[separator headline=”h1″ title=”4ADA-1%”]
For the past 3 epochs, 4ADA-1% has been slightly oversaturated. What was the impact on rewards? Let’s have a look at the past 4 epochs:
[one_fifth] EPOCH
21
20
19
18[/one_fifth] [one_fifth]BLOCKS
41
48
36
28[/one_fifth] [one_fifth]STAKE
112.9M
114.2M
96.2M
68.9M[/one_fifth] [one_fifth]REWARDS
34.2k
34.2k
34.2k
32.0k[/one_fifth] [one_fifth_last]RWD/M
303
300
351
464[/one_fifth_last]
Clearly (and this goes for all saturated pools), maximum rewards per pool are capped at 34200ADA. At this level, the rewards ranged between 300~350ADA per 1M of staked ADA.
Although the 464 rewards in epoch 18 were unusually high, the rewards do tend to be higher if a pool shows strong daily growth. I will explain this phenomenon in an upcoming blogpost.
On the other hand, taking reward spikes, such as in epoch 18, out of the equation, the slight oversaturation over the past few days does not seem to have had a dramatic impact on rewards (some 15~20% less perhaps).
[separator headline=”h1″ title=”4ADA2″]
This new pool has only been launched since yesterday. It is available for delegation in the Daedalus wallet, but unfortunately not yet in the Yoroi wallet. We have no news as to when its availability in Yoroi can be expected.
Due to Testnet stability problems, with which all pool operators have had to cope with thus far, pools need 24/7 monitoring to make sure that they remain in sync and successfully produce assigned blocks. For this reason, the pool fee of [4ADA2] had to be increased to 2%, which we still consider to be very competitive! Instead of 99ADA, you still receive 98ADA out of every 100ADA in rewards.
As of now, almost 0.5M ADA has been delegated to it, so with a bit of luck we can look forward to our first block assignment perhaps already as quickly as tomorrow!
[separator headline=”h1″ title=”‘Should I stay or should I re-delegate now?'”]
That is entirely up to you. With [4ADA]-1% you can be sure of attractive daily rewards, especially since its size seems to have decreased to close to its saturation point.
With [4ADA2] on the other hand, its longer term growth path may be a more attractive option once it starts producing its first blocks…
Ofcourse, by all means you are also free to try out any other pool; there are hundreds which are desperate for your ADA!!
If you do so, good luck, and we will be looking forward to have you back in a hopefully not too distant future 😉
I just delegated to 4ADA a couple days ago. I appreciate all your information and blogposts.
Hi Eric, that is nice to hear, many thanks!
I am not sure if you (and many other delegators) have some idea of the efforts that pool operators have to make these days just to keep their pool somewhat alive, so every positive feedback is heartwarming and very much appreciated!
Jos
Hi Jos- I don’t think I have a clue as to how much effort it takes. Too be honest I’ve been investing in Cardano for about a year and a half. I’m a bit older than most people that are in this crazy space. I have a lot to learn and the testnet arena has been great. Keep up the great work.
Trust me Eric, that it requires a LOT more effort than what most pool operators (staking4ADA included) had in mind when they decided on what pool fees to charge for ;-).
Let me tell you, if the experiences during this Testnet phase so far are somewhat representative of what staking on Mainnet is going to look like, 80% of all pools would most likely cease to exist very soon!
But, we are passionate about the project and want to give it our best, hoping to become a small part of Cardano’s long term future. In other words, for now it’s ‘keep calm, and carry on’!
Well that’s partly why I decided to join yours. I appreciate the information you’ve provided on your site and to be honest, the candid feedback in response to my posts. I couldn’t code a new garage door opener so if it means anything, I appreciate your efforts. I trust that these bugs will be worked out as I to trust in the long term vision of Cardano.