People started to make money in many ways on the internet before blockchain technology. But the development of technology and the spread of cryptocurrency brought different methods. I’m going to talk about a few methods that aren’t very known for now but have incredibly good returns. But to get these returns, you must first invest in these projects.
You can actually think of it as a kind of investment, and you can even think of it as interest income. However, the increase in the value of cryptocurrency will mean that both your primary and interest income will increase.
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Why should I invest in these projects instead of taking interest from any bank?
1- You cannot usually withdraw the principal funds you have deposited in the bank before their due date. There is also a lot of tax deduction from the interest rate after depositing the principal.
2- You can not use the banks at the weekend or 7/24.
3 -You get “anonymous” income from blockchain technology. These earnings cannot be traced and are unknown to anyone. You also do not have to pay extra taxes to any company or government.
4- Cryptocurrency returns, regardless of interest, are an award of approval of the blocks in the system, maintenance of transactions and the preservation of cryptocurrency. In other words, I can say that you get a more honorable return from the moral point of interest.
5- The investment in projects in the long term, if you believe in blockchain technology, you can provide incredible returns.
So what are these Methods?
1) Proof of Stake
Proof Of Stake (POS) is the more environmentally friendly brother of the Proof Of Work protocol. Proof Of Stake makes use of the premise that those who own most coins in a network have a vested interested in keeping the network maintained and the value of its coins high.
In a system that uses Proof Of Stake a randomized process is used to determine who gets to produce the next block. Users can stake their tokens to become a validator (someone who can produce blocks), which means they lock their tokens up for a certain time. After doing so they are eligible to produce blocks.
The process that decides who gets to produce the next block takes a couple of factors into account, what these factors depend on the design of the blockchain, but in general, the person who has the biggest stake has the highest chance to produce a block. An example of another factor that can be taken into account is how long the coins have been staked.
Each project runs the reward mechanism of the PoS system in a different way. But as a result, PoS is a kind of “lottery”. But the more coins you have in your hands, the more likely you are to win this lottery. The rewards you receive for your confirmation of the blocks may sometimes be less than or less than necessary, but on average you always get the rewards you deserve.
I would like to talk about a project that I could invest in the PoS system and that I met last month: Veil
VEIL is the first Zerocoin Protocol-based coin with always-on privacy. No users can accidentally make traceable transactions. VEIL is the first Zerocoin Protocol-based coin with always-on privacy. No users can accidentally make traceable transactions.
Highly vetted privacy protocol with very large anonymity set sizes. VEIL uses a custom version with private staking, precomputed spends, and Bulletproofs for smaller transaction sizes.
Proof of stake projects is much easier to implement, unlike mining. All you have to do is keep your wallet open and let your computer do everything for you.
https://veil-project.com/get-started/ You can download the Veil wallet from its official site and start making money by buying a lot of exchange from the Veil coin required to make the stake.
Although there is no minimum limit, the minimum number of Veils that you have to keep in order to earn 1 stake per day is 10.000 Veil. This way you can earn 1 stake per day, which corresponds to 50 Veils.
The most important detail you need to know about the project is that it is listed on many platforms including Coinmarketcap and has a very professional team.
2) Setup a Masternode
Masternodes provide the opportunity to invest in cryptocurrencies with the added benefit of earning guaranteed extra coins in addition to gaining exposure to the large potential increases in value that can come within the cryptosphere and owning cryptocurrencies.
Staking rewards, if allowed for the specific blockchain, should definitely be considered if you are not selling your node rewards. Whether you are holding them to build enough for a new node or whether you are just holding hoping for the market price to increase staking can be used to ensure these coins continue to work for you. Normally all you need to do is ensure your wallet is configured to allow staking (normally achieved via the wallet settings or configuration file change) and then leave the host computer switched on, connected to the internet and the wallet left open. Once your coins have matured (varies but around 11 hours is common) they will be staked in the network and you will then be eligible to earn rewards.
When staking it is always worth ensuring your staked coins are not ‘staked’ as a single group. Once a group of staked coins earns a reward those coins then become immature and ineligible for staking until matured. Grouping coins into staking groups is a judgment call but on average I try to collate coins into groups of 1,000 to ensure enough ‘network weight’ — basically your chance of getting a reward allocated. Splitting into groups also gives you more chances of being selected as well — **think of it as buying more than one ticket to the lottery.**(this is the difference between PoS and Masternodes)
After we roughly describe masternode, we have to decide which project is going to apply to masternode revenues. Because there are hundreds of projects around, hundreds of masternodes.
My first choice for this is definitely TecraCoin, especially I love their mission. I would like to talk about this project first:
Tecra is a Polish-based technology company that is already established and operating. The project is particularly focused on the technologies to be created using Graphene technologies. For example, the motor helmet made using Graphene technology, clothing, tubes, etc.
Graphene technology is 2 times more advanced than nanotechnology, which is known as the highest technology. And every product to be made using this technology can be more robust, more durable, more resistant to heat and more elastic.
Tecra also wants to pave the way for new breakthroughs, especially in the framework of this latest technology.
Technology constantly improves the world. Tecra goal is to streamline this irreversible process and highlight their role in the transformation of civilization. Tecra team have created an Internet Platform for raising capital that will support the commercialization of high-end technologies protected by patents. By using a blockchain-based distributed ledger they can guarantee the transparency of investments based on TecraCoin.
The way Tecra investment fund works:
– By purchasing TecraCoin cryptocurrency, you can invest in hi-tech, mostly patented projects prepared to be commercialized.
– TecraCoin scientists and business experts select the most promising projects. In the future, we will also ask the Tecra community to vote for projects that we select from the market. Voting will be done via TecraCoin Wallets and the selected project receives funds for implementation.
– Tecra Ltd. establishes a special purpose vehicle with a selected project and commercializes it.
– After the investment is carried out, Tecra receives lifetime profits of the promoted project.
– Investors with TecraCoins can sell them on the exchange or hold them for the duration of the investment and receive dividends, get passive income from Masternodes.
If you want to install masternode for Tecracoin, you have to have 10,000 Tecracoins. After your Node has started to process, your daily income is 1%, your monthly income is 32% and your annual income is 384%.
Is the technology behind it, the fact that you serve science, and a great income compared to banks, huh?
A common project where you can use both the Proof of Stake system and the Masternode system simultaneously: Securypto
The Securypto project is unknown to many people but is a very rare project. The project survived the ICO process because it received sufficient investment. This project, which includes highly skilled software developers, is a privacy project. But it’s very different from the well-known privacy coins.
Some of the project Features:
1- You cant trace sender even receiver. You can swap your tokens as an anonymous.
2- To use its own blockchain infrastructure.
3- To be able to send anonymous messages, files, data and monetize them.
4- Having a dedicated hardware device called “Digisafeguard” in a small phone size and thanks to the device you can trade Bitcoin, Ethereum, SCU (own coin), etc.
5- Has its own Wallet. You can use this wallet on Microsoft, Linux. Android and IOS software is under development.
Although the project is currently in the Testnet v2 stage, it will soon be passed to its Mainnet. Besides, it has reached an agreement with many exchanges. We just have to wait a little longer for the system to work perfectly. Proof of Stake and Masternode systems are also active when recently passed its own…
3) Getting Dividend Share
Some of the cryptocurrencies provide a simpler way to generate passive income than the methods I mentioned above. All you have to do is not to sell your cryptocurrencies and keep them in your wallet. In this way, it preserves the value of the cryptocurrency, preventing inflation from happening and declaring your trust in it. In this way, you get a passive income.
Some coins offer dividends in the form of other coins simply for holding the original coin. For example, NEO generates Gas, and Vechain will generate THOR. Typically, each unit of the original coin will generate some predetermined amount of the new coin. These new coins are related to paying network fees, whereas the original coins can be thought of more as equity in the network. The rate of return on these methods is quite low (~3% for NEO’s Gas), but they require no work beyond owning the original coin, so it is a very passive, low-risk method of earning income.
One of the biggest spots that distinguish the Bethash from other casinos is the Dividend awards. The biggest of these awards is the daily profit and up to 90% profit share. This transaction, which is referred to as “dividend” in the stock exchanges, is a system in which you keep your coins in the accounts in the same banks and as a result, you receive a daily profit share. As a kind of sleeping in your bed while you keep your coins in your hands without any effort can get a profit share. The more coins you have in your hand, the more profit you receive. As in the same Banks, the rate of profit share you receive is increasing if you choose a 15-day or a higher number of days rather than a day.
Not only do gambling tokens have dividends, but there are also a lot of exchanges:
- BridgeCoin: BCO aka BridgeCoin is a native currency of CryptoBridge Dex which is an upcoming decentralized exchange. BCO is not an ERC20 token like the two mentioned above. Instead, it is a minable cryptocurrency with proof of work behind it.BCO holders get up to 50% of the revenue share/bonus of CryptoBridge exchange if they stake their coins as per the following schedule.
- 1 Month (0% Bonus)
- 3 Months (20% Bonus)
- 6 Months (50% Bonus)
- 12 Months (100% Bonus)
2. COSS: COSS is another ERC20 token, which is also the native currency of COSS exchange.
COSS is also an exchange like Binance and KuCoin, with similar features. It will, however, transform itself into a DAO. For now, COSS holders are paid 50% of the exchange trading fee on a weekly basis. One can hold COSS tokens on the exchange itself or in an ERC20 wallet like MyEtherWallet to receive the rewards.
- Do read, How to hold COSS tokens outside the exchange to earn dividends?
3. Catex: One of the biggest spots that distinguish thees Catex Stock Exchange from other exchanges is the Dividend awards. The biggest of these awards is the daily profit and up to 90% profit share. This transaction, which is referred to as “dividends” in the stock exchanges, is a system in which you keep your coins in the accounts in the same banks, as you do and as a result, you receive a daily profit share. As a kind of sleeping in your bed while you keep your coins in your hands without any effort can get a profit share. The more coins you have in your hand, the more profit you receive. As in the same Banks, the rate of profit share you receive is increasing if you choose a 15-day or a higher number of days rather than a day.
Another issue I would like to mention about Dividend is the work done to keep the price of CATT, which is the own coin of the stock market, constant. Since dividend share of CATT token will be shared continuously, there may be some fluctuations in price; But Catex also thought of a cure for this and created an account with CATs that made a regular buyback. This account is intended to ensure that the price of the CATT is regularly restored to the extent that the price is not fluctuating.
without harming yourself.
Legal Disclaimer: This paper is for general guidance only and it does not constitute legal investment advice.
Disclosures: Im not a part of any cryptocurrency or any project. I have not been paid or otherwise hired by these too. All risks are your responsibility when investing.
Earn Passive Income via PoS, Master Nodes and Dividends was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.