Impact of Pool Fee on Staking Rewards

Did you ever wonder what the impact of Pool Fee is on the actual staking rewards you receive in your wallet?

Well, probably much less than you think!

To demonstrate this, I have made a small simulation based on staking 100k ADA with three different pools. The only difference between these pools is the pool fee, which varies between 1%, 3% and 6%.

When comparing the results, we see that the ROS of the 3% pool is 0.26% lower than the ROS of the 1% pool. The 6% pool has a 0.63% lower ROS.

In actual rewards, after one year, this represents for the 3% pool a difference of only 337ADA (or 18.5USD), and for the 6% pool a difference of 840ADA (or 46USD) compared to the 1% pool.

So, if you are for example currently delegating to [4ADA] and feel like buying your pool operator a beer every couple of months, feel free to hop over to [4ADA3] or [4ADA2] anytime! 😉