Recently I have received a forwarded mail from my friend asking about my interest in running/delegating a Cardano staking pool. As I never tried my hand in running a node and also completely unaware of all the prerequisite details that need to be checked. So, I thought to give it a try at least for the time being I prepared myself to gain some knowledge about how everything happens. Here, I am sharing what do you need if you want to run a stake pool.
What are stake pools?
A staking pool allows multiple users to combine their resources and take part in the protocol without personally worrying about running and validating nodes. If you want to participate (delegate) in a staking pool then neither you require any constant internet connection nor you have to monitor the token value all the time. The stake pool node does all these jobs on your behalf.
The stake pool is the key component of the Cardano PoS protocol that represents the combined stake of pool users as a whole and is responsible for processing transactions and producing new blocks. To maintain security and network liveliness the protocol requires a sufficient number of nodes to be online. And in return, the stake pool operators are rewarded with incentives.
Prerequisites for stake pool operators
The following things are mandatorily needed for a Cardano stake pool operator:
· Knowledge regarding the initial environment set up.
· The node needs to be active all the time i.e 24*7*365.
· Should have system operation skills i.e able to run and maintain Cardano node.
· Knowledge regarding server maintenance and operation activities.
· Experience of development and operations (DevOps) would be very useful
· Familiarity with Prometheus or Grafana for alerts and monitoring, or some other monitoring framework of your choice.
Minimum requirements for running a stake...