At GrahamsNumberPlus1 (GNP1), we currently do not take any percentage of the rewards when minting blocks. However, as mandated by the protocol, we are required to take a fixed cost of 170 ADA from the rewards. We believe that this requirement is unfair to both our delegators and stakepool operators, as it puts small stakepool operators at a disadvantage and prevents delegators from receiving a fair return on their investment.
To address this issue, we are committed to keeping our margin at 0% and returning 85 ADA of the fixed fee to our delegators on a proportionate basis. This ensures that our returns are similar to, if not better than, those of larger stakepools. We will continue to do this until we have built sufficient stake that allows us to mint enough blocks so that taking some or all of the fixed fee would not have a significant impact on our delegators’ rewards. Please note that GNP1 reserves the right to remove this fixed cost return at any time.
We believe that fair compensation for stakepool operators is crucial to the success of the Cardano ecosystem, and we are actively working with the Cardano community to address this issue at a protocol level. Our commitment to transparency and fairness extends beyond our delegator rewards and encompasses all aspects of our stakepool operation.