Hello Cardano community!
Today i would like to talk about the real world problems of a fresh started stakepool in Feb/March 2021.
(english is not my native language so please bear with me)
We are now live for 1 month and we managed to attract 40K of stake in this time (which was very hard work for weeks). We have 2K in pledge plus 500 registration fee. Considering the current ADA price of around $1, its been quite an investment for us (Webservers, Website, Plugins, SSL-certificate, Theme, this all adds up…)
When I look at the unbelievable high numbers that are necessary in pledge/stake to finally get some rewards, i am feeling desperate already.
Since we do not produce blocks we can not attract delegators. And since we do not attract delegators, we do not get enough stake to produce any blocks. It’s like the ouroborous snake…
With the current price, we will NEVER be able to reach or buy 500K ADA or more pledge like other pools that are early adopters to finally gain rewards. At the moment, becoming a stake pool operator seems pretty much useless. It is a bug in the system, when hard working, qualified and motivated people work their a$$es off and nothing happens… for months.
Something has to happen in the protocol, but how can we make sure that no one can have more than 2-3 filled up pools? (which is fair enough concerning rewards, I think)
It has to be a mechanism that huge companies like binance and etoro cannot outmaneuver with their money. If you connect and limit 2 pools to a single social security number, binance will force its employees to open up pools for them, same with tax numbers or company IDs. They will just open up new companies and move their pools to them.
Do you see any way
a) to prevent a concentration of staking pool power in big companies or multipool-operators?
b) to reward new “real” hard working SPOs so they get fair rewards from the very first moment?
If nothing happens in the very near future, we will see a lot of small pools dying and only more new pools that are created by multipool-operators that are already millionairs. THIS is NOT decentralization.