Staking reward seems very low

I am confused.

My pool 1PCT9 displays over a 5% return.

Take out a mere 340 Ada from the overall pool. Got that.

Let’s say I have 50,000 Ada. At about 4% (5%minus 1% fee, I should get 2,000 per year - about. 2000 /52 weeks is about 38 per week. I got about 14 last week.

This is an example of what happens almost every week.

Obviously I misunderstand something

I know they say an epoch is every 5 days. I would rephrase that as “every week” - only 52 epoch’s per year.

I thank the well informed admins that always volunteer to respond and clear up these muddy things in my mind. Thanks in advance.

I’ll let others deal with the main issue (that pool doesn’t seem to be doing very well but I’m no expert) but just on this point, the fee is 1% of 5%, which works out at 4.95%, not 4%.

Thanks. It “appears” better than TRUE which shows 3.6% and the fee is higher.

I appreciate the article. In my mind, this article talks more or less about the chances of a pool getting to create stuff.

When you look on the statistics for the pools, it gives an average return based on the past 30 days.

I’m not asking the odds of the pool getting it, in fact I can show out of how many blocks they produced 114% or 72%. Number wise though, it just doesn’t add up to that return That they display

This post has been deleted

It may be worthwhile noting that there are 365/5=73 epochs per year

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Not sure exactly what you’re talking about here – or even if “you” is me! – but as I said above, I’ll let others come in on this.

I deleted it because in another post you had suggested I not share the number of Ada I had.

The bottom line is even using me estimated rewards from the ADA calculator on the Cardona website, I am extremely far from getting when I am “supposed to earn”.

The number between the calculator on their website and what I actually received is about 20% of what their calculator shows I should be receiving.

As @tobias said, epochs are 5 days and there are 73 in a year, so that already throws your math off substantially.

According to adapools the actual return over last 30 days is 5.06%. I’d be extremely surprised if they got that wrong.

You can see how that panned out over the epochs by going to https://adapools.org/pool/b59366e330a6db8260ad9aae8446ba8c908931d1b9cb3cca5d1d84aa, scroll down and click on Rewards, then look at Blocks and Luck columns.

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I guess most people miss this part. Thanks for sharing this information.

I did learn that there are 73 epochs in the year. Schedules people had posted incorrectly showed weekly epoch’s.

The amount I get each epoch hardly has averaged out to 5% since I have started. My "receipt is about .4%. on an annualized basis. The page says 5.3% yet I have revoked nothing close to that. The page shows TRUE maybe 3.6%. If you are in that pool are you getting about the annualized return you expected?

I only seem to get rewards on a weekly basis - every Friday or Saturday - I forget which.

Thanks again RobJF.

I don’t bother to track it, I’m confident it’s run well and therefore over time the rewards will average out at the same level as every other non-saturated properly functioning pool.

Trust me, it’s every five days.

I’m in 1PCT9. Spoke with the number says I’m not even close to getting a return of 1% despite the fact that they say it’s over 5%.

It has been the same when I was in the TRUE pool.

If you do the math on yours multiply you’re holding times 4%. Add up all your approaches figure out what the average is per week. Multiply that by 73. That should be your annual return. I doubt it’s going to come close to 4% of the ADA you hold.

OK I just did that, got 3.75%. Which is an underestimate, because the calc doesn’t allow for several days when I wasn’t actually delegating (not just at the start, also when I split between wallets for >1 pool). Or for the >2 days that we’re into the current epoch. I could redo it more carefully but because I’m not worried I’m not going to bother.

I’ll try this.

ada tokens x.04% ( return rate). Approximate ada awards over the course of a year.

Divide by 73 to see how many rewards (new ada) I should be receiving (about) every epoch.

Any rewards in the ranking tools should be the rewards a delegator should expect. (Obviously, the actual tools are written by several organizations.)

In excel:
=stake * EXP( annual_return * (5/365) ) - 1
=50000 * EXP( 0.05 * (5/365) ) -1
which should be about 34.26 Ada/week in rewards

14 does seem very low, so there is probably something else going on.

Various things can affect rewards; a big one being that the “active” stake used for pool rewards is snapped 2 epochs (10 days) prior to the start of the epoch, so new pools (or rapidly growing pools) can show different rewards over time.

Rewards are also paid 5 days after being earned, so their is a lag when you get them into your wallet.

Make sure to leave it delegated long enough to get a clear signal.

Rewards also are scaled by the number of blocks they are expected to create and the number they actually create. If a pool is offline or gets unlucky, it generates less blocks.

Realized rewards are strongly influenced by block creation, especially as “d, the decentralization parameter” is still fairly high: pools who “got lucky” and generated some extra blocks have no reason to expect that they will “get lucky” in the future. Right now the “realized” rewards are mostly noise because of this.

Rewards are automatically sent to your wallet; the pool operator is not directly involved in the process (unlike Tezos ‘baking’ for example).

As a side comment:
The rewards for the pool operator are quite different; they are taking 1% of the whole reward pool; so if the pool size is 100MM they would be taking a (~5%) return on 1MM Ada (or 1% of the pool) + 340. There is a degree of leverage there if they are pledging 0.1% of the pool, but taking rewards for 1% of it, but they also have costs associated with running the pool to cover. The main point: the ranking sites are just showing the returns a delegator should expect.

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Thank you very much.