Running a Cardano Stake Pool

Visit my stake pool @ ada.arrakis.it.

From the official cardano-node setup tutorials from IOHK. The container downloads and builds the cardano-node. It can start either a block-producing node or a relay node, or both, and connect to the cardano network. By default it will connect to the test network, you can run on other networks using the CARDANO_NETWORK environment variable, See the Environment variables section. If you want to run a stake pool, the block-producing container can take all the required steps to set up and register the stake pool.

Steps in Running a Stake Pool

Reasonably secure

This is an example on how to run your staking pool in a reasonably securely way, by keeping your cold-keys and wallets away from the online block-producing node. It is always a trade-off between security and convenience, but I find this method to be reasonably secure, if you can some precautions, as described in the below setup.

For this setup you will need 3 hosts. host1 for running the relay node. host2 host for running the block-producing node. host3 host for generating and registering all the keys, addresses and certificates and storing the cold-keys for refreshing the KES keys and certificates. This can be a host you are running locally, for example a secure linux live boot, with all incoming traffic completely shut off. Warning: If you run on a Linux live boot, with no persistant storage, it is EXTREMELY important that you backup your staking directory containing all the private keys, before you shut it off, otherwise your wallets will be lost.

Upload your stake-pool metadata json file (See example) to a host so it is accessible to the public. For example as a github gist.
Start a relay node on host1 and make it connect to the block-producing node on host2. See the relay node example.
Start a registration node on host3, with the --staking and--create arguments, and make it connect to the relay node on host1. See the registration node example.
Fund your payment address generated and displayed in Step 3 to finalize the registration.
Wait for the registration node on host3 to setup and register your pool.
Create Firewall rules for your block-producing node on host2 to only accept incoming traffic from your relay node on host1.
Copy the config/staking/pool-keys directory from the registration node on host3 to the config/staking/pool-keys directory on host2.
Start a block-producing node on host2, with the --start and --staking arguments, and make it connect to the relay node on host1. See the block-producing node example.

Renewing KES keys and certificates

To renew your KES keys and certificates you have to run the generate_operational_certificate command in the registration container on host3 The status window in the block-producing container will tell you when you have to generate new keys.

Start the command-line interface in the registration container, containing the cold-keys directory, on host3. Using docker exec -it main-registration bash.
Run the generate_operational_certificate command and wait for it to complete.
Copy the config/staking/pool-keys/ directory on host3 to the config/staking/pool-keys/ directory on host2
Restart the block-producing container on host2.

relay node on mainnet

Step 1. Run on host1. See examples/main-relay1.sh.

docker network create -d bridge cardano
docker run -it \
    --restart=unless-stopped \
    --network=cardano \
    --name main-relay1 \
    -e HOST_ADDR="0.0.0.0" \
    -p 3000:3000 \
    -p 12798:12798 \
    -e NODE_PORT="3000" \
    -e NODE_NAME="relay1" \
    -e NODE_TOPOLOGY="<IP-address of block-producing node>:3000/1" \
    -e NODE_RELAY="True" \
    -e CARDANO_NETWORK="main" \
    -e PROMETHEUS_PORT="12798" \
    -v $PWD/config/:/config/ \
    arradev/cardano-node:latest --start

registration node on mainnet

Step 2. Run on host3. See examples/main-registration.sh.

docker network create -d bridge cardano
docker run -it --rm \
    --name main-registration \
    --network=cardano \
    -e HOST_ADDR="0.0.0.0" \
    -e NODE_PORT="3000" \
    -e NODE_NAME="registration" \
    -e NODE_TOPOLOGY="<IP-address of relay1 node>:3000/1" \
    -e CARDANO_NETWORK="main" \
    -e CREATE_STAKEPOOL="True" \
    -e POOL_PLEDGE="100000000000" \
    -e POOL_COST="340000000" \
    -e POOL_MARGIN="0.05" \
    -e METADATA_URL="<URL of metadata.json>" \
    -v $PWD/config/:/config/ \
    arradev/cardano-node:latest --create --staking

block-producing node on mainnet

Step 5. Run on host2. See examples/main-producing.sh.

docker network create -d bridge cardano
docker run -it --rm \
    --network=cardano \
    --name main-producing \
    -p 3000:3000 \
    -p 12798:12798 \
    -e HOST_ADDR="0.0.0.0" \
    -e NODE_PORT="3000" \
    -e NODE_NAME="block-producing" \
    -e NODE_TOPOLOGY="<IP-address of relay1 node>:3000/1" \
    -e CARDANO_NETWORK="main" \
    -e PROMETHEUS_PORT="12798" \
    -v $PWD/config/:/config/ \
    arradev/cardano-node:latest --start --staking

Best practice

<summary>Click to expand</summary>
This is an example on how to run your staking pool in a completely secure way, by only keeping your `cold-keys` and `wallets` on a completely offline node, and then transfer all relevant registration transactions and `pool-keys` to the online block-producing node. This requires a bit more steps than the reasonably secure method.

For this setup you will need 3 hosts.
`host1` for running the relay node.
`host2` host for running the block-producing node and submitting the registration transactions.
`host3` host for generating all the keys, addresses, certificates and transactions, and storing the cold-keys for refreshing the KES keys and certificates. This must be an completely offline host running locally.

1. Upload your stake-pool metadata json file ([See example](#metadata-example)) to a host so it is accessible to the public. For example as a [github gist](https://gist.github.com/).
2. Start a relay node on `host1` and make it connect to the block-producing node on `host2`.
3. Generate `protocol.json` on `host1` by running `get_protocol`.
4. Transfer the `protocol.json` from `host1` to the staking directory of `host3`.
5. Add the `metadata.json` file to `config/staking` directory the on `host3`
6. Start a cold-creation node `host3` using the `--create-cold` argument, and follow steps.
7. Fund your owners payment address(es) created on `host3`, make sure you send to the correct addresses.
8. Get UTXO and TXIX for funded owners payment address(es) by quering the address(es) on `host1` or `host2`.
9. Input the relevant UTXO and TXIX values when promted on `host3`.
10. Find the slot tip of the blockchain by running `get_slot` on `host1` or `host2`.
11. Input the slot tip on `host3` when prompted.
12. Create Firewall rules for your block-producing node on `host2` to only accept incoming traffic from your relay node on `host1`.
13. Upload staking-hot.tar.gz on `host2`
14. Start a block-producing node on `host2`, with the `--start`, `--staking` and `--register-cold` arguments, and make it connect to the relay node on `host1`.
15. Wait for the block-producing node on `host2` to register your pool and start staking.

See examples of the containers in `examples/best-practice/`.

Test setup

Click to expand

**Warning:** These examples are ONLY for demonstration. The examples will run the nodes on the same server, using the `host` network, and connects to eachother using the localhost IP-address. This is not recommended. It is recommended to run the nodes on seperate servers and connect them using their public or local network IP-addresses, if they run within the same network. The idea is to keep the block-producing node completely locked off from anything other than the relay node. The block-producing node will also initialize and register the stake pool automatically, which is better to do on a seperate node, to keep the `cold-keys` directory and `wallets` secret key files (`wallets/*/*.skey`) completely away from the online nodes.

1. Upload your stake-pool metadata json file ([See example](#metadata-example)) to a host so it is accessible to the public. For example as a [github gist](https://gist.github.com/).
2. Start a relay node and make it connect to the block-producing node. See the `examples/mc4-relay1.sh` example file.
3. Start a block-producing node with the `--start`, `--staking` and `--create` arguments, and make it connect to the relay node. See the `examples/mc4-producing.sh` example file.
4. Wait for the block-producing node to setup and register your pool.
5. Fund your payment address generated and displayed in Step 4 to finalize the registration.

The docker-compose file `examples/test/mc4-docker-compose.yaml` will run these 2 containers automatically. Use the command `docker-compose -f mc4-docker-compose.yaml up` to start them.

Monitoring

If you want to monitor your nodes using prometheus across different hosts, you can set the environment variable PROMETHEUS_HOST=0.0.0.0. This makes the Prometheus service accessible to other hosts. So you can for example run a Prometheus+Grafana service on your relay node, scraping data from the block-producing and relay nodes. If you do this, it is EXTREMELY important that you set up a Firewall rule ONLY allowing traffic from your relay nodes host on the Prometheus port, otherwise everyone will be able to monitor your node.

Metadata example

The examples/metadata.json file is the file that holds metadata about your pool.

It looks like the following, and has to be upload to a host so it is accessible to the public via. an URL. You can for example upload it as a github gist.

{
    "name": "Example Pool",
    "description": "Cardano stakepool example",
    "ticker": "TEST",
    "homepage": "https://github.com/abracadaniel/cardano-node-docker"
}

Arguments

You can pass the following arguments to the start up script.

Argument	Function
--start	Start node.
--create	Start Stakepool creation. Initializes Stake Pool keys, addresses and certificates, and sends them to the blockchain, when starting as a stakepool, if it is not already initialized.
--cold-create	Initializes Stake Pool keys, addresses and certificates, and sign registration transactions. Registation transactions has to be sent using the `--cold-register` argument.
--cold-register	Submits the address and pool registration transactions to the blockchain created using the `--cold-create` argument.
--staking	Start as a staking node (Requires the `--start` argument)
--cli	Start command-line interface.
--init_config	Initialize config.
--help	see this message.

Environment variables

You can pass the following environment variables to the container.

Variable	Function
NODE_PORT	Port of node. Default: 3000.
NODE_NAME	Name/Ticker of node. Default: node1.
NODE_TOPOLOGY	Topology of the node. Should be comma separated for each individual node to add, on the form: <ip>:<port>/<valency>. So for example: 127.0.0.1:3001/1,127.0.0.1:3002/1.
NODE_RELAY	Set to True if default IOHK relay should be added to the network topology. Default: False.
HOST_ADDR	Set cardano-node host address. Defaults to public IP address.
CARDANO_NETWORK	Carano network to use (main, test, pioneer). Default: main.
EKG_PORT	Port of EKG monitoring. Default: 12788.
PROMETHEUS_HOST	Host of Prometheus monitoring. Default: 127.0.0.1.
PROMETHEUS_PORT	Port of Prometheus monitoring. Default: 12798.
RESOLVE_HOSTNAMES	Resolve topology hostnames to IP-addresses. Default: False.
REPLACE_EXISTING_CONFIG	Reset and replace existing configs. Default: False.
POOL_TICKER	Pool Ticker
POOL_PLEDGE	Pledge (lovelace). Default: 100000000000
POOL_COST	Operational costs per epoch (lovelace). Default: 10000000000
POOL_MARGIN	Operator margin. Default: 0.05
METADATA_URL	URL for file containing stake pool metadata information. See `examples/metadata.json` for examle. The file be uploaded to an URL accessible to public.
MULTI_OWNERS	Define multiple stakepool owner wallets which participates in the stakepool pledge. Comma separated values. Example: owner2,owner3. If the wallets do not exist they will automatically be created. Default: None.
PUBLIC_RELAY_IP	Public IP address of Relay node. Values: <Any IP address> TOPOLOGY: Use first entry of the topology. PUBLIC: Use public IP of node. Default: TOPOLOGY.
PUBLIC_RELAY_PORT	Public port of Relay node. Values: <Any Port> If PUBLIC_RELAY_IP=TOPOLOGY the PUBLIC_RELAY_PORT will also be updated accordingly. Default: First entry of the topology.
AUTO_TOPOLOGY	Automatically update topology.json. Default: True
CNCLI_SYNC	Synchronize CNCLI. Default: True
STATUS_PANEL	Split screen with cardano-node and status panel. Default: False
PT_API_KEY	Pooltool.io API key
PT_SENDTIP	Send tip to pooltool.io. Requires PT_API_KEY. Default: False
PT_SENDSLOTS	Send assigned slots to pooltool.io. Requires PT_API_KEY. Default: False

Commands

These commands can be run from the command-line interface of the container.

Command	Description
create_stakepool	Take all the steps to initialize and register the stakepool from scratch.
generate_stake_address	Generate payment and stake keys and addresses.
generate_registration_certificates	Generates stakepool registration certificates.
generate_operational_certificates	Generates stakepool cold-keys, and VRF and KES keys, and the node certificates.
register_stake_address	Registers your stake address in the blockchain.
register_stake_pool	Registers your stake pool in the blockchain.
sync_status	Display node synchronization status.

Supported Networks

Use the CARDANO_NETWORK environment variable to change this. The latest supported networks can be found at https://hydra.iohk.io/job/Cardano/cardano-node/cardano-deployment/latest-finished/download/1/index.html

Network	CARDANO_NETWORK value
mainnet	main
alonzo-purple	Alonzo Purple testnet
test	Public testnet

Ports

Port	Function
3000	Default port cardano-node.
12798	Default port for Prometheus monitoring.

Volumes

Volume	Function
/config	Specify a folder to store the configuration and database of the nodes, for persistent data.

Example scripts

Use these example scripts to see how the nodes can be started.

Script	Description
test/mc4-docker-compose.yaml	docker compose file for running relay node and block-producing node locally on mainnet-candidate4, and initialize and register the stakepool
best-practice/mc4-relay1.sh	Run relay node locally on mainnet-candidate4.
best-practice/mc4-producing.sh	Run block-producing node locally on mainnet-candidate4 and initialize and register the it as a stakepool.
best-practice/mc4-cold-create.sh	Local cold creation on mainnet-candidate4.
main-relay1.sh	Run relay node locally on mainnet.
main-producing.sh	Run block-producing node on mainnet.
main-registration.sh	Run block-producing node on mainnet and initialize and register the it as a stakepool.

Docker hub

Image can be found here.

Building locally

If you want to make local modifications to these images for development purposes or just to customize the logic.

git clone https://github.com/abracadaniel/cardano-node-docker.git
cd cardano-node-docker
./build.sh

Thank you

I hope you will find this useful. If you like the work please consider delegating to my pool: [ARRA] Arrakis (c65ca06828caa8fc9b0bb015af93ef71685544c6ed2abbb7c59b0e62)

or donating a few ADA to: addr1qys4rnfu5suydj480gwlnxxfkazjscy5j3ekgrnywvqht6ujn4up3dddmmul3a5p98996dyd5nhn2mwthwce6rjrp0esqtey6p

codex5/cardano-pool-docker