Crypto and blockchain space has grown exponentially in the last decade. Evolution has also brought numerous opportunities for investments and generating passive income. Bitcoin mining was among the first such offerings; miners even received 50 BTC in mining rewards. However, the lucrative rewards crowded the space, resulting in decreased profitability. In contrast, other methods, such as running master nodes, are popular since they require less technical knowledge and offer up to 18% annual percentage yield (APY) returns.
Mining cryptocurrency has become tedious, energy and capital-intensive, and the outcome is peanuts. Global Bitcoin network difficulty is over 73 terahash, around the highest point since the inception of the blockchain. The difficulty in layperson's terms is making it more challenging to mine $BTC, making computational solving more stringent.
With the number of nodes joining the Bitcoin network for mining, the difficulty adjusts and increases to maintain the average block time of 10 minutes. It secures the network and decentralization, but the mining process becomes expensive since more computational resources and energy are spent. Bitcoin developer Luke Dash Jr estimated there would be over 83,000 active nodes on the network by 2021.
The chart above shows the current Bitcoin mining profitability of $0.816/day for one terahash/second. Terahash is a trillion hash ratemputational power—required to mine Bitcoin. In 2023, the cost of generating 1THash was around $20. For every $20 invested in Bitcoin mining, it generates profits of $0.8.
Compared to energy consumption and other expenses, the profitability seems meager. Hence, it becomes unaffordable for miners and retail investors to generate even a decent amount of income through mining.
Cryptocurrency mining, once profitable, faced declining returns due to intense competition. Many sought alternative avenues for passive income, but finding more straightforward options proved challenging. Running masternodes on Morpheus. Network emerges as a viable alternative, offering ease and potential profits of up to 18%, making it an attractive choice for generating passive income.
The returns in cryptocurrency mining are visibly decreasing, and the miners have been looking for options to diversify their investments since Morpheus.The network provides an APR of 18%, which makes it a far better option against mining. In addition, the constant volatility lingers over cryptocurrencies that affect the earnings of crypto miners. Running nodes is a relatively cheaper option against mining that generates stable returns.
Morpheus. Network ($MNW) project aims to resolve the supply chain and logistics issues in global trade. Masternodes are among several other essential factors of the project. These masternodes are generally meant to eliminate the extra burden from the nodes that carry the transactions. It primarily helps in smooth transactions. Besides, it turns out that it can also offer an impressive opportunity to generate passive income better than crypto mining.
Morpheus. Network emerges as a standout in the blockchain-based supply chain solutions arena, boasting distinctive features that set it apart. Its strategic collaborations with tech giants Google and Microsoft underscore its endorsement by significant players in the industry. The extensive clientele, including Gulftainer, Coca-Cola, and FCL, attests to Morpheus: network's widespread adoption and trusted partnerships within the supply chain sector.
What differentiates the project is its longstanding leadership in driving blockchain adoption and solving real-world problems in the supply chain domain. Led by a UN supply chain expert, the proficient team ensures excellence in their offerings with Morpheus. The network's supply chain product is listed on SAP, enhancing its credibility.
Moreover, an appealing 18% Annual Percentage Yield (APY) on nodes is a compelling incentive for investors to engage in the Morpheus—network ecosystem.
Many other projects are involved in making changes through blockchain-based solutions.
Flux network's native token, $FLUX, is utilized for purchasing resources, collateralizing nodes, and powering transactions on FluxOS. Furthermore, it acts as a reward for miners and FluxNode operators contributing computational resources. Flux network node operators can earn up to 7.5% APY. Dash ($DASH) protocol also runs Masternodes, but the rewards here are just 7%.
While crypto mining boasts the potential for substantial rewards, its high entry barrier and operational demands may deter some investors. Masternodes, with a lower entry barrier and reduced day-to-day involvement, provide an attractive option for those seeking a more straightforward and potentially steadier passive income stream. One needs staking 1,800 $MNW tokens to run a masternode and generate the promised 18% APY.
When choosing between mining and masternodes, investors face a balancing act, considering technical expertise, financial resources, and risk tolerance. The cryptocurrency landscape offers diverse opportunities, allowing individuals to tailor their approach and achieve their unique financial goals.
