Proof of Stake coins are a great way to earn interest on your cryptocurrencies. By freezing your coins, you can earn some nice dividends while keeping your coins safe and not selling them! Here are some projects with the best returns right now.
In most projects PoS a larger bet (more coins) is often equated to a larger reward, but this is not always true for each coin. Some projects return a random amount of coins per bet, while others return a fixed amount, which depends on the project.
If you're not sure how Proof of Stake works, get started read our comparison of blockchain matching algorithms It covers everything you need to know in order to gain speed quickly.
1. NEO: 2.4%
Smart Economy NEO is a good choice for placement. NEO uses the GAS token to pay for transactions and as a block reward. Each time a node discovers a new block, all NEO holders receive a share of seven GAS tokens, which are distributed automatically and equally. If you stake more NEO tokens, you will receive a larger share of the reward in proportion to your stake.
To calculate your reward, there is the following formula:
Your possessions * 7 * 5760/100 000 000
This formula returns your daily reward to GAS, but don't forget that smart contract fees are deducted from this indicator, so it is often lower than the formula implies. Suppose you have 10000 NEOs (approximately $ 123000 at the time of this writing). Your daily earnings may be approximately $ 8 or 0,69 NEO. This results in an annual increase of approximately $ 2952 (240 NEO), or 2,4% of your total holdings.
This income is subject to change. If the block time increases or the price of NEO decreases, you will see your reward decrease, but around 3% is a great return, especially if you purchased your NEO a long time ago or purchased them during the ICO. The best part is that you only need one NEO to join.
2. PivX: 9.4% ROI
The confidentiality of the PIVX coin is much more profitable than NEO, at about 10% per year. To start a bet, you will need a recommended minimum of 100 PIVX, and although you can earn rewards at a lower cost, you are unlikely to see any significant winnings.
The distribution of block rewards varies depending on who discovered the block. Rewards are distributed in PIV and zPIV tokens, and the distribution depends on the token you have supplied.
If you stake PIV, masternodes get 3 PIV and stakers get 2 PIV. For zPIV, masternodes receive 2 zPIV, and for stakers, 3 zPIV.
PIVX will “flip” between PIV and zPIV, trying to reduce the bias, leaning more toward masternodes or steakers. Since there are virtually no transaction fees with PIVX, you will not earn them by placing bets. The tiny fees that are levied are burned immediately.
If you put 10 PIVX (about $ 000 at the time of writing), you can expect an annual ROI of around $ 3000 (286 PIVX), or 940%. This is the ROI for zPIV and reduced to 9,6% to accommodate PIV.
3. Tron: 4.4% ROI
The return on investment of Tron is approximately 5%, and since the current market price at the time of writing is approximately $ 0,02, you can get a lot of coins for your money. You will need at least one Throne to start betting. The Throne of PoS works differently than the two previous coins. The throne uses delegated stake proof, according to which participants (stakers) use their coins to vote for a representative, and representatives decide how to distribute profits. Most representatives proportionally distribute earnings among voting members, but this can vary.
There are 27 “super representatives”, and these are the nodes with the most votes (one Throne is equal to one vote). If your representative collects enough votes to become the 28th representative, you will not receive any awards. There are 182 super representative candidates, so the battle for excellence can be fierce.
Each block rewards all super-representatives with 32 TRX tokens. In addition to this award, each super-representative candidate earns 115 TRX in proportion to their votes cast in the super-representative election. These elections are held every six hours, so even if the candidate you choose does not become a super candidate, you can still get a share of the earnings.
If you bet 10 TRX (at the time of writing, approximately $ 000), you can expect an annual ROI of approximately $ 200 (8,5 TRX), or 440%.
4. Zcoin: 17% ROI
Zcoin currently provides a 17% return on investment. Like PIVX, Zcoin uses master nodes for which 30% of the block reward is reserved. The block reward is 25 XYZ tokens, but first you need at least 1000 XYZ. At the time of this writing, it was worth $ 7,76, so you need to have significant value to start betting at all.
Peak bets (which are similar to mining pools) are popular with Zcoin due to the high entry point. These pools usually work pretty well, and most offer a proportionate percentage of the total reward, but they are not ideal. By joining the pool, you lose liquidity and the ability to instantly withdraw your funds. To exit, you need a pool member to buy coins. There may not be enough funds in the pool to function without your coins, so most of them will not allow you to leave quickly.
5. DASH: 6%
DASH works as a real-time cash replacement and costs less than a cent to transfer money anywhere. Although this is the Proof of Service blockchain, the master nodes used to receive rewards work very similar to PoS.
To earn dividends with DASH, you must run a master class. It's not that hard to do, but you need to have at least 1000 DASH. Regardless of whether you were an early DASH user or you had deep pockets, an annual income of approximately 6% is well worth the effort.
If you bet 10 DASH (currently worth $ 000), you can expect an annual return on investment of around $ 1115 (000 DASH) or 73%.
Get it started today!
Although we have only covered some of the Proof of Stake coins available, these options are some great options. Remember, however, that PoS is still a risky business. The cryptocurrency market can collapse again and destroy the value of your coins, not to mention the percentage increase that you received from bets.
The cryptocurrency of your choice may crash or suffer a catastrophic hack that cannot continue. Maybe the betting pool you're joining is a scam, or what about the good old software bug in your blockchain?
Like all things in cryptocurrency, storing your own private keys is usually a good idea, and placing on the stack of coins you already have or bought at low prices poses a lower risk than spending your entire inheritance on cryptocurrency.
Do not be afraid to bet, as there are many possibilities to make your coins work for you. By staying diligent and voting through official project approved wallets, you are unlikely to encounter a lot of problems. Whatever you do, let us know in the comments section below.