What are Masternodes? Complete Guide for Beginners

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A masternode is mainly a computer operating block-chain software, and monitoring block-chain transactions, spitting coins as a reward.

Due to their enhanced capacity, masternodes generally require a massive investment to operate. But this is where incentivization comes into play, as masternode operators are rewarded.

Complete Beginner’s Guide to start investing

This article I’m going to go over a quick way that you can use to start investing in master nodes was an idea that began with – and the reason for them is two things.

start investing in master nodes

One is to help speed up the verification of transactions, and then the other is as a way of voting on the direction of the project now not every master node coin has implemented voting, but almost all of them do the reward system. So by owning and running a master node you actually get paid in currency so let’s just take a look at #1 Bitcoin mining calculator, and we’re going to look for – right here since it was the very first one so to own a – master node costs a million dollars I mean eat a thousand – and the current price of – is an $8.5 Million.

If you go back to January of 2017, which this chart doesn’t what you would see is that you could have bought a 1000 – for $12000. If you investing in this masternode coin. Back in January 2017, after one year $ 12000 would be worth a million dollars, and it would be giving you an additional point five – a day, which is about $500 a day or a yearly income of $200,000. So, as you can see, the rewards can be pretty enormous if you choose the right master node to invest.

How Much Will I Earn?

Bitcoin

In another example would be “Energi coin.” So “Energi coin” as you can see right here has a price of $ 3.55 per share you need a 10000 of them to own a master node which gives you a master node worth of $3550, and you get a 105% return on that so let’s just take a quick look, and that would give you an equivalent of $38,000 approx. A year at the current price now in September of 2018 this was worth $5600, and now it’s worth thirty-eight thousand dollars.

Where if you choose the right one and get in on it early. You can make an enormous amount of money, and even if you don’t, it’s still a reasonably not it does not say riskless, but it’s a fair risk mitigated way to invest in coins. So to do your first one you probably don’t want to spend a lot of money, so up here at the top you can sort by ROI and what you can see is that one of these coins gives 64386.00 % return & to get into that coin you would need $237. Now if it can keep that price up at $237 you would get 1000 new coins in about two weeks. Which is a pretty fantastic return on investment you double your money in two weeks now.

double your money

The risk is what happens if that coin goes down in value during that time you’ve lost out on your investment first we probably don’t want to spend a lot of coins, so we want to use something relatively cheap so if you click on the “MN worth” masternodes online worth that’ll tell you the total amount of money you’ve got to invest in this to get it going. So this one’s pretty cheap if you want to start to try.

You need a thousand Arctic coin or five thousand of this coin natX or 1000 eternity or 1000 chain coin. If you keep scrolling down the bench, but one thing you also want to look at is the ROI on these is relatively low. So let’s search for a decent one and right here we see kind of like a sweet spot of it only costs $2,000 but you get a 600 percent return.

So let’s go ahead and click on Phil’s currency and what it tells us you’re going to get 218 coins more or less per day or 79695 per year and at the current price that’s going to relate to $40 a day income or fourteen thousand dollars a year. If we scroll down, it’ll tell us the annual percent return, and it’s going to say to us that we’re going to make our money back in 55 days. We had to buy 12000 Phil’s to get started and in 55 days at this current rate. We’ll have an additional 12000 Phil’s. Now, this assumes that this rate stays the same depending on the number of nodes and the number of miners that price can go up or down typically they tend to go down so I’ll be aware that it could take longer than 55 days to make your money back.

Another thing to note is that there is already 338 master nodes total, which means that this is a reasonably mature product in terms of master nodes. So it’s one that doesn’t seem like it’s going to go away anytime soon. It was listed on master nodes the day after Christmas, and you can see the price has been kind of wavy. So what you would what you’d probably want to do. If you are going to invest in this best masternodes coin, is not buying at the current price but put in a couple of orders. So you need 12000 of these. You don’t want to put it in 12000 to order at the current price. What you want to do is put in say a twelve thousand divided by 12 coins here a thousand here and a thousand here and then hope that those get picked up along the way so that way you’re not hopefully you can drive the market down by putting in all of those different orders.

Over here, at the top, you can see the announcement let’s click on that for just a moment. You can see that this is not the busiest of product of projects it only has nine pages, some of the projects started on December six some of them that started around the same time have got like sixty pages already. So it’s not the most popular project on here, but if you click on the last page. You can see that people are still kind of doing it. Although it says there are a few people who have had issues, it looks like there are still plenty of people who are doing it.

You want to make sure that you’re not buying into a wrong project. Another thing you can do look at their website & see what the project is about; you can look at the team of how many people are behind this. If it’s just one person or if it’s a team of people, groups of people are probably going to be more likely to stick around than only one person. You can also look at their social media. I usually look at the discord and then finally where can you buy this.

This one its coins market and I should have this loaded up already. Coins market was down today, and you can see right here between these times there was no trading because it was down.

Coins market was having such problems that I couldn’t use it and said we’re going to look at crypto PIA for chain coin same idea. You can see the trading chart, and you probably don’t want to put your order say if you were trying to order 12,000 of them you don’t want to place your order for 12,000 of them at the current price, because that might drive up the current price.

What you would probably want to do is they call layer your bids we’re going to put in say a thousand here and a thousand here and so on because within this is a 12-hour period at the moment you can see that it’s been trading in this area, so you don’t want to put in 12,000 order right here. You want to go all the way down. So what you can do you are going to be filling out this portion for the buy, and you can see here. Who’s selling it so you can see that someone’s selling a thousand for this price right here? Click on it’s going to enter in that upper front. Filled that out and then clicked by what would happen is you would buy this person’s sell order right here.

You can see here’s what people are currently bidding for so the top bid is 375 & if you come up to the top 375 is about right in here & you can see that there’s a big order another thousand at 3251. So what you could do is you could try and put your request in so notice that every time, I click on one it’s changing to here.

What you could do is click on that, and you’re going to you’re basically duplicating this person’s order right here & then put in say you wanted 1000 at that price and then you wanted to make sure you got your sale before his sell. You could raise it by one Satoshi.

A Satoshi is a millionth of a Bit coin, and that’s how you do it, so don’t put your entire master node’s order and one giant thing although I mean you can if it’s a cheap enough coin you’re like whatever I just want it now and that is something to be careful for is that when one of these coins is on an upward trend that you don’t want to be you know it’s better to get filled than it is to get a high price.

If you think that the upward trend is going to continue as an example one of these coins “magnet coin” see right here is currently worth $13,000 and I could have bought it at 4,500, but I was trying to get a good deal on it, and I missed out, and I didn’t have quite enough coin to make it work and then it was too expensive. So you know sometimes it’s better to suck it up and buy it outright but if you see that it’s been going up and down and you think it’s going to go down again then go ahead and take your time.

I’d recommend looking at something either just really cheap, so like you know this one’s got a really lovely return or both of these have good returns for under $1,000 or go all the way up to this one for $2,000 you can get a 600 % return now a couple of things to be cautious about the volume anything it’s got low volume might be challenging to sell, so just be aware of that.

I’ll give you an example you know “KZcash” less you see if you take a look at this, the master node is worth 2000, and there’s only been 2000 in sales in the last 24 hours. Which means that no one’s buying this coin be very careful about these low volume coins because you could get stuck in it.

If it is list on the coin’s market, which might be why it’s low right now because the coin’s market has just been down for the last day. But be very careful about buying into small volume coins, because you might not get your money back.

The other thing is to make sure you’re not buying into a project that’s dying as an example I’ll give you is this Goacoin going right now is worth $5,000. There’s it’s still under active development, but the developer has been on vacation or something for a couple of days. So all of a sudden everyone’s like “oh it’s ending, it’s gone, and it’s going over”. But it’s not, but you got to be careful. You got a great reward, and there’s only $5,000.

That’s a pretty good one to start with, but that volume is low, and I’d be more comfortable if the volume were higher. Now I got into this particular one when it was higher, so I’m sticking it out and see what happens. The number of nodes is increasing earlier today; there was there were only 90 nodes right now there’s a 101. So that’s a good sign that the projects are going in the right direction.

You want to be very careful about getting into something super high, but there might not be enough volume to sustain. So Pulis if you’ve got $11,000 it seems like there’s a decent amount of volume there the problem is that price is going up and up now if it keeps going up. I’ll be great if you had one of those, but is it something that you know the developer is just selling they’ve got a super high reward to encourage people to buy masternodes and then as soon as people about debt master nodes they run away with the money. So there’s something to think about.

I wouldn’t recommend getting into something that expensive for your first node until you know what you’re doing. Anyway if you found this helpful then let me know and if you need help setting up your master node. I can help you set that up for a small fee.

Unfortunately, even though they’re all similar in their concept, the actual execution of them can be different enough to be very annoying. What I’ve found is that it takes me about two hours to set it up. The Second time is probably more comfortable than that one other thing to be very careful about is when you set up a master node your coins should stay in your local wallet. The coins will never be on the server; that way if you’re hiring someone to set up your master node; they should never have access to your wallet.

master node Calculator

There was a case where a guy was trying to get a Z coin masternodes set up at the time. A thousand z coins were about $70000 and the guy who was setting it up. Said oh, now I need your private key so that I can blah blah the guy gave him his private key and he used the private key to send himself the money and stole the guy’s $70000.

The coin stays in your local wallet; it never goes on the masternode server. It is a fantastic way to get into relatively inexpensive, but potentially extremely lucrative coins. This particular one right here is Xios– is another up-and-comer it’s being rebranded as Xios. It so you can’t buy into it at the moment, but once it gets rebranded to Zeus. It might be a perfect one to get into it dipped down in price recently. If you’d gotten into any of these things before Christmas, you could have bought most of these nodes and get better ROI. Check our mining profit calculator