59,025 Cardano Holders Still Have 131 Million ADA Assigned to Retired Stake Pools. Are They Losing Rewards?

Over 59,000 Cardano delegators have stopped earning rewards on their holdings, totaling about 131.6 million ADA (worth around $26 million). This is because their funds remain tied up in retired stake pools, according to Cexplorer, a Cardano blockchain explorer (CRYPTO: ADA).

While these holders aren’t earning Cardano staking rewards, their ADA remains safe. According to Cardano’s documentation, “you can spend your ADA normally at any time, regardless of how you delegated it.” Even though the ADA is idle, each holder still has full control over their assets.

Cardano Staking Is Easy to Set Up and Easy to Forget

The main issue arises from how little attention Cardano staking requires. Once a holder selects a stake pool, rewards flow in every few days, and many forget to check back on their staking status. Operators may shut down pools for various reasons, such as server costs or personal decisions, and wallets do not automatically transfer a user’s stake to another pool.

Cardano’s official account on X has highlighted this issue with the term “sticky stake,” pointing to one retired pool that still had over 50 million ADA delegated to it. A 2023 discussion on r/Cardano pointed out 16,370 accounts linked to retired pools; Cexplorer’s current count is 3.6 times that figure.

Retired Pools Cost Cardano Holders Up to $784,000 a Year

Staking on Cardano typically yields rewards of about 2.5% to 3% annually. With 131.6 million ADA left idle, that translates to roughly 3.3 million to 4 million ADA that holders miss out on every year. With ADA’s price hovering around $0.20, the potential loss amounts to about $653,000 to $784,000 each year.

For individual wallets, this loss can seem minimal. The average affected delegator holds around 2,230 ADA, equivalent to about $443, meaning they forfeit roughly 56 to 67 ADA annually—about $11 to $13. Those with 10,000 ADA miss out on around $50 to $60 each year.

However, the broader consequence involves a diminishing share of the overall network. Approximately 37.5 billion ADA are currently in circulation, with a maximum supply of 45 billion. Cardano allocates new ADA generated from its reserves to active stakers. Thus, every reward cycle a delegator skips reduces their share of the network, and because a retired pool does not produce blocks, these rewards cannot be reclaimed later.

ADA’s 94% Drop From Its High Helps Explain the Idle Stake

The downturn in ADA’s price likely explains why many holders have stopped paying attention. While the coin gained 3.7% in just 24 hours, it has fallen 27% over the last 30 days and trades around 94% below its all-time high of $3.09 from September 2021. Although earning rewards in ADA may not offset falling prices, these rewards can add up over time for those who stay invested through a market recovery.

How Cardano Holders Can Redelegate to Active Pools

Fortunately, redelegating ADA is straightforward. To do this, they can visit the staking or delegation section of their wallet, where retired pools will typically display as inactive. By selecting an active pool and confirming the redelegation transaction, holders can quickly get back on track.

Once they redelegate, rewards will resume after a few of Cardano’s five-day reward cycles, called epochs. As the wallet has already paid the deposit to register a stake address, changing pools incurs only the regular transaction fee. For most holders managing their own assets, this is the best path forward.

Keeping the stake in a retired pool is not advisable. While ADA can still be spent no matter where it’s delegated, a retired pool provides no added flexibility. Holders miss out on rewards while their share of the network dilutes over time.

For those who prefer not to track pools, staking through an exchange is an alternative. However, this route comes with a trade-off in control, as a third-party firm manages the coins and sets the terms. This option may suit people who already hold ADA on an exchange.

Are Cardano Holders Losing Staking Rewards on Retired Pools?

Yes. The 59,025 delegators whose ADA is stuck in retired pools are earning zero Cardano staking rewards and could be missing up to $784,000 collectively each year. Nonetheless, their ADA remains safe and usable. This scenario reflects oversight, not risk. Cexplorer counts 2,720 pools that have officially retired, leaving behind delegators, particularly those who set up staking during the 2021 boom and have not revisited their investments since.

If more small operators retire their pools while ADA’s price remains low, idle funds could keep growing. However, if Cexplorer data shows this figure declining over the coming months, it could indicate holders are becoming more active with their staking, leading to a revival of rewards in the 2.5% to 3% range.

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