Input Output Global (IOG), the development team behind Cardano, has unveiled plans to revise the platform’s stake pool incentive model.
The goal: create a fairer and more supportive environment for small and single-pool operators (SPOs), many of whom currently face challenges competing with large, multi-pool setups.
Leveling the Playing Field for SPOs
The new proposal outlines an investigation into alternative incentive structures designed to smooth out rewards for smaller pools. Currently, many small SPOs struggle to attract delegators due to lower visibility and competitive returns, a dynamic that reduces diversity and limits new entrants.
By addressing these imbalances, the initiative aims to foster equitable participation across the network. The review will also evaluate existing proposals and assess where adjustments could improve outcomes for independent operators.
A Push Toward Network Health and Equity
The update emphasizes broader ecosystem benefits. With improved incentives, smaller pools could gain sustainability, promoting greater decentralization and enhancing resilience in the Cardano network.
In a post outlining the revision plan, Input Output stated that these changes would ensure fairer treatment for all SPOs and strengthen the community as a whole.
As development progresses, the community can expect further details on implementation timelines and metrics to measure success.
Source
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/cardano-to-revamp-stake-pool-incentives-for-smaller-operators/