The infographic shows the 4 epoch lifecycle once you have delegated to a pool, and the lead time from the snapshot to the delegation becoming active. Each Epoch is 5 days so this means that from the point you delegate there will be a lead time of 15-20 days (variance is due to when you start in the Epoch) before rewards start flowing into your wallet. It also means that you will continue to receive rewards from ADAvault for up to 3 Epochs after you stop delegating.

As you can see the rewards for pool owners and delegators are calculated at the end of each 5 day Epoch, and paid at the end of the following Epoch.

After pool rewards have been calculated and adjusted for pool performance (a pool making N% of allocated blocks will make N% of expected rewards), they are distributed amongst the pool operator and the people who delegated stake to the pool. This happens in several steps:

  • First, the fixed fee (340₳) is subtracted from the total rewards and given to the pool operator.
  • Next, the declared variable fee or margin(0.99%*) is subtracted and given to the pool operator.
  • Finally the remainder is split fairly (proportional to delegated stake), amongst all people who staked Cardano Ada to the pool, including the pool owners.

This means:

  • The fixed and variable fees are only deducted from rewards if the pool makes blocks.
  • The 340₳ fixed fee is shared proportionately between all delegators based on their stake. If your stake is 1% of the total stake then your share of the fixed fee would be 1% or 3.4₳. The same is true of any variable fee.
  • You are not charged anything when a pool does not make a block.
  • You are not charged anything when you join or leave the pool.

Please note ADAvault charges the minimum permitted fixed fee. Our variable fee is among the lowest available and is guaranteed to never increase*.

Full details on fee calculations are available from the Cardano Foundation site , and you can use the online calculator to help determine your likely rewards.

* 0% introductory offer until September 31st 2021.