@GrahamsNumberPlus1 I sense your frustration at your lack of reward for hard work. I agree that things are not configured properly at present.
I think one thing that can be changed easily is to lower the min Ada fee from 340 down to something like 30 as proposed by IOHK’s @Colin_Edwards in this thread:
Minimum Pool Fees
This is background on proposed updates to two parameters: ‘K’ and the ‘minimum fixed fee’. Much of this was discussed at the discord call; this note doesn’t add new material. This note is primarily intended to summarize what was talked about and to facilitate a continued discussion.
Just to reiterate - these are changes up for consideration and I’d love to hear any constructive feedback.
Background
Minimum pool fees are one component of the staking rewards formula. They are…
It won’t get you paid more initially but will give you more ability to attract delegators.
On my website I say the following:
I do not recommend you stake with Terminada pool yet because the protocol does not allow setting the fixed fee any lower than 340 Ada.
With a fixed fee of 340 Ada you will lose too much of your rewards to fees until the pool size is over 10 million Ada.
I am hoping that enough community support builds to change this min fee parameter soon.
In the longer term, there are proposals to redesign the staking + pledging benefit metrics like that proposed by @Michael.Liesenfelt at:
cardano-foundation:master ← michael-liesenfelt:CIP-Liesenfelt-Shelleys_Voltaire_decentralization_update
opened 03:59AM - 05 Apr 22 UTC
**[Rendered Full Document](https://github.com/michael-liesenfelt/CIPs/blob/CIP-L… iesenfelt-Shelleys_Voltaire_decentralization_update/CIP-0050/README.md)**
Improving decentralization is absolutely necessary for the long term health and growth of the Cardano ecosystem. The current reward formula has resulted in a stable but stagnant level of decentralization. With the benefit of hindsight over the last year the intent of (a0, k) has not resulted in the desired decentralization outcome. This CIP provides the justification, methods, metrics, and implementation for an improvement program to increase decentralization of the Cardano network.
The proposed reward equation retains the function of k for diminishing rewards based on stake and enforces diminishing rewards based on pledge leverage, L. The proposed equation enforces a set of principles to ensure stakeholders of dramatically different size can all achieve the same maximum yield. The yield ceiling feature prevents the formation of two classes of stakeholders and removes some of the benefits of centralization. The economic motivations of the largest stakeholders will be aligned with decentralization, reward diversification, fault tolerance, and ensuring the Sybil protection of the entire community.
[Cardano Foundation CIP-Editors Discord : CIP-50 Topic Thread](https://discord.gg/Q3WuMPMk9A)
**Current Status:**
2023 08 01 - CIP50 will be merged. The author (M.Liesenfelt) will not be pursuing an RSSv2 simulation suite publication because although the process merits a publication the solution, namely a negative RSS slope with sybil leverage limits, is a trivial solution.
_2022 11 07 - The CIP-50 hivemind is leading the effort. It is up to us to create a comprehensive simulation suite, test a half dozen equations, and publish an independent RSS-revision-2 research paper._
**Additional Resources:**
[Cardano Live #54 | Cardano Network Parameters with Dr. Michael Liesenfelt](https://youtu.be/eAs_L68RO-c)
[Spicy Dumpling Show | May 6 2022 | CIP 50: Pledge factor and pool rewards](https://youtu.be/1UpD2s_vegQ)
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