PSP Annual Report: A Year in Review 2024-2025

Introduction

PSP completed its fifth year running stakepool operation on 30th July 2025. This year saw a tremendous growth in pool rewards and operations, and it has been a very important year for us. Lots of things happened during this period, which is solely due to the delegator's support. Their support by compromising their regular ADA rewards and sticking to our small pool with low active stake is truly appreciable and a benevolent act. To make sure their support does not go in vain, we have added new relays for better connectivity to avoid any slot battles. We won't compromise with the performance of our pool and keep all five relays up. Their support gives us confidence to move ahead to dig deeper into unexplored areas in data science. This opens up to new ideas, possibilities and opportunities.

This year saw a surge in delegation. The total delegation reached to maximum of 1.05M ₳ in epoch 557 . PSP minted its 50th block in epoch 563 on 11th June 2025 with an active stake of 1.04M ₳. A total of 75 blocks have been minted till December 2025.

PSP registered as Mithril signer on 12th Dec 2024 in epoch 527 and started signing snapshots from epoch 529. PSP registered as Delegated Representative DRep via pool address on 17th Jan 2025 in epoch 534. But de-registered the next day due to the registration fee of 500₳, which affects the low pool pledge. We will re-register as DRep when pledge crosses 10K₳, provided the delegation, i.e., active stake, holds above 1M ₳. So that we mint blocks frequently and keep on increasing the pledge.

The pool performance during this period is as shown in the table below, which shows only the important epochs:

We have upgraded our nodes to a P2P network. Minted our first P2P block in epoch 522. Details are provided in the table above. Our pool now runs on six servers in total. That includes one block-producing core node and five relay nodes. Four relay nodes are in the cloud, and one in-house bare metal relay node. We will be adding relays in different geographical locations to improve connectivity and availability. Our servers are currently running in India, Germany and Finland.

Server Details (Cloud VPS):

OS: Ubuntu 22.04 (LTS) x64

CPU: 16vCPUs

Memory: 32GB

SSD Disk: 320 GB

Bandwidth: 1 Gbps

Cloud VPSs are running on Hetzner. We have tested the performance of Hetzner VPS intensively before the deployment of our node servers. Performance is comparable to Google, Digital Ocean, which we have earlier used to run our node servers.

Server Details (Bare Metal):

Processor: Intel Core i5 12600K 12th Generation Unlocked

Motherboard: B760 AORUS ELITE AX DDR5 (rev. 1.x)

RAM: Corsair VENGEANCE® 32GB (2x16GB) DDR5 DRAM 6000MT/s CL30 Memory Kit — Black (Non RGB)

PC Case: Silverstone FARA R1 Model No. SST-FAR1B-G (Black, tempered glass)

CPU Cooler: Cooler Master Hyper 212 Black

PSU: Corsair RM750e

SSD: Samsung 990 EVO NVMe M.2 SSD 2TB

We are using this server for an in-house bare metal Cardano node now. This server will be used as an Ethereum fallback node with the launch of Ethereum staking services. A new Bare Metal Cardano server with the latest generation hardware will be added to the workstation family.

Pool Parameters:

Pledge 12 k₳

Fixed Costs 170₳

Margin 1%

Pool pledge increased to 10 k₳ in epoch 279. Pool rewards get pledged as usual. We will keep increasing the pledge until it reaches to desired minimum. We wanted to know from delegators regarding the pool's parameter via a survey posted in the website group: Pool Development Surveys and social media channels. As we have received no input, we have not set any expiration date on form submission. But we have set limits on form submission. The form submission limit is set to 10 until it expires.

Here is the survey link: https://www.primestakepool.com/survey1

PSP voted as an SPO on ongoing governance action Plomin hard fork and Replace Interim Constitutional Committee. Details provided in the table below:

Tokens

PSP Token has finally been launched to enhance our services.

We have launched the PSP token with the pool's pledge reaching 10K₳. Tokens are created on the Cardano blockchain. PSP utility token launched on 24th August 2025. PSP tokens will be given as rewards to the delegators for supporting Prime Stake Pool as a token of appreciation. Also, those holding PSP tokens can buy services at a discount.

Token Details:

Fingerprint: asset1qjjxelsd32cv4gwhumdlz0jfr3n6quznces498

Policy ID: 1c0794f816a593611672a28cb787f20aed5a016e23c71018915821d8

Asset Name: PSP (505350)

Ticker: PSP

For more details see Services ​→ Tokens on primestakepool website.

PSP Tokens liquidity bootstrapping event ended on 31st Oct 2025. We failed to raise the minimum amount via LBE, so it has been cancelled. We will launch the event again after building a strong foundation and launching services with minimum resources. This will give investors confidence in our project. At present, we have provided 0.1% liquidity, i.e., 100K PSP tokens, to the liquidity pools. We will keep adding liquidity till next LBE. Tokenomics will be modified as required.

Bandwidth: 1 Gbps

App Development and Deployment

We are building our own version of the Cardano blockchain explorer. We are working on adding various explorer apps on the Cardano blockchain to our website with all the important parameters.

You can check your ADA rewards history from primestakepool website → more → Rewards. Visit primestakepool website → Services → Cardano Stats for more details.

Pool Details now shows three different performance metrics, each answering a different question. They are not supposed to match, and the differences are meaningful.

1️⃣ Delegator Yield (APY)

2️⃣ Pool Performance (ROS / ROA)

3️⃣ Luck-Adjusted Pool ROS (AdaStat)

For understanding the three metrics see blog post ADA - APY ROS Calculations

Right now, we are deploying our app frontend and backend server on a cloud platform.

Soon we will host them in-house, which requires time and resources for proper setup.

We will be using Raspberry Pi 5 Model - 16GB RAM for our app deployment.

App development and deployment in progress:

1. Delegate ₳ - You can directly delegate to our pool from primestakepool website.

2. Pool Expenses - You can see live stats of ₳ withdrawn by SPO with description/remark added to transaction metadata.

3. Pool Dashboard - Showing all relay node status, ADA Staked, Rewards Paid, Blocks Minted, etc.

4. We will deploy a Cardano node together with cardano-db-sync. It syncs the blockchain and stores data in PostgreSQL. The cardano-db-sync writes data to PostgreSQL. Then query PostgreSQL to fetch API endpoint calls.

CNode DB Snapshot

Started new service CNode DB. This service provides a mainnet DB snapshot of the full Cardano blockchain for faster synchronisation of your nodes. Snapshot taken every epoch.

For more details, see the primestakepool website ​→ Services ​→ CNode DB

Workstation Family

Added a new member to the workstation family for deploying app frontend and backend server.

Server: App Deployment

Raspberry Pi 5 Model - 16GB RAM

For more details see on primestakepool website ​→ pool ​→ workstation

We will add a new member to our workstation family, which will host the Cardano node together with cardano-db-sync. This dedicated server, called 'Indexer Node', will boast a massive 64 GB RAM to handle the resource-intensive tasks. More details will be provided later during installation and setup.

Gitbook Update

Dual NIC WAN failover setup script update to V2. This is a very important and necessary update to run your Ethereum Validator node.

For tech-savvy people, this 'Professional route-based Dual-WAN failover for Ethereum validator with failback' will help you to set up your server properly.

Triple WAN failover with failback script, i.e., V3 of the existing app, will be added after successful testing. In which two WANs have the same public static IP via different optical fibre connections, and one WAN has a dynamic IP from another ISP.

From now on, any update on Primestakepool's GitBook will be announced on Primestakepool's website's group 'News and Announcements' and on social media channels to inform interested visitors. See the updated failover script here.

Ethhereum Staking

Rocketpool's Saturn1 protocol upgrade delayed due to certain fixes and testings which need to be implemented before final deployment. Sigma Prime completed their review. Their team is now addressing the Cantina findings while working with Bailsec on their ongoing audit. Both Cantina and Bailsec have identified issues that require substantial code changes. While this means more work for them - these discoveries will make the protocol more secure and resilient.

New target launch: January 19th, 2026

For more information on Saturn 1 upgrade read the this article from primestakepool website ​→ Groups ​→ News and Annoucements ​→ Ethereum Staking: RPL's Saturn 1 update

NaaS

Running an Ethereum Validator node on a cloud server is not feasible. We can host your node server, run and maintain it in our data center 24x7. You have access only to your server.

We will provide Ethereum and Flux NaaS facility in the future. You can use PSP tokens to pay for the service at a discounted rate.

Node as a service will be launched in the future. We need fund to set up proper infrastructure to launch this service. We conducted liquidity bootstrapping event i.e. LBE1 for PSP token to collect fund for this service. But the event was not successful. We will launch the event again after building a strong foundation.

DRep

PSP registered as Delegated Representative DRep via pool address on 17th Jan 2025 in epoch 534. But de-registered the next day due to the registration fee of 500₳, which affects the low pool pledge. We will re-register as DRep when pledge crosses 10K₳, provided the delegation, i.e., active stake, holds above 1M ₳. So that we mint blocks frequently and keep on increasing the pledge.

Projects

Due to a lack of funds, we have not started working on any project. But have plans to start soon. Projects developed and deployed will solve real-world problems. Right now, we have the following projects on our mind:

1. Billing App with integrated Cardano payments

   Billing App is not something new; we will revamp it by integrating the Cardano payment option into it. May add an Ethereum payment option too.

2. Iot Data Management - Building platform for IoT devices data storage and retrieval

Store IoT device data on a blockchain, then transfer it to PostgreSQL, and finally expose API endpoints to fetch the data. The actual data (if large) can be stored off-chain.

This process involves multiple steps and technologies.

See primestakepool website → Pool → Projects for more details.

Pool Mission

Six pool missions that we will consider are:

1. Cardano awareness campaigns

2. Software development courses

3. Financial support for students and startups

4. Fund our DeFi, DApps projects

5. Social welfare development

6. Annual summit and meetups

Among the six pool missions, we are at present engaged with the 4th option. Building DApps on various Cardano metrics for our pool and later Cardano Stats for all metrics available on the Cardano blockchain. Similar metrics for the Ethereum blockchain will be added when the staking service is launched. Billing and IoT Projects are on the way.

Pool growth and sustainability

To keep our pool's performance uncompromised and sustained growth, we will keep all five relays for better connectivity to avoid slot battles. We may need to withdraw the pool operator's one epoch rewards per month to pay for part of the cloud VPS bills. Remaining rewards will be added as a pledge. You can track pool expenses from Primestakepool website → pool expenses. App development is in progress.

Future prospect for ADA ETH staking

What Might Shape Their Future Prospects

Liquidity & Accessibility

• ETH’s liquidity limitations (long exit queues) can deter some investors during volatile markets.

• ADA’s model allows more flexible staking/unstaking, attracting users who prefer access over locked positions.

Yield & Rewards

• Both chains currently offer competitive rewards, but as networks mature, yields may shrink (especially for ADA as more is staked). Long-term reward decline is a structural expectation in many PoS models. (Community observations, e.g., declining ADA rates)

Security & Risk

• ETH liquid staking relies on third-party protocols (with smart contract risk), and slashing can happen for validators.

• Cardano’s model avoids slashing for delegators — a safer experience for many users.

Ecosystem & Adoption

• Ethereum remains dominant in DeFi, NFTs, and institutional adoption; staking is only part of its utility play.

• Cardano is building its ecosystem more gradually — governance-driven growth, partnerships, and protocols like Hydra aim to boost utility over time.

Bottom Line — What the Future Might Look Like

Ethereum (ETH) staking

• Likely to remain a foundation of the largest smart-contract blockchain, with institutional and retail demand anchored by staking rewards and broader utility.

• Expect continued growth, but liquidity constraints and third-party dependencies may persist.

Cardano (ADA) staking

• May attract investors valuing flexibility, low risk, and community governance.

• Potential for steady growth, particularly if ecosystem improvements accelerate — but mainstream adoption lags Ethereum’s scale.

Investment Takeaway:

• ETH staking = core-infrastructure play with broad adoption and institutional backing.

• ADA staking = more accessible, decentralized participation with a governance-driven growth path.

Regulatory Landscape in India (Key Context)

Legal & Regulatory Status

• Cryptocurrencies (including ADA & ETH) are not legal tender in India, but holding, trading and investing in them is allowed under current norms. There’s no outright ban — but also no comprehensive stand-alone law yet.

• Multiple regulators play a role (RBI, SEBI, FIU-IND, Finance Ministry), and the system is evolving.

• The Indian Parliamentary Committee on Finance has started focused studies on Virtual Digital Assets (VDAs), suggesting more structured regulations may come.

Taxation (Important)

• India’s tax law imposes a flat 30% tax on gains from crypto (including capital gains, staking rewards, etc.), with no loss set-off and 1% TDS on transfers above certain thresholds.

• Staking rewards are taxable, but there’s ambiguity in how they are categorized (capital gain vs business income vs other income), since the law doesn’t explicitly define DeFi or staking income yet.

• Implication: Even if ADA/ETH staking yields good returns globally, in India a large chunk could go to taxes — which impacts net returns significantly.

Opportunities & Risks in an Indian Context

Opportunities

• Passive yield generation: Staking ETH/ADA gives Indians a way to earn passive income beyond simple trading.

• Growing Web3 ecosystem in India — developer events and blockchain adoption are expanding, which could attract infrastructure growth (potentially boosting both ETH/ADA relevance).

• Institutional interest rising worldwide may indirectly boost adoption among Indian HNIs and tech investors.

Risks

• Regulatory ambiguity & high taxes: Major risk for participants — unclear staking income classification and steep taxation.

• Exchange practices: Some Indian exchanges may use client assets (including staked assets) without profit sharing, which is considered risky.

• Possible further restrictions: RBI/Finance Ministry could tighten rules depending on future policy decisions (ongoing deliberations).

Practical Tips for Indian Users Considering ADA/ETH Staking

Choose How You Stake

• Self-custody & delegate directly (for ADA) to decentralized pools — avoids many exchange custodian risks.

• Use registered, KYC-compliant Indian exchanges for convenience (but check withdrawal/ownership rights).

Plan for Taxes

• Track all staking rewards and transfers carefully — they may be taxed as income or VDA gains.

• Consult a tax professional familiar with crypto.

Stay Updated on Regulations

• India’s crypto policy is evolving — follow parliamentary and regulatory developments to time entry/exit efficiently.

Updated pool milestones page on our website to keep you informed with the latest milestones that we cross as we move ahead with our stake pool operation. You can visit our pool milestones here.

Share this blog with others and help us grow, as we desperately need delegation support to continue in our journey to accomplish our mission and vision.