Epoch 276: Retrieve Pool Data From Adapools

2021-09-30

Pool Report

Thank you for visiting! Epoch has been switched.

Reward delivered to those who delegated by around 21:30 UTC on Saturday, June 19.

In order to provide accurate results, I tried to get the latest pool information from Adapools and chart it. From the chart, you can see that the reward is from two epochs ago. ROA (%) gives some idea of this epoch’s reward if it is high or low, which averages around 4-5%. If we keep this as average, it will provide often-quoted “annualized 5% rate of return", although there are ups and downs per epoch. We have good a number of blocks assigned this epoch.

Luck and ROA

Generating a lot of blocks does not necessarily mean high reward. If you are wondering, “Why is the reward not constant?", I would like to explain a little.

Before the epoch switch, the block generation schedule is randomly assigned to each pool according to the amount of stake.

Here, we look at two pools: one (pool A) with 1M stake and another pool (pool B) with 10M stake.

Pool A: scheduled for generating 1 block
Pool B: scheduled for generating 10 blocks

During the new epoch, the scheduled blocks are minted by pools.

On the other hand, if the amount of stake is high, then the “expectation" is that “your pool will be able to generate more blocks". (Think of winning the lottery.)

So, pool A with 1M stake is expected 1 block; pool B with 10M stake is expected 11 blocks. (The numbers are hypothetical values to make story simple)

Now, luck is calculated by the number of blocks generated / expected value. (For simplicity’s sake, we’ll assume that both pools have generated everything assigned to the schedule.)

At epoch end,
Pool A: 1 block generated successfully / 1 block expected = 100%.
Pool B: 10 blocks generated successfully / 11 blocks expected = approx. 90%.

This % is called Luck in Adapools and is proportional to the percentage of reward (ROA) per epoch. It allows us to distribute the similar amount of reward regardless of the size of the pool. However, for smaller pools, one block will have more impact.

ADA/USD

The price is trending between the horizontal lines we drew previously. Overall, RSI and MACD are in an upward trend. The middle yellow RSI has broken above 50. We will look forward to how it will act. There seems to be no significant volume yet.

Overall, this is a daily chart, with a long-term perspective. It is not intended to give investment advice, but to be part of an important asset check and to support Cardano.
I may make predictions about trends, but this is just one individual’s perspective. Please analyze from various angles and trade at your own risk.

Thank you for taking your time reading.
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