The majority of ADA holders are not staking themselves and are missing out on important benefits. In this article, I will tell you why you should start staking yourself by delegating your ADA to a Cardano stake pool. In addition, I will tell you why I recommend selecting Mokum Stake Pool.
Why start delegating your ADA
The first and foremost reason to start staking your ADA is the rewards (interest) you earn, which annually amounts to about 3-4%. In case you leave your ADA on an exchange, you miss out on these rewards.
Some exchanges do offer the option to stake your ADA on their platform, but even then, they will take a part of the rewards which you could earn by staking yourself. It’s also noteworthy to mention that delegating to any stake pool is completely safe; you don’t actually transfer your ADA to a stake pool, but you allow the stake pool to participate in the Proof of Stake protocol on your behalf!
Secondly, by delegating your ADA to a small stake pool (with a low amount of stake/ADA delegated to it), you can support decentralization. Staking through an exchange or delegating to a large stake pool results in a high concentration of stake at a specific party, which is not in line with the basic principle of blockchain technology.
By delegating to a small stake pool, and thus supporting decentralization, you contribute to improving the resilience of the Cardano network.
Finally, by selecting the right stake pool, you can also have a positive impact on the world. There are a number of mission-driven stake pools that donate their profit (or a part of it) to charitable organizations.
Delegating to a mission-driven stake pool does not mean you receive fewer rewards yourself, since this is only dependent on the fixed and variable fees charged by the stake pools. However, it does allow you to have a positive impact, similar to opening a bank account at a sustainable bank not investing in fossil fuels.
Why choose Mokum Stake Pool
Mokum Stake Pool is a small stake pool committed to maintaining low fees: it will always have a minimum fixed fee of 340 ADA and a low variable (margin) fee of 2%. On top of that, it is reliably operated to ensure that the stake pool is fully functional, thus providing the number of rewards to its delegators it is supposed to provide. It is a transparent stake pool and it is even possible to verify its uptime on PoolTool by reviewing its block height.
In addition, Mokum Stake Pool has pledged to donate its profits to the NGO Save the Children which strives to create a better future for children, free from hunger, violence, and diseases. According to Stake Pool Operator Fabian: “I feel strongly that every child deserves to live a life with dignity and opportunities for the future.
That’s why I pledge to donate even if Mokum Stake Pool does not make an actual profit yet!”. Moreover, donations to Save the Children made by Mokum Stake Pool are done in ADA, maximizing its impact by reducing transaction costs.
Finally, the website of Mokum Stake Pool offers a great environment to learn about Cardano. It includes the most extensive Cardano stake pool FAQ, an explanation of how the Cardano project aims to use blockchain technology to improve the world, an explanation of Cardano’s proof of stake consensus mechanism, the delegation process, staking timeline, and a clear and simple explanation on how to delegate your ADA to a Cardano stake pool. For any questions or suggestions, feel free to reach out to Fabian on the contact page!
