Responding to change of k on 6th December

Responding to change of k on 6th December

23 November 2020 Uncategorised 0

From the 6th December 2020 the ideal number of stake pools, also known as ‘k’, will be increasing from the current value of 150 to 500. In doing so the saturation level will decrease from approximately 207M ADA to 64M ADA. As of writing this blog article, Zetetic Stake Pool has just over 61M ADA delegated and as such will risk becoming saturated from the 6th December, and if so, this would reduce returns for all delegators.

In advance of the epoch boundary at 21:45 UTC on the 1st December, delegators may consider re-delegating their ADA elsewhere, though ideally that would be with a pool that I operate. At present the only other pool I operate is known as Lightning Stake Pool, identified with the ticker, LIGHT. I created this pool to help educate my son about cryptocurrencies and encourage him to run a web site.

Though this pool has no delegators and little pledge, it does run on the same infrastructure as Zetetic. If at least 2M-3M ADA is delegated then it will start producing blocks and will in effect act as a second stake pool to Zetetic. Variable rate will remain at 0% until at least saturation occurs and I may consider increasing pledge to at least 100k ADA to be transferred from the amount of pledge allocated to Zetetic, which I’ve already reduced.

Alternatively I could create another stake pool with the same ticker, perhaps this would re-assure delegators rather than delegating to Lightning which is being marketed by my son, and will continue to be so.

I’ll be interested to know the thoughts of my delegators so please either leave a comment below or leave a message on Twitter or Telegram.

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