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How Does the Pool Difficulty Setting Relate to the Network Difficulty?

The pool difficulty is set significantly lower than the network difficulty. The network difficulty determines the threshold for a valid block, which is extremely high.

The pool difficulty is a lower, internal threshold that allows miners to submit shares frequently to prove their work. The pool aggregates these low-difficulty shares until a single share meets the network's high difficulty.

What Is a ‘Threshold Signature Scheme’ (TSS) and Its Relation to MPC?
How Does a Miner’s Reward Relate to Successfully Finding a Valid SHA-256 Hash?
How Does a Pool Operator Ensure Miners Are Working on a Valid Block Template?
How Does a Mining Pool Divide the Work of Finding a Valid Nonce?