Delegation Diversification

🌟 Thank You for Supporting ASY – AshiyaPool! 🌟

Thank you so much for your continued support of ASY – AshiyaPool!

We’re happy to share that we successfully produced another block during this epoch.This achievement is thanks to your delegation, and we deeply appreciate it.

📢 Let’s Talk About “Delegation Diversification”

In Japan, there are many SPOs (Stake Pool Operators).Each one operates with its own mission, values, and unique community contributions.

At ASY – AshiyaPool, we focus on children.We aim to create environments where all children — regardless of ability — can learn with joy and explore music and the arts.

In April, during the Ashiya Jazz Festival, we proudly provided a dedicated children’s stage and supported their performances with great care.

💡 Why Diversify? Think Like an Investor.

When you invest in stocks, would you put all your money into a single stock?When buying cryptocurrency, do you put your entire portfolio into just one coin?

The answer is simple: No.

In traditional investing, diversification helps manage risk.Even if one asset falls, others may rise — that’s the idea of a balanced portfolio.This applies to crypto as well. We often hold BTC, ETH, and various altcoins.

However, when your crypto assets are stored on an exchange, they can be exposed to hacking.In fact, I personally experienced a loss when Cryptopia (a New Zealand exchange) was hacked.

Even though Cardano (ADA) is considered a very secure blockchain, exchanges and wallets are not 100% risk-free.

That’s why diversifying your holdings and delegations is one of the smartest ways to reduce risk.

🧩 How This Applies to Staking

Cardano currently has around 3,000 stake pools, ranging from large to small.

🏦 Delegating to Large Pools – Pros:

• They generate many blocks consistently.

• You’re likely to receive rewards every epoch based on your delegation amount.

🏦 Delegating to Large Pools – Cons:

• When many big delegators are present, rewards are spread thin.

• You may receive lower returns, especially if your ADA amount is smaller relative to the total delegation.

🔹 Delegating to Small Pools – Pros:

• Block production may be less frequent, but…

• If you hold a large share of total delegated ADA in that pool, your rewards can be higher per block.

🔹 Delegating to Small Pools – Cons:

• There's no guarantee of block production every epoch.

This is a simplified explanation based on my own experience as a delegator before becoming an SPO.

🔐 Why Should You Diversify Delegation?

Just like in investing, it’s simple: risk management.

If a pool operator forgets to renew their KES key or suffers a node failure, block production stops — no matter how much ADA is delegated.

There’s always a chance (even if very rare) that a pool could get hacked or experience system issues.

As the saying goes,

“Don’t put all your eggs in one basket.”

By delegating to multiple pools, you hedge your risk while supporting the broader Cardano ecosystem.

💙 What Makes ASY – AshiyaPool Special?

We reinvest 100% of our staking rewards (minus operational costs) into projects that support children through:

• Music and live stage opportunities

• Instrument provision

• Inviting kids to live events

• Supporting young DJs, engineers, and creators

• Offering workshops and learning environments in music, arts, and technology

For more details, please visit our homepage.

🙏 In Conclusion

Just like in politics or business, some people make promises but never follow through.So when you delegate, don’t just trust words — check a pool’s homepage and look at their actual activities.

And if you believe in our mission and want to be part of something that truly supports the next generation,we’d be honored to have your delegation at ASY – AshiyaPool.

Thank you for reading this far.I hope this message connected with you in some way!

From Ashiya, to the world — let’s grow together. 🌍🎶