Infrastructure
Cardano Stake Pools
3 min
cardano is a decentralized blockchain that offers rewards to delegates and stake pool operators in return for helping to keep the blockchain decentralized ada held on the cardano network represents a stake in the network, with the size of the stake proportional to the amount of ada held the ability to delegate or pledge a stake is fundamental to how cardano works what is staking? the amount of stake delegated to a given stake pool is the primary way the ouroboros protocol chooses who should add the next block to the blockchain, and receive a monetary reward for doing so the more stake that is delegated to a stake pool, the more likely it is to make the next block – and the rewards that it earns are shared between everyone who delegated their stake to that stake pool what is a stake pool? stake pools are run by a reliable operator an individual or business, with the knowledge and resources to run the node on a consistent basis ada holders can delegate to public stake pools if they wish to participate in the protocol and receive rewards, but do not wish to operate a cardano network node themselves the more stake that is delegated to a stake pool, the greater chance it has of being selected as a slot leader each time it is selected and produces a block that is accepted onto the blockchain, it is rewarded, and these rewards are shared between the stake pool operator and stake pool delegators copi stake pool copic stake pool