#Tips&Tutorials

All You Need to Know About Yield Nodes

Updated on 16 September, 2022 6:38 AM
1 min read

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    Introduction

    YieldNodes is an investment service that creates passive income, by setting up and managing MasterNodes for Proof-of-Stake blockchains. It is a fairly complex construct, however, in essence, YieldNotes deploys its fully controlled server leasing service for masternodes, on which it splits profit at a rate of 85% with the investors.
    Although the model is "revenue," the average monthly return is roughly around 11%. YieldNodes make money primarily through "masternoding," which involves blockchain validation, crypto computations, and storage. You can participate and generate passive money without having any prior knowledge about masternodes.

    Nodes and masternodes are components of a certain cryptocurrency (coin or token) network, to put it succinctly. They are programs or computers that carry out a variety of tasks; some of them store complete copies of the ledger. You often receive incentives in the form of the masternode's coin or token if you run a node or masternode. 

    YieldNodes Revenue Model

    A maximum of 15% of the revenue generated by their service is retained by Yieldnodes, with the remaining 85% going to the users. They make money primarily from masternoding activities, as well as from their complete, constantly expanding ecosystem, which includes exchange activities, initiatives they manage and foster themselves, such as SAPP (Sapphire), and third-party coins.

    Keep in mind that all yield and return figures are stated after the 15% is deducted. In other words, the percentage returns you see reflect the percentages that were paid to participants (for instance, the usual around 11%).

    Depending on their profitability and success, the monthly return varies, but over the past 18 months, has averaged 11% every month.

    How to Get Started With YieldNodes?

    Step 1: Open a new account

    Visit the registration page and fill out your information; it's that simple.

    You can complete the KYC process right away if you'd like, but solely to withdraw or auto-compound (you do not need to do it immediately).

    Step 2: Deposit.

    YieldNodes have made depositing and withdrawing considerably simpler over the last few years. In addition to using a debit card or bank transfer through one of their third-party partners, you can deposit by sending BTC or USDT to an address. Keep in mind that there is a 500 EURO equivalent minimum deposit and a 6-month deposit lock-in period. 

    Step 3: Earn and then either withdraw, compound, or both.

    You must now wait 7 days for your deposited cash to be master-noded (i.e., tokens to be bought, servers to be set up, etc.), after which you can begin earning.

    On the Withdrawals page's "Automatic Compounding" slider, you can set auto-compounding if you so choose. Simply submit your request by the 15th to withdraw, and you will have your money by the 8th of the following month (withdraw in BTC, SAPP or USDT).

    Key Competitors of YieldNodes

    The two major competitors of YielNodes are StrongBlock and VaporNodes. Here's a quick description of the two

    StrongBlock

    We transition from masternodes to normal nodes using StrongBlock. By providing incentives for people to host nodes, which are required to run blockchain projects like Ethereum, Polygon, etcThe StrongBlock community strives to inspire and support blockchain initiatives. StrongBlock is distinct from YieldNodes since it is completely decentralised, potentially more profitable, and even more safe because it uses wallets.

    VaporNodes

    VaporNodes lets you configure a node as a service, which is quite similar to StrongBlock. You make a down payment of $1,000 (1,000 VaporNodes), or at least 50 USD per node.

    Conclusion

    YieldNodes uses your capital to rent and build up masternodes without any bother on your part, offering an excellent constant return of 5–15% each month! You are renting a server and offering a service. Returns may vary but have proven pretty consistent over the last year.

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