Daedalus Rankings, Desirability, Hit Rate Estimates - Explained

How does Daedalus rank stake pools? In this video, we dive into the pool ranking calculations.

First, we take a look at the 2-layer system of pool ranking calculations currently in place. Next, we cover hit rate estimates which play a crucial role in the initial (1st layer) pool desirability calculation. Lastly, we take a look at how the non-myopic member rewards are calculated, which are the final metric used to rank pools in Daedalus.


Thank you. This was very informative.
Looking forward to next Daedalus release to see if hit rate estimate change will make things more fair for small pools.

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Thanks a lot for this detailed content. Have you, in the mean time, been able to read/obtain the prior for a pool using cardano-wallet?

I see Daedalus 3.0.0 has the prior/hit-rate update due to the upgrade to cardano-node 1.24.2 but I can’t say I can see a very big difference in rankings

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I have looked at it with @Homer_J, it seems that the change has been slightly beneficial to small pools as expected, but we were expecting a lot more influence. Seems like the block count for 100% hit rate estimate has been dropped from ~175 to ~100.

We added some comments on the MR: https://github.com/input-output-hk/cardano-ledger-specs/pull/1936

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