Some people believe in the crypto sphere, you must be a good market analyst or day trader to make money; nothing could be further from the truth. Truth is there are several ways to make profits and earn money. You can choose what works for you and fine-tune your reward/risk ratio.
Masternode coins are one way of earning in the crypto sphere. However, you want to understand what a Masternode coin is.
What is a Masternode Coin?
A Masternode coin is a computer wallet or digital currency full node that keeps a full copy of a blockchain in real-time, it’s similar to Bitcoin’s full nodes that are up and running. However, a Masternode coin differs from normal nodes in functionality. The main difference is that they execute other functions besides keeping a blockchain and transmitting blocks the same way full nodes do in Bitcoin or Litecoin.
Some special functions performed by nodes include:
- Enhanced privacy of transactions
- Instantaneous transactions
- Contributing to voting and governance
- Facilitate a budgeting and treasury structure in the crypto sphere
A Masternode coin doesn’t stand alone and is always communicating with related nodes to create a decentralized network and is referred to as MN. While a Masternode performs the tasks listed above, there may be slight variations between cryptocurrencies based on how different Masternode coins are implemented.
Anyone in the crypto sphere can create a Masternode, but most come with an entry barrier that safeguards the operator’s stake and avoid any kind of mischief. Most cryptocurrencies devalue an operator’s HODlings when they compromise the system or cheat. The most common entry barrier set the lowest number of coins you need to run a Masternode. The machines that run Masternode coins have technical requirements including IP requirements, storage space, and type of server.
Benefits of Investing in Masternode Coins
The first is profits and inducements! Make a stake and get a profit while aiding the running of the network. Take the time to compare the yield against the investment when choosing a Masternode coin that offers a higher return on investment. You want to make sure also that you have the right technical requirements for the Masternode you choose besides the requisite skills.
The Top 5 Masternode Coins
Are you holding any amount of Proof of Stake (POS) currencies? If not, learn how you can earn dividends by making stakes in the right wallets. The following is a list comparing the best Masternode coins.
DASH, aka Digital Cash, is a forerunner in implementing Masternode coins consensus mechanism. This exceptional crypto builds upon Bitcoin’s core and has enhanced privacy and fast transaction features like InstaSend and PrivateSend. It defines itself as a P2P decentralized electronic cash that expects to become as liquid as the traditional cash used in different countries.
DASH HODlers can earn dividends in DASH when they run the Masternode; the only catch is you must have at least 1000 DASH units to run a Masternode whose unit price averages about $300. If you want to invest $300,000 (1000 DASH units) to reap an annual yield of 7.5% besides the coin’s appreciation reward, DASH is a good bet since it’s a promising cryptocurrency to HODL and earn from your HODlings.
Annual ROI: Approx. 7.5%
Wallet: DASH Desktop wallet
NEO is a Chinese Blockchain project that used to be called Antshares; it tags itself a “smart economy distributed network” and the digital currency exists on NEO’s blockchain. You can stake NEO’s other crypto-token, GAS aka Antcoins or ANC in the NEO wallet and get a handsome ROI; your staking wallets don’t have to remain open throughout like in other Masternode coins. The returns you earn are in NEOGAS whose unit price averages $24.
Annual ROI: Approx. 5.5%
Wallet: NEON wallet
PIVX is the abbreviation for Private Instant Verified Transaction; the Masternode coin focuses on the security and privacy of transactions. The cryptocurrency forked from DASH in 2016 and is a functional Masternode coin that lets users make stakes to earn a good return.
There is no limit to how much you can stake and the entry barrier is low. You can earn through PIVX creating a Masternode of 10,000 PIVX units and rake in a 5% ROI; you can stake using the smallest amount of PIVX units.
Annual ROI: Approx. 4.8%
Wallet: PIVX Desktop Wallet
OkCash is Masternode coin that started in 2014 that intends to become the fast currency to use for micro-transactions. OkCash offers the highest ROI in staking rewards. As soon as you transfer your OkCash coins to your wallet, you earn a profit at a fixed percentage of mining blocks. You are free to stake any amount since there isn’t a cap creating a low barrier.
Annual ROI: 10%
Wallet: OkCash Desktop Wallet
The NAV Coin pioneered a twofold blockchain for investors. The functional Masternode coin has operated from 2014 centered on Bitcoin’s principal code. Some core benefits of this Masternode include fast transaction times, non-compulsory privacy with a twofold blockchain and Masternode reward system that lets you earn as you sleep.
Annual ROI: 5%
Wallet: NAV Coin Desktop Wallets
Investing in Masternode coins is like any other investing principle; you want to look for volume so you can enter and/or exit when you need to, a genuine working product besides a powerful team behind it. The secret to Masternode coins is getting in early which mean a bigger initial risk as you wait. Besides, you must be careful because some projects release Masternode coins to attract new investors.
Staking Masternode coins is a smart way for you to earn passive income and many of them offer low entry barriers for starters. The 1% to 5% return on investment you get for doing nothing is like a free reward that keeps popping into your wallet while you sleep. Compared to the low-interest rates in most countries, investing in the crypto sphere is a good bet.
Take the time to investigate different Masternode options and use the same critiques you would for any other investment. Remember that Masternode coins are huge investments with the potential for great rewards. It’s worth the time and money you will spend to research and chose the Masternode coin to invest in.