Here are answers to some of the questions our community has asked us. Get in touch if there’s more you would like to know.
1. What is Cardano?
Cardano is a decentralized public blockchain that evolved from a scientific philosophy and research-first approach. If you like to learn more, there is a lot of good documentation available.
2. Why should you delegate?
By delegating ADA from your own wallet, you help to secure the network while also helping to increase the price per ADA. You get part of the rewards provided by Cardano for doing this. If you are planning to hold on to your ADA for a longer period, delegating will help you accumulate more ADA.
3. What happens to the ownership of ADA after they’re delegated?
You are not giving away ownership of ADA by delegating. As a validator, Stake Green will never have the ability to touch or move your ADA.
4. Do I need to withdraw rewards?
Staking rewards will be automatically added to your wallet. All your ADA in your wallet will be staked, but in comparison to other cryptocurrencies it’s also still spendable at any moment. Because the rewards are automatically added, you also will have compounded interest.
Here are some of the more advanced question we are being asked by our community.
1. What is validating and what is delegating?
New blocks on the blockchain are proposed by stake pools (validators). Together, this network of validators makes sure that the Cardano blockchain is running smoothly.
To be allowed as a validator in the network, a stake pool needs to have delegators. Any person that holds ADA can delegate to a validator (stake green). The more delegators a stake pool has, the more transactions and blocks the pool is allowed to produce and verify.
2. What does Stake Green get out of this?
We charge 0% fees from the block rewards received by our delegators. Per epoch that we mint a block, we receive 340 ADA for operating the Stake Pool. The 340 ADA are the minimum operating costs which is able to set currently on the network. This means that every stake pool charges this.
3. When am I supposed to get my first rewards?
Rewards are always paid out 2 epochs later. If a block is minted in epoch 345 this means that the rewards of that epoch will be paid out at the start of epoch 347.
If you join a new stake pool or switch from a stake pool it also takes 2 epochs until your ADA is active in this pool. In total this means it takes at least 20 days until you will receive your first rewards.
4. How to buy ADA?
Cardano can be bought on an exchange, there are several exchanges on which ADA can be bought. Here is a list of all exchanges on which Cardano can be bought. We are a big fan of the exchange Kraken, they have low fees a nice company culture and a very stable platform. We also have created a detailed article which explains how you can stake your ADA.
5. How to stake ADA with Stake Green?
Please read our detailed guide about how to stake your ADA with Stake Green.