Sep 7, 2023

The Parameter Committee (interim state) meets on a tri-weekly basis. It discusses all parameters relating to the Cardano protocol including network, technical and economic parameters, providing technical advice and recommendations on updatable parameter settings.

Updated list of the Members (interim state)

Chairs: Chair: Kevin Hammond Vice- chair: Alex Moser Vice- chair: Vijay Bhuvangiri

Advisory Group Heads: Network group: Neil Davies Technical group: Markus Gufler Economic group: Samuel Leathers Advisory Group Members: Network group: Karl Knutson, Matthias Sieber, Marcin Szamotulski Technical group: Ruslan Dudin, Michael Peyton Jones Economic group: Sergio Sanchez, Philip Lazos, Giovanni Gargiulo

Other: Communications: Tommy Kammerer, Nathaniel Acton, Addie Girouard, Matthew Capps Domain experts: Martin Lang, Andrew Westberg Observers: WIP Secretary: Joaquín López

Remit

The purpose of the Parameter Committee is to provide technical advice and recommendations relating to the updatable protocol parameters, taking into account economic, security, network and other considerations, as appropriate.

Agenda and Updates

Agenda:

• Update on Change Request "CR 107 - Min Pool Cost reduction"

• Discuss parameter settings

• Blog posts review and publication

• Defining a process for PCP requests and CR process

Updates:

• The Parameter Committee was updated on the status of Change Request “CR 107 - Min Pool Cost reduction”. The Change request has been formalized and will be sent to the signing authorities without delay. The signing authorities have at least 3 weeks to approve it since the notification so we are expecting this change to take effect on Mainnet in October.

• All three advisory groups have started to review all the parameters that have been assigned to them in order to promote a common understanding of the parameters and their settings.

• The Parameter Committee has reviewed the blog posts that have been drafted concerning this change and processes/procedures and passed these on to the relevant communications teams to progress.

• The Parameter Committee discussed how to open up the Parameter Change Proposal (PCP) process to the community. We expect to use the Cardano Forum to initiate public discussions, formulate the PCP, and to provide feedback. We will communicate this to the community once the process has been set up.

*Clarification note: on the meeting notes from July 27 we said that “The Parameter Committee recommends to retain targetNumberOfStakePools (“k”) at 500, and to reduce minPoolCost to 170 ADA.” We would like to clarify that the Parameter Committee meant to FIRST reduce minPoolCost to 170. THEN after reconsideration look at k again and maybe recommend to increase it. This is in line with the meeting notes from June 6 "The committee recommended decreasing the minPoolCost parameter to 170 Ada in line with the results of the SPO poll, and monitoring the effects of changing this parameter. Once the effects on the network and stake pools have been analyzed, further changes to either or both parameters can be considered."