Bitcoin Forum

I've been playing around with setting up a couple of masternodes for 2 different coins, and I'm pondering whether it's worth the trouble in the long run. I've found that setting up masternodes is not straight forward, especially if you want to use a VPS.

What does the community here think about this?

Some people own masternodes as a great governance mechanism in cryptocurrency systems..since the owner of a masternode will have a say in developmental matters through voting, for instance. So it's not as much about money, but because someone would want to safeguard their investment in this way. The importance of master nodes is also clear with many people competing to give proposals that show real value and promise good returns.

Hope this helps!

Do masternodes actually help with the scalability problem of a blockchain?

I'm new in here and I'm do not understand too much about masternode.
Could you please explain more why masternode that worth the trouble in the long run.

I've have several types of masternodes. For the most part you take the good with the bad.
Pros:
Keeps the blockchain moving
Some give you a decent passive income

Cons:
Some coins may never make it to the exchange or get delisted. (Time to Hodl)
Development ceasing could hurt the nodes growth.

But overall i am happy with the outputs.

The one and most important decision is the coin. If you are planning to hodl the coin you are betting, its highly recommended to become a masternode. This is a passive income and which you can either cash out or grow your asset.

But if you just look at the ROI part and jump into any scam coin, you may lose part or whole of your asset.

I'm also relatively new to the masternodes setup, but I can tell you a bit about it. Essentially, a masternode is any server / computer that runs the coin wallet configured to be up 24/7 behind a static IP, with a declared amount of the coin kept as collateral either on the same wallet, or on an offline remote wallet. The key intent of the masternode is to play a similar role as a miner node in helping transactions validation on the blockchain, but the difference is that it does not need to do POW, since it has POS (amount of coins as collatetal). If you own a masternode, you are often able to vote on which projects get funded from the coin's trasury fund in the  evolution of the coin roadmap. Each coin specifies the amount of collateral to be aet aside, and the coins that are given to the masternode as a reward for being a masternode. Check out masternodes.online for more info.

can you own any amount of a POS coin to get a stake in it? like if i held 0.1 coin, i get more free coins based on that ?

do i need to do anything special to get free coins?

There are some coins that do this. For instance, holding NEO in a wallet or on binance will generate GAS. Obviously, the more NEO you hold, the more GAS that is generated as a result.

As far as the coins that are around at the moment, it could have been very worthwhile if you had got in early on. The setup is fine once you've done it quite a few times, its virtually identical for every MN coin.

Thank you a lot for kindly explain. It is very clear.

Cryptocurrencies are always growing, changing, adapting and Masternodes are still very new with room to improve.

For example, F0ME Masternodes will NOT need a static IP (and therefore not require a VPS)

https://bitcointalk.org/index.php?topic=2765332.0

It's also only on week 3 of airdrops so u can get some for participating in the community if you wish.

It depends, but generally, masternode payouts are more consistent (there are fewer, and used more frequently, so higher odds of receiving a payout.

Yes, but depends on the masternode, there are a lot of clones out there,

Understanding the Governance and Budget System
https://dashpay.atlassian.net/wiki/spaces/DOC/pages/8585240/Understanding+the+Governance+and+Budget+System

Check out BiblePay, fairly new masternode coin that is not just a clone!

Just thought of an idea.

How about defining a process where people report a new crypto that supports masternodes as soon as they do, then some techies like myself implement the masternode on a VPS, ask a willing person with the dough for the masternode collateral coins to be sent to the collateral wallet, and share the returns 3 way (the person who found the coin, the techie who set up the masternode, and the person who put up the collateral).

Not sure of the logistics, but this may provide some opportunity to create a community that supports masternodes and profits while doing it.

Thoughts?

There are a lot of people who run services like that, probably a profitable business

MAsternodes are great source of passive income and i have two of them but the problem is they are mostly expensive to buy
especially if their ROI is great.
But honestly its worth investing in cheaper ones if they are good because of the future growth

I have the same problem, I have the number of coin to run masternode but I have problem in sincronizing, masternode is good idea because its make sure that there are people who hold the coin it help the coin price high. I also looking for another way to earn passive income and fortunately I found this https://dimensions.network/en/calculator it is ICO, till 24 feb.

The masternodes are new things for me and I am also a newcomer to this area.
However, I think for many coins it takes a lot of money to set up a masternode, and your return is uncertain because the market may collapse at any time, and even a lot of coins will disappear after some time.
Anyway, I'm still just waiting to see.

If you don't mind me asking, which ones do you have? I've set up Bitradio and Smartcash.

They can be worth the trouble, but it's like gambling because some start out with little to no info regarding anything.

Therefore, you could be effectively mining a worthless coin.

Currently investing in coin Masternode is the trend of the cryptocurrency market so most of the crypto in the market are carried out Masternode. So many bad projects still run Masternode to get the investment. I think it takes time to research a lot about each Masternode project before deciding to invest in it.

Masternodes provide network to facilitate running services such as anonymization for increased privacy of transactions, enabling instant transactions, enabling or increasing decentralization of governance of the system, enabling and facilitating decentralized budget systems, and enabling or facilitating immutable proposal and voting systems.

There is a topic on masternodes here:

https://bitcointalk.org/index.php?topic=2754075.0;all

there are sites that sell preconfigured masternodes for various coins
can host up to 4 nodes on one package
ask for support here https://discord.gg/2sFycC8 (https://discord.gg/2sFycC8)

For me the coins are not worth the trouble but to a lot of people they are worth the trouble since they are making money from the coins everyday. I just don't have the energy to make sure that the masternodes are running properly because is something small is not working out fine with the node, then you are not going to be able to get the rewards from the staking

Actually i don't think so. Masternodes are worth something back than. But for some time, i see that all coins with masternodes just loosing value and it doesn't worth anyhting to have one.