Cardano/ADA Staking Pool

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ajs
Posts: 15
Joined: Sat Jun 16, 2018 2:43 pm

Cardano/ADA Staking Pool

Postby ajs » Sun Aug 05, 2018 1:09 pm

All,

I have been watching with some interest the Cardano/ADA developments around a Proof of Stake decentralized cryptocurrency.

While still at it's infancy, Cardano will start testing it's decentralized Proof of Stake work on a test network toward the end of 2018, and go live with this in the coming year(s).
https://cardanoroadmap.com
https://www.cardano.org/en/weekly-technical-reports/

This is quite a change from the Proof of Work mining we are all involved in and - if secure - might be much more scale-able.

Because the decentralized "voting" is dependent upon the number of shares, the concept of Stake Pools will certainly come into be to pool the stakes of smaller investors. Like mining, people will let the pool use their "stake" and will be paid rewards for transactions approved.

I have two questions for this group.
1) Is it within Prohashing's business model to consider a Stake Pool for Cardano/ADA?
2) What do those mining here think of the PoS concept vs PoW?

Thanks in advance,
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CSZiggy
Posts: 601
Joined: Wed Jan 31, 2018 2:44 pm

Re: Cardano/ADA Staking Pool

Postby CSZiggy » Sun Aug 05, 2018 1:57 pm

My understanding is, you have to leave your profits on the pool (i.e. your STAKES) in order to have controlling votes to get more work bids to earn more stakes.
I think the idea of keeping shares/stakes/coins/profits on the pool to tally as votes would be counter to this pool's policy of NOT being a bank.

The owners don't want any more coins here per day than is needed, they want them all paid out, if they aren't holding they are less a target of a hack.
Keeping all my coins on here in order to have votes on what happens in a staked pool, would mean 1 hack and everyone would lose everything.

I think the nicehash hack taught us enough that if you don't want to lose a whole week or a whole month's worth of profits you need to get paid out and keep control yourself in whatever manner you feel is safe for you. Last thing I would want is a pool that allows me to push all my profits in and mine and add to it, and then I wake up one day and the site is closed and my last 8 months profits with it.
ajs
Posts: 15
Joined: Sat Jun 16, 2018 2:43 pm

Re: Cardano/ADA Staking Pool

Postby ajs » Sun Aug 05, 2018 2:04 pm

CSZiggy wrote:My understanding is, you have to leave your profits on the pool (i.e. your STAKES) in order to have controlling votes to get more work bids to earn more stakes.


That is NOT my understanding, and in fact Cardano states that any pool that wants your tokens is a SCAM and should be avoided. You simply "rent" the voting rights of your shares to the pool. They never touch nor have control over your actual tokens. Details are coming in the Shelly version of Cardano, but it is clear the pools do NOT need your stakes. You can delegate your stake all from within Daedalus wallet.

The idea is interesting. Instead of investing in hardware and electricity, you invest in the actual currency, and get paid for the voting rights.

The pool invests in hardware servers and electricity, and uses other people's shares to participate in the network, and charges a fee for that service.

--ajs
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mad4mining
Posts: 7
Joined: Sun Aug 05, 2018 5:22 am

Re: Cardano/ADA Staking Pool

Postby mad4mining » Sun Aug 05, 2018 2:11 pm

Are you refering to a Master Node for Proof of Stake? If so, the Master Node needs to hold a set amount of tokens/coins in order to be activated. If you want to set up a Master Node or understand the profitability check out https://masternodes.online/ and be prepared that what starts out VERY profitable gets lower with each Master Node added to the mainnet.
ajs
Posts: 15
Joined: Sat Jun 16, 2018 2:43 pm

Re: Cardano/ADA Staking Pool

Postby ajs » Sun Aug 05, 2018 2:23 pm

mad4mining wrote:Are you refering to a Master Node for Proof of Stake?


It is not clear. It seems that Cardano makes a distinction between masternodes and the voting nodes with staking.

https://staking.cardano.org

(Registration of the test phase now closed.)

It is unclear if this is just a master node, with minimal stake to be a node, that expands its voting using delegated stake, or a different thing all together. Many groups seem to be setting up pools

https://forum.cardano.org/t/list-of-car ... pools/7595

which I am unsure if they are master nodes or separate.

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