Abstract: Virtual power plants（VPPs）can jointly improve the potential revenue by using complementary resources. However,the joint operation also faces three major problems,including the scale of alliance,individual revenue pro-tection,and individual privacy preservation. Targeting these problems,this paper firstly proves the existence of the cooperative game of VPPs and the uniqueness of the alliance composed of all VPPs under the assumption of individual rationality. Then based on the asymmetric Nash bargaining theory,this paper proposes a cooperation revenue allocation mechanism that adopts the net power output as the contribution index,guaranteeing the stability of the alliance. Considering the privacy preservation requirement of the clustered VPPs,a dual-block alternating direction method of multipliers（ADMM）algorithm is proposed to avoid the convergence problem in the multi-agent ADMM algorithm. By conducting numerical tests,the effectiveness of the proposed alliance strategy and revenue allocation mechanism and the efficiency of the dual-block ADMM algorithm are verified.