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Staking on Cardano

The Cardano Approach to Staking

Cardano, with its proof-of-stake (PoS) mechanism, introduces a distinct approach to staking, setting it apart from other blockchain networks:
  1. 1.
    Delegation
    ADA holders don't need to run their own nodes. Instead, they can delegate their ADA to a stake pool (like Robot). This delegation allows the stake pool to act on behalf of the ADA holder in network operations, such as block production.
  2. 2.
    Security
    Delegating ADA is a secure process. Your ADA always remains in your control and is never transferred to the stake pool. Instead, it's simply earmarked in the network to be part of a specific pool's staking power.
  3. 3.
    Stake Pools
    These are nodes that run the Cardano network, validated and fortified by the amount of ADA delegated to them. The more ADA a stake pool has, the more likely it is to be chosen to validate transactions and produce new blocks.