Key facts:
Cardano offers its users flexible staking to manage their funds delegated to pools.
The ADA ecosystem had its latest update recently, with the Chang fork.
Charles Hoskinson, founder of the Cardano network, denied a controversy that arose around the staking of ADA, the native cryptocurrency of the ecosystem.
The controversy arose in a debate transmitted by the user Marty Party in X. Specifically, around a specific sentence given as an answer to the question “why does Cardano still have a large market cap?”. When answering it, said participant denounced that “users cannot sell their ADA because they are blocked. They cannot exit the staking.”
Responding to a publication On the debate, developer Hoskinson assured that ADA holdings that users delegate to pools of the network to participate as validators are not blocked.
“Lies and misinformation about Cardano have reached epic levels. The tokens delegates in staking They are not blocked, but they keep lying. Why would anyone continue to trust these people?
Charles Hoskinson, founder of Cardano.
Is what Cardano CEO says about staking true?
Apart from what was said by the CEO of Cardano, other avenues are offered to verify the veracity of the criticisms towards the staking from ADA. In the official site and in the Cardano Network ForumsFor example, There are no complaints about the matter nor anyone looking for a solution to a problem of the staking being blocked. Observing the wallets network officials, such as Daedalus and Yoroi, where the staking ADA, there are no traces of ADA holdings being blocked.
Other analysts have weighed in on the matter. Crypto Crow is stated against those who denounced that ADA holdings in staking were blocked. According to the testimony, this user confirmed that all his ADA is delegated to staking and that “right now I can go and in two seconds send them to someone, buy something, use it in some app or whatever I want.”
In turn, attributed the complaints to a lack of knowledge about the functioning of the staking on Cardano. On his post, dozens of users from the Cardano community commented affirming his words.
“He staking ADA is measured in epochs, which are periods of approximately six days. If I delegate a certain amount of ADA, it will take a certain number of epochs to generate earnings. If in the meantime, I use those ADA, the next earnings balance will be calculated considering my last amount of ADA holdings. That does not mean that for each epoch you have your ADA locked.”
Crypto Crow, cryptocurrency analyst.
Ultimately, Crypto Crow commented that the statements come from individuals who “foster the Solana community” and who “are afraid” of Cardano’s advances. Regarding these advances, CriptoNoticias reported when this blockchain, on September 1, reached its latest update: the Chang fork.
How does it work? staking of ADA on Cardano?
He staking In Cardano it is done through a Proof of Stake (PoS) mechanism, which allows users to delegate their ADA to a pool or manage their own pool to participate in block validation and receive rewards.
Delegating means that users “lend” their tokens to a validation pool, but their ADA remains in their walletbeing able to add or withdraw funds at any time. That is, at the same time that they lend them, they can move them, use them to operate, etc.
Cardano does not lock delegated funds, meaning that the tokens intended for staking They are not immobilized, unlike other ecosystems.
Rewards are distributed at the end of each epoch. Blocks are validated by pools, and rewards are calculated based on pool participation and performance and distributed among participants.
In this way, it is called staking of Cardano as a staking “flexible” where participants do not lose liquidity when executing this validation mechanism of a network.
