We strongly believe in the concept of blockchains and in their tremendous potential. They offer a wide variety of possibilities, e.g. as a secure store of value, the ability to execute transactions reliably and even execute code in a trusted environment via smart contracts. While the mass adoption of blockchains is yet to occur, its potential is undoubtedly astonishing.
PREVISIONZ is a German consulting company offering a specialized range of data services, ranging from classic consultancy in the fields of Business intelligence and Big Data, the development of cloud based data platforms , blockchain consulting up to the development of AI strategies for companies’ individual needs.
Cardano is a blockchain project with a special focus on high scalability, a strong scientific background and a high degree of decentralization. The latter goal primarily relies on the network consisting of many different nodes that verify existing transactions and participate in the minting process of new blocks. The currency of the cardano network is called ADA
Proof of stake is the consensus mechanism used by the Cardano blockchain. It is an alternative to the proof of work consensus mechanism, which is used for other Blockchains such as Bitcoin. The main advantages are that proof of stake needs much less energy and is much faster than proof of work. For the verification of a transaction it is necessary that the members of the network create so called blocks. The creator of a block is determined by the amount of stake, in this case ADA coins, it has in the network.
A staking pool is basically a full node with some additional power. A full node stores the whole blockchain and consistently checks all new transactions for correctness, thus ensuring the correctness of the blockchain. Furthermore, a staking pool has the power to mint new blocks, thereby adding new transactions to the consensus. As not every user, who possesses ADA, is able or willing to run a staking pool themselves, there is the possibility to delegate ADA coins to a staking pool of choice. The staking pool profits from the larger stake by a higher amount of assigned blocks. As a pool is rewarded for each created block, it profits directly from this. In order to incentivize the delegation of stake, the pools give out a large portion of their gained rewards to their delegators.
Staking describes the process of delegating the stake one has in the network, measured by the amount of ADA one possesses. The staking pool operators afterwards delegate the rewards back to the delegators, keeping their declared fee to cover their expenses. This way, well performing pools, that gain many rewards, can continuosly build their stake and are thus rewarded with more fees than others.
The only requirement is that one holds ADA coins in either a Yoroi or Daedalus wallet. Below are two guides on how the staking process works in detail.
Currently, the Cardano project is in a testing phase, the so called Shelley testnet. Therefore, it is currently not possible to start staking as a new holder of ADA. Within the coming weeks, the Cardano mainnet will start, thereby making it possible to start staking.
We are a trusted German company that focuses on a good performance of its pools, which is why we are constantly implementing new and optimising existing monitoring mechanisms. Another big aim of us is to build close connections to our delegators. This is the primary reason why we have launched our own telegram group via which we aim to connect with our delegators and give them the opportunity to ask questions to us directly.