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Why has the ROA in staking pools come down progressively

so much over time? I thought the ROA was supposed to ultimately level out more around 4%, but now it seems to be dropping close to 3% in most large pools.

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Because the rewards right now are paid by the reserves which is not unlimited.

S- Автор вопроса
Fabian (Zyroxa) [TMS]
Because the rewards right now are paid by the rese...

Got it. Thank you very much. Will that change in the future? Or will the rewards always be paid out of the reserves which are limited?

S
Got it. Thank you very much. Will that change in t...

The plan is that the transaction fees will pay enough to cover the costs for the SPO's and delegators.

S- Автор вопроса
Fabian (Zyroxa) [TMS]
The plan is that the transaction fees will pay eno...

Thanks very much. That is incredibly helpful. I was wondering why the large stake pool that I have been delegating to for the past 2 years has dropped from a ROA of 4.5% to 2.8% over that time period. That makes sense now.

S
Thanks very much. That is incredibly helpful. I wa...

You are welcome. Feel free to ask here if you need anything else 😊

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