Cardano | FAQ time | NOOPS
Here is a simple FAQ provided by NOOPS
What is a stake pool?
Stakepool is where people holds their ADA together to make blocks for the chain. The benefit is being rewarded with new ADA. Stake pools are responsible for processing transactions and producing new blocks. You can select a pool and delegate your ADA to generate, ~5% a year.
What does staking ADA means?
Staking ADA provides ada holders with rewards in addition to the potential market price gains. The more ada you stake, the more rewards you can earn. The actual amount of ada earned depends on several factors, including actual stake pool performance (Active stake, luck, amount of pledge…).
What is an epoch?
An epoch is about 5 days. Cardano operates on time intervals called epochs.
I Just delegated and I have not seen any rewards
When you start to delegate, it will take 16–20 days until you receive rewards. If your pool as minted a block. You will continue to receive rewards every 5 days thereafter. You can check our link for more details :
- A simple calculation method to know how much you will earn from a small pool
- Delegation and rewards distribution timeline
What are these fees?
There are two types of fees.
Fixed cost: set by the operator and cannot be lower than 340 ADA per epoch (5 days). This is to compensate the owner of the fixed operating costs for the pool.
Margin percentage: Set freely by the operator, a kind of wage.
Fixed + Margin % = Total Fees.
Running a pool takes time and cost.
Cost are taken from the total rewards, before being distributed.
How do I stake my ADA?
Delegation is supported by 2 main wallets, Yoroi and Daedalus.
Daedalus is pretty heavy, the blockchain will be fully synchronize to your pc.
Yoroi is light, the synchronization is done remotly and mobile apps are availables. Check out our guides, to learn how to delegate with Yoroi and Daedalus.
Is staking safe?
What is more secured than a good old exchange ? Everyone in the crypto world is familiar with exchanges. You can easily create an account with your ID. Your coins stay on the exchange and your access is secured with MFA but there is some caveats: you can only stake with the service provided by the exchange. Check out the difference between exchanges and wallet here : https://devnoops.medium.com/cardano-transfer-ada-from-exchanges-to-your-own-wallet-noops-guide-580d8d46d885
What is the interest to choose a small pool ?
Choosing a small pool contribute to Cardano’s decentralization!
They do their best and work hard to get delegators to have the best APY possible.
Choosing a pool is also supporting a good cause.
What happens if there is an issue on my stake pool ?
Your ADAs are still in your wallet, so if the stake pool is unavailable your ADAs stay safe. The only impact possible is on your APY.
At the end of each epoch the operator knows when the pool will be leader to mint a block. So if the pool is unaivailable during this period it will not mint the block.
Feel free to ask any questions or contact us if you have any questions, we will be glad to answer you.