# PCP\_K-Parameter\_EarnCoinPool

**URL:** <https://forum.cardano.org/t/pcp-k-parameter-earncoinpool/122701>\
**Category:** Parameter Change Proposals (PCP)\
**Tags:** pcp\
**Created:** [9 October 2023 14:53 UTC](https://forum.cardano.org/t/pcp-k-parameter-earncoinpool/122701 "2023-10-09T14:53:44Z")\
**Posts on this page:** 1\
**Showing post:** 56

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**Author:** ![ADA4Good](https://sea1.discourse-cdn.com/flex023/user_avatar/forum.cardano.org/ada4good/32/39440_2.png) [@ADA4Good](https://forum.cardano.org/u/ADA4Good)\
**Post date:** [12 January 2024 12:28 UTC](https://forum.cardano.org/t/pcp-k-parameter-earncoinpool/122701/56 "2024-01-12T12:28:50Z")

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I didn’t reply to this yet, because I have replied to many other variants of the same things before.

I don’t think raising K without first revamping the whole rewards formula is a good idea and you can find my analysis here:

> [@A visualization of Pools and effects of K=1000](https://forum.cardano.org/t/a-visualization-of-pools-and-effects-of-k-1000/118183):
>
> Hi all, It has been a long time since I was active here. Today, I want to bring you something I have been working on regarding [the K and minPoolCost poll](https://adastat.net/polls/96861fe7da8d45ba5db95071ed3889ed1412929f33610636c072a4b5ab550211). As a business (data) analist, I believe in measurable arguments. Especially when it comes to things like changing the rewards formula. One could argue that changing something that has a big mathematical aspect should at least be supported by SOME data. Otherwise we might change this very important formula purely on gut feelings or past assu…

In essence, raising K will not stop multi pool operators to spin up more pools. Many of them don’t even have to split their pools since they have already prepared for this K increase (they are less than 50% saturated). It’s therefore questionable how much ADA will flow over to smaller pools. But it is not questionable that single pools that pledged not to split their pool and are successful, will have to either also start splitting pools or see their delegators being forced out. Finally what is also not questionable is the fact that increasing K will require a lot more resources to run the same network (since more pools means more servers). This is worth it if MAV (decentralizationn of the network) will increase enough. But I wonder if you still think that MAV will increase enough after seeing my analysis above.

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