Hey guys,
I ve got a lot of experience with PoS, been involved into staking for almost a year. I strongly believe as soon as KnC produces these solar powered 16nm miners, PoW mining diff s gonna skyrocket so much and the only people who ll be able to continue mining are whales and ASIC producers. This means PoS and staking will take the role of mining for ordinary home miners. All in all, I think getting into staking is a smart thing to do.
Regarding coin selection, one needs to be very careful when choosing which coins to stake
A few things to consider:
1 ) How old is the coin and how long is their rollout plan? I personally choose coins at least 1 year old, possibly 2 years. If the coins s been around that long, this means there is a devoted dev team behind it and not only people who want to cash out and run. Coin rollout plan is related to how long in the future they plan to introduce new stuff and develop the coin. If there is a long term plan posted by the dev team on their pages, this is something to consider.
2) Premine. If there is premine, avoid the coin. These coins are generally set up by their dev teams to push the price up and then unload their premined coins and run.
3) Staking rate. I choose coins with up to 60-80% stake rate per year max. Those with 500-1000%, well this simply is not sustainable. Again, I m searching for coins I can keep holding and profiting from them in 2-5 years time.
4) Inflation control and the total number of coins available. This is very important. A good PoS coins MUST have a great way to keep supply and the number of coins under control. Coins with unlimited supply or coins with max supply of 1000000000000+ are usually not a good choice. Coins with medium quantity and high market capitalization are the best option.
5) Market capitalization, that is the number of coins available x the price. This shows the real stength of the coin, especially if this market cap s been rising over time. This means the coin s becoming more and more expensive, under condition the quantity s under control.
6) Liquidity. There s no point of holding a coin which you cannot sell. Generally, anything around 2BTC per day is satisfactory. The more the better.
7) Home page. If the home page is non existent or very amateurish, this might mean the coin is usually one man team or lacking a sufficient financial support to develop a professional home page. Who wants to invest into a venture without a home page containing the most important info. Transparency is very important.
My favorite coins, based on all these recommendations is DMD Diamond coin.
Here is the page if someone s interested:
https://bit.diamonds/Here is also Bittrex page:
https://bittrex.com/Market/Index?MarketName=BTC-DMDThe quanitity s only 4.38 mill, the price went up almost 100% compared to two months ago and the dev team s very active and honest.
There is a nice cloud mining promotion on their website and annual PoS interest rate is 25%. This means if you hold and stake 100 coins, u get to another 25 per year as interest.
Here is the link:
https://bit.diamonds/community/index.php/topic,113.0.htmlAgain, I m a bit biased towards DMD Diamond since I hold it for a long time and it has never disappointed me. There are several other interesting coins which satisfy most of criteria I ve posted here and I do consider differentiation important.
Update: I have also invested into Flycoin recently. Fly is a coin with a lot of innovations, if you re into PoS, I suggest to take a look, especially anti-dump and Superfly options.
Here is the main thread:
https://bitcointalk.org/index.php?topic=1316737.0I hope this helps. Do not hesitate to contact me in case anyone s got more questions on the topic.
