Cardano Stake Pools
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