The Cardano Foundation’s Delegation Methodology is Changing

Edit: Forgot to add it as a reply.

I can see where you’re coming from, a bit exagerated but sure, early investors had an advantage and that’s playing out, most early SPOs have successful pools. And I do agree, the higher the prices the more bad actors will be attracted to the network… But bad actors get advantage by having less competition, e.g. less pools minting blocks.

The idea of this program is to make more pools mint blocks, so delegation will be as distributed as possible, making it nearly impossible to most won’t protect the network. Bad actors most likely already have the capital to make their pools mint blocks.

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Thank you. As the ADA price goes up, this criteria discriminates against heavy investors that have less ADA in quantity but at the same value as earlier investors. Is it intentional to make it hard for new community participants to share in these opps?

If I paid average of 1.50 fiat per ADA for 5000 units, I have significant stake at risk to pledge.

Someone else bought at .40 fiat per unit for 5000 and has far less local fiat at risk.

This diminishes the meaning of their pledge and stake, yet they have greater chance of getting SPO work offered.

Why? What am I missing? They are a riskier member of the community. Thank you!

This is a well thought out comment.

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I feel the same. And I’m starting a 100k pledged pool tomorrow…

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Hi @Cardano-Foundation, you mentioned that a delegation normally stays for three month. Today our Pool AZUL welcomed a CF Whale :smile: which somehow send all his ADA to another Wallet just three hours later :cry: . pool.pm
So while the ADA are gone the whale with empty pockets is still there.
Ist that “normal” during redelegation process ? I am a bit confused …
image

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Here is some writeup of the Cardano foundation which explains it.
Bottom line: it’s based on their improved delegation process…. And the whale will come back :sweat_smile:
https://forum.cardano.org/t/more-improvements-on-the-cardano-foundation-s-wallet-structure/

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Glad you found the answer @jochen. Worth to mention that the ten pools that, for a short time yesterday, received a delegation which was withdrawn, will be included in the next cycle. Provided, of course, they don’t change their pool parameters.

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Thnx the quick answer, and letting us know what’s caused the events :raised_hands: :+1: .

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Thanks. I’ll read this if i have not already. I appreciate your reply.

I think i am missing something in the design, because my current understanding would make it inevitable that the Cardano network would be heavily centralized long-term. I believe they are specifically architecting against that reality, but I can’t get help understanding it. I’ll keep digging! :slight_smile: Thanks for your response.

Hey @James_Rupe - i think you may have missed my main point. I am not implying that any people long-term invested in Cardano should NOT be able to benefit from that - and you are if you were here since the beginning. This is a concern about me paying for a system to run, an SPO system that is being well-managed and professionally administered - using power and an wasting time on an asset to the decentralized network that is being unused. It’s wasteful to not have clarity in which systems have a chance to participate. There needs to be clarity. If decentralization is the goal, then only letting wealthy people joining the community run nodes works against that goal and invites bad actors to put your investment at risk. The community should let lack of skills and poorly managed systems get fleshed out but reward highly available stake pool operators that can be a part of the throughput without it all going to a central group. Hope that clarifies? My goal is not for me to make up for your long-term stake in the dev teams, etc. Thanks!

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Hi guys, when will be next round of delegations from Cardano Foundation to the small Pools like ROG ?

Ola Jose,

É possível trocarmos umas ideias por email?

Hello, for :poland: Polish translation of this article, please visit:

These criteria honestly shock me. This system favors the richer pools. Imagine a stake pool from an emerging country. How would they ever get a delegation from the CF with a minimum pledge of 25kADA? There is also no justification whatsoever for setting these criteria. It is not comprehensible to me at all and does not reflect the values on which the Cardano ecosystem is built on.

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Hi!

What will it going on with the ADA got by delegation in pools that they are going to disappear and not withdrawed?.

They should be directly given to the owners of the ADA delegated.

@Gustavo I guess you mean the rewards that the CF will earn from the delegation? They will use these rewards for further operations of the CF and for other delegations.

I mean the rewards earned by every person who delegates and not withdrawed. They should be given to them

Funny thing: now the rules above has changed and it seems to be clear that a min margin of 1% is required, but today they delegated to a few pools with 0% (or 0.5%) margin… :joy: :joy:

Also a shame that they also delegated to some pools that half a day ago also got IOG delegation. This was also a rule before, but that rule seems to be removed…

There will be an announcement very regarding this delegation round of the Cardano Foundation.

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