How to Choose the Right Cardano Stake Pool

Staking ADA is relatively easy, very secure, and does not require a lock-up period.

However, stake pools differ significantly in performance, reliability, transparency, and philosophy. Choosing the right Cardano stake pool affects:

  • your rewards
  • the security of the network

That’s why it’s worth taking a closer look.

1. Performance & Reliability of the Stake Pool

When choosing a Cardano stake pool, performance is one of the most important factors, because consistently performing pools provide predictable and solid long-term rewards.

Several stake pool metrics should be considered:

Return on ADA (ROA)

Recent ROA

Shows the average percentage return over the last epochs. This value indicates how well the pool has performed in the recent past.

Lifetime ROA

Shows the average return since the pool was launched. This is a long-term indicator of stability and reliability.

Stake

Active Stake

The amount of ADA that actually counts for block production in the current epoch. This value directly determines the chance of producing blocks.

Live Stake

The currently delegated amount of ADA in the pool, including recently delegated funds that will only become active in future epochs.

Costs

The costs are explained in more detail below → Fee Structure.

Pledge

The pledge is the amount of ADA the pool operator has committed to their own pool. A higher pledge shows confidence in the pool and increases its attractiveness for delegators.

Number of Blocks

The number of blocks the pool has produced since launch. This is an indicator of the stake pool’s stability and technical reliability.

Number of Delegators

The number of delegators is more precisely the number of wallets that have delegated their stake to the pool. A higher number indicates trust and community stability.

Pool Active Since

This date shows how long the pool has been successfully participating in the network. The longer a pool has been active, the more experience and reliability delegators can expect.

2. Single Stake Pools – Important for True Decentralization

An often underestimated aspect is single stake pools. Single stake pools are operated by operators who run only one pool. In contrast, multi-pool operators (MPOs) run multiple pools and dilute decentralization.

This is critically important for the Cardano blockchain because single pools:

  • promote true decentralization
  • prevent concentration of power by multi-pool operators
  • often provide high technical competence and strong commitment

Anyone who wants to strengthen Cardano in the long term should consciously support Single Pool Operators (SPOs).

https://singlepoolalliance.net/If you are unsure whether a selected pool is a single pool, you can check, for example, here → (Single Pool Alliance).

3. Fee Structure: Fixed Fee & Margin Fee

When choosing a Cardano stake pool, you should always consider the fees. The following costs exist:

Fixed Fee

The fixed fee is the base fee that a stake pool keeps from the generated rewards per epoch. It covers the ongoing costs for servers, maintenance, and pool operation.
In the Cardano network, the minimum fixed fee is 170 ADA, and a fixed fee of 340 ADA is commonly used. This fee is deducted before rewards are distributed.

Margin Fee

The margin fee is the percentage of rewards that the pool operator additionally keeps. It is calculated after the fixed fee is deducted and determines how much of the remaining rewards goes to the operator. The lower the margin fee, the higher the share that generally goes to delegators.

4. Night Token Offer

Another very relevant selection criterion is whether the pool operator also acts as a Midnight validator and thereby automatically provides Night Tokens to its delegators. This criterion is expected to become relevant in Q2 2026, once the technical requirements are in place.

5. Charity Pools – Staking with Positive Impact

If you value social impact when choosing a Cardano stake pool, charity pools are an excellent option.
They donate part of their earnings to causes such as:

  • environmental protection
  • education
  • social initiatives
  • humanitarian organizations

Many charity pools are transparent, publish donation proofs, and have a loyal community.

6. Pool Size & Saturation

The saturation limit prevents pools from becoming oversized. Pools with significantly more than 70 million ADA staked should generally be avoided for new delegation.

7. Transparency & Community Presence

A trustworthy pool shows:

  • clear operator information
  • transparent communication
  • regular updates
  • active social media presence

These factors build trust and demonstrate professionalism.

Conclusion: Choosing a Cardano Stake Pool

If you want to choose the right Cardano stake pool, pay attention to:

  • performance
  • choosing a single stake pool
  • fair fees
  • Night Token offering
  • supporting charity pools
  • pool size
  • transparency