If you did your fair share of reading on everything crypto you probably already know there are quite a few ways to make money with cryptocurrency.
Masternodes are one of the possible solutions and if used properly they can be a steady source of passive income. Masternodes have all the traits of regular and full cryptocurrency nodes meaning they keep a full copy of the blockchain in real-time. However, they also perform other services and for this reason, they also receive rewards.
To set up a masternode, you will need to purchase a significant amount of a certain cryptocurrency and store them in an always online wallet. Because you are using up resources to host a masternode, you will receive more of those particular crypto coins as a reward.
Ideally, you should pick a young but reliable and trustworthy cryptocurrency to invest in and set up a masternode. That can be difficult considering so many new coins appearing on the market nowadays out of which only a few have a truly solid foundation.
Best masternode coins
We recommend you select the cryptocurrencies you invest in with great care. With that said, here are the best masternode coins you should consider investing in right now. These cryptocurrencies have shown stability and include some excellent masternode policies.
DASH has managed to make a name for itself by now and is one of the top 15 cryptocurrencies by market cap at the time of this writing (according to coinmarketcap).
DASH managed to create unprecedented incentives for masternode service providers. The masternodes of this crypto coin power InstantSend, PrivateSend, masternode management, and governance.
To set up a DASH masternode you will need to own at least 1,000 coins. A DASH masternode will generate approximately $30 per day, which is around $11,000 per year, according to masternodes.online. Obviously, if DASH’s value rises so will your rewards.
Blocknet is an interesting crypto-project describing itself as the ‘internet of blockchains’. Blocknet’s protocol allows nodes on different blockchains to establish peer-to-peer connections. This way, it makes it possible to transfer data and assets between blockchains and also paves the way for cross-chain dapps.
Blocknet is a Proof-of-Stake coin using masternodes. To set up a Blocknet masternode, you must own 5000 BLOCK. According to masternodes.online, current daily income is around $8 and the yearly rewards are approximately $3,000.
PIVX is a DASH fork that managed to make it into the top 100 cryptocurrencies. This currency can be staked since it’s a Proof-of-Stake coin, and it provides masternode capabilities.
It relies on masternodes to prevent double spends, for voting, and to send instant transactions. Right now, PIVX could yield a yearly income of approximately $1,100, or $3 a day. To set up a PIVX masternode you will need to buy a minimum of 10,000 PIVX.
Zcoin is an open-source decentralized cryptocurrency that was the first to implement the serocoin protocol to ensure anonymity and confidentiality, which is its main goal.
Masternodes are implemented as Znodes and their primary purpose is to perform Zerocoin transactions. The minimum amount to own for holding a Zcoin masternode is 1,000 XZC and current daily rewards are around $5.4, while the yearly income is a little under $2,000.
Running masternodes is a clever solution for increasing your passive income from the cryptocurrencies you own. However, it does require a significant investment since you will not only need to purchase at least the minimum amount of coins but also a VPS server to keep your wallet online 24/7, a dedicated IP address, and sufficient storage space for storing the blockchain.
There are, of course, other interesting masternode coins out there but whichever you choose make sure they are backed up by a prominent team and have a solid foundation to minimize your investment risks.