal level, not simply higher or lower. Setting it too low overwhelms the server with unnecessary shares, increasing operational costs.
Setting it too high leads to miner dissatisfaction due to high variance and potential loss of miners. The optimal level balances server efficiency (lower share volume) with accurate miner tracking (enough shares for fairness).