Eternity Pool

A Canadian Cardano Stake Pool

Low 0.75% staking fee

Cardano staking & rewards process

Stake your ADA to earn ADA rewards, safely and conveniently and to help keep the Cardano network healthy, reliable and secure.

The Cardano Staking and Rewards process is part of the Cardano Ouroboros Proof of Stake consensus protocol that guides block creation on the Cardano blockchain network. 

This staking & rewards cycle drives the unique behaviour and incentives built into the fabric of the Cardano network, which helps to keep the Cardano network decentralized, secure and reliable.

Over the long term, staking your ADA should earn 4% – 6% ADA in rewards each year, depending upon the performance of the Stake Pool you choose.

Staking your ADA does not limit you in any way, it’s an opportunity to earn passive income and help the network operate properly.  Your job is to select a Stake Pool you choose is operating effectively and with integrity.

The staking & rewards process unfolds in 5-day “Epochs”, over the course of five very structured steps:

1. Stake your ADA

Choose a Stake Pool (or change your Stake Pool) at any time within an Epoch

Stake ADA to earn ADA in rewards

At the end of each Epoch, a "snapshot" is taken of the ADA staked with each Stake Pool
Learn More

2. Prepare to Earn

That stake snapshot helps the Cardano network prepare to securely produce blocks in the next Epoch

Provably Secure

The order and timing of the 5-Epoch Cardano staking and rewards process ensures secure block production, through the provably secure Ouroboros consensus protocol.

3. Produce Blocks & Earn Rewards

The stake snapshot then helps the Cardano network choose Stake Pools to securely produce blocks for the Cardano blockchain

Cardano blockchain network

Selected Stake Pools create blocks containing Cardano network transactions from wallets and Smart Contracts used by Distributed applications (Dapps)
Learn More

4. Calculate Rewards

The Cardano network then calculates how much ADA will be distributed as rewards, and how

Block-based rewards

The rewards are driven by the transaction fees collected in the blocks produced by the Stake Pool. Over the long term, rewards should be in the range of 4% - 6% of the ADA you stake each year.
Learn More

5. Deposit Rewards

For Stake Pools who were chosen to produce blocks 2 Epochs ago, ADA rewards are deposited to Staking Reward Accounts

Reward Account

The ADA rewards from each Epoch where your Stake Pool produced a block are deposited in a reward account linked to your wallet
Learn More

Epoch x

(5 days)

Epoch x+1

(5 days)

Epoch x+2

(5 days)

Epoch x+3

(5 days)

Epoch x+4

(5 days)

This 5-stage process starts in every Epoch and runs in parallel.  After you get through your first staking & rewards cycle, you could potentially be earning ADA rewards in every 5-day Epoch that follow, even if you were to change the Stake Pool you were staking with.