Masternodes store the entire copy of transactions; they differ from a full node because masternodes are used to stake coins. Masternodes give you a passive income in addition to validating rights within the network.
An investment should always give you a return even though you are at rest. It is the right way to invest your money. Apart from stock market investment, nowadays, crypto investment is becoming a hot talk. The utility of crypto is increasing in our day-to-day life.
So many people use crypto to trade on exchanges. During the bull market, the trading works nifty. At that time, a person can gain profits from it. Holding through the bull market sounds great, but not so attractive when the market is dull. Cryptocurrency is not only meant for trading. People can earn passive income by staking their crypto.
There are many ways to earn passive income from crypto. But here, we are going to talk about a specific way to earn passive income. In masternode staking, people can enjoy the maximum rewards.
What Is Passive Income in Cryptocurrency?
First, people should know about the term passive income. Passive income is nothing but money earned by the people without their active involvement. If Harry deposits money in a bank as a fixed deposit, he earns interest. This is an example of passive income in the traditional market. Likewise, in crypto, people can stake to earn passively.
What Are Masternodes?
Masternodes are a unique category of nodes in a blockchain. Nodes help to validate the transactions and store a copy of them. A group of new transactions forms a block; the node verifies and validates transactions. There are two types of nodes in the blockchain. A light node stores a copy of the recent transaction activity and validates the block.
On the other hand, a full node downloads the whole transaction history and validates the block. Masternodes also store the entire copy of transactions; they differ from a full node because masternodes are used to stake coins. Masternodes give you a passive income in addition to validating rights within the network.
How to Deploy Your Crypto on Masternodes?
Before investing your coins on the masternode, make sure that you review the following.
- The masternode crypto’s MarketCap.
- Trading volumes of the coin.
- Developer support and activity.
- Community members’ review.
- How long has the project been in the market?
- The reputation of the project.
- Staking rewards to the validators.
- The daily, monthly and annual ROI.
After verifying these factors, people can deploy their crypto on masternodes. The Beldex privacy coin is one among the masternode crypto and the most trusted cryptocoin by many people. Beldex has an easy way to deploy masternodes.
About Beldex masternodes
Beldex was formed in 2018 as one of the successful projects in the crypto market. Beldex masternode has a PoW+MN architecture; the PoS+MN architecture will launch soon to meet users’ needs. Already, the PoS is in the test net stage. People can either set up the masternode by themselves or go with shared masternode pools.
Setting up a Beldex masternode is somewhat challenging because it requires a fair bit of technical knowledge. Your system should be up-to-date and must have the required specifications. So it may seem difficult to set up at first, but Beldex provides extensive masternode setup documentation.
You can also choose to stake through masternode pools, which is a simple and easy way to stake Beldex. It is a fast and easy staking method that doesn’t require complex technical knowledge. The current block creation time is 120 seconds and the block reward for verifying transactions is 2 BDX. The Beldex POS hardfork scheduled for Q4, 2021, will reduce the block time and increase block rewards.
The major advantage of using a masternode pool is that two or three users can combine their stake to set up a masternode and earn rewards proportional to their stake. The minimum staking collateral is 10000 BDX; in shared masternode pools you can stake lesser. It is beneficial to many people because they needn’t stake the entire collateral amount; they can simply stake a portion of it and receive rewards for their stake.
Beldex pooled staking is available with its masternode staking partners Pecunia, Nodehub, MyCointainer, and Evonodes. Once you set up the masternode pool, the rewards will transfer to your wallet on these platforms. These masternodes pools also provide statistical data of daily, weekly, and monthly income are given to the user. The data of the active masternodes, staking collateral, rewards, etc., can also be found on Masternode Online and Masternode Buzz.
Closing Thoughts
Beldex masternode meets the above-mentioned criteria, such as market cap, scalability of the coin, trading volumes of the coin, developers’ active involvement in the project, reputation and satisfied user reviews, increased transaction speed, etc.
Without any hesitation, a person can deploy their BDX coins on the masternodes and start earning from passive income.