Details about stake pools and ADA staking

IOHK's Director of Marketing and Communications, Tim Harrison, has released a publication addressing the most relevant questions from the community about Shelley Tim Harrison answers the most relevant questions from the Cardano community about Shelley. The launch of Shelley's main network will change Cardano's fortunes. A few hours later, at 21:44:51 UTC, the hard fork that launched Shelley will be deployed.IOHK's Director of Marketing and Communications, Tim Harrison, has released a publication addressing the most relevant questions from the community about Shelley.A few hours later, at 21:44:51 UTC time, the hard fork that launched Shelley will be deployed.

Harrison further informed that the ADA delegation system takes a snapshot of the stake distribution at the beginning of every epoch. After Shelley is activated, epoch 0 will have a snapshot, which will be empty. However, users can start staking ADA already in epoch 0 (29 July to 3 August), their delegation will be recorded in a snapshot taken between epoch 0 and epoch 1.

As Harrison explained, immediately after the hard fork users will be able to register their stake pool. A few hours after the registration, the pools will be shown in the Daedalus wallet and the users will be able to select the pool of their preference to stake their ADA.

This means that after stake is delegated, it will be recorded in the next snapshot, and that a snapshot will determine the leader schedule and rewards not for the epoch that is just starting, but for the one after that.

Harrison noted that the rewards users will receive for staking their ADA will vary. However, the IOHK team has created a “staking calculator” that can be used to get an estimate of individual rewards. The calculator can be accessed via this link. Users will be able to begin receiving their rewards on August 18th if everything remains on schedule:

People will be able to delegate during epoch 0 (July 29 – Aug 3). Please note that ITN rewards will not be available for delegation during epoch 0.

For the users who want to withdraw their rewards from the ITN, they will be able to do it with the Daedalus wallet. The new version will include a feature called “Redeem Incentivized Testnet rewards”. The feature will allow to claim the rewards for the ITN and transfer them to the Cardano mainnet on August 3, starting at epoch 1.

Harrison also clarified that August 18th marks the “first-day staking rewards” will be distributed so that users who “get in early” will receive rewards for the first epochs. However, it doesn’t matter when users choose to delegate/re-delegate within an epoch. ADA owner just need to have delegated before the end of the particular epoch to be included in the next snapshot.

In addition, Harrison emphasized that ADA’s staking maintains the security of the network. Users will never lose funds by staking, but their funds will increase as a result of successful delegation, IOHK Director of Marketing and Communications clarified.

Author : Reynaldo