Updated: May 4
Welcome to the fourth Black Box fortnightly update. As previously mentioned, it is our goal to keep the delegation process as transparent as possible, and keep all delegators up to date with the latest news and events.
Firstly, thank you for your continued support! Black Box is now up to a total of 31 delegators. We’d like to extend a warm welcome to all of our new delegators!
Over the past fortnight Black Box has not been elected as the slot leader for block production. Therefore, we have not had to opportunity to build further blocks on the Cardano blockchain and generate more rewards for our delegators. However, this was expected, and it is due to the great start Black Box had in Epoch 252, with an Epoch ROS (return on stake) of 170%. Our lifetime ROS is still at 6.68% which is above the standard 5% for all other pools. We are expecting to see that number come back down closer to 5% before more blocks are produced by Black Box.
Below is a screenshot of Black Box’s current pool statistics from www.pooltool.io
We have completed the application to Cardano to receive delegation from them. This will help significantly with consistency in rewards and provide Black Box with a solid foundation to further build our delegator network. Over 700 stake pools have applied, and Cardano will elect 100 stake pools to delegate to. Results will be announced within the week, so stay tuned!
All servers in the Black Box network have now been upgraded to Cardano Node version 1.26.2. There was an issue with the previous version of 1.26.1 which lead to a repetitive computation at the epoch boundary. This lead to a build up of transactions for 25 minutes without the production and validation of blocks on the blockchain. The introduction of version 1.26.2 has resolved this issue, and all Black Box servers have been upgraded to this standard.
It has been a volatile week in the cryptocurrency markets, which has seen price fluctuations of over 30%. The recent sell off was instigated by a number of events, firstly there was a rumor that the United States will be clamping down on the cryptocurrency industry with new regulations. There was also a blackout in China’s Xinjiang region that caused almost half of the Bitcoin network to go offline over 48 hours. Bitcoin’s block production and mining is dominated by China and this recent blackout shows how vulnerable the Bitcoin network is. With over 2,300 stake pools globally validating blocks on the Cardano blockchain, the Cardano network is much more resilient to such events.
To top off the trifecta of news affecting the cryptocurrency market, President Joe Biden announced the American Family Plan that will likely include a large increase in the top federal tax rate on long-term capital gains and qualified dividends, from 23.8% to 39.6% for higher earners. This news added additional pressure on the cryptocurrency markets and pushed ADA below $1USD for the first time in months. The markets have since responded positively, and the price of ADA is now back up to ~$1.20USD. If you would like to learn more about what causes flash crashes in the cryptocurrency market, check out our video tutorial here: https://www.youtube.com/watch?v=0BQHPZxAO3k
Thursday the 29th of April will be a significant day for Cardano as it is planned for the announcement of their rumored deal with the Ethiopian government. Cardano will be the first cryptocurrency to see official adoption by a government. It will be an event not to miss, to find out more visit https://africa.cardano.org/
We hope this update has given you an insight into the work going on behind the scenes, as well as the performance of the pool so far.
If you have any further questions, please don't hesitate to get in contact with us.
Kind regards, Shane Severn