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Should You Invest with YieldNodes?

Could YieldNodes Be The Right Investment Platform For You?

By n1ce | DeFi Adventures | 17 Mar 2022


Hi everyone! 

In this article, I want to help you decide whether YieldNodes is the right investment platform for you. We will look at the different arguments and I try to give my perspective as someone who has invested with YieldNodes for almost 3 months now.

I have written other blogs on many aspects of YieldNodes, feel free to check them out on here.

Introduction

So what exactly is YieldNodes? In short: they rent servers and buy cryptocurrency to run so-called master nodes. These are needed to run Proof-of-Stake blockchains and get rewarded in transaction fees of users for their stake in the network. Notice that YieldNodes is not trading the cryptocurrency, but rather investing in the infrastructure. Still, they are reliant on the crypto market to do well overall. 

From the FAQ (see below for the link):

It has evolved from its beginnings as a pure masternoding project to a masternoding / staking hybrid that grew through the aquisition of coins / partnerships and became more akin to a start-up in the process - generating additional revenue from a lot of sub-projects and use cases that are being developed as we speak.

Everything generated is thrown into the pot, and disbursed every month on the basis of 85% for participants and 15% for Yieldnodes

So far, they managed to return 5-15% returns on your investment in more than 2 years.

My case

When is YieldNodes the right investment for you? Maybe let's start with my case. I actively invest in cryptocurrency since about a year. I have a small portion of my portfolio on YieldNodes as I feel with a lot of research and learning I might be able to catch trends and can beat YieldNodes returns. But I am still longing for stability in volatile times. I like that my investment is denominated in Euro and rewards are paid out each month.

Investing with YieldNodes is hands-free, and they even offer to autocompound your gains, instead of paying them out. I go into more detail in my blog on that.

I saw a lot of ups and downs in my crypto investments, your portfolio can take massive swings, especially when you invest in smaller coins. There is a safer bag of my portfolio in stable coins that earns 19.5% in Anchor Protocol on Terra but seeing the crazy possibilities for growth in crypto I feel like missing out if I don't try out YieldNodes.

When to consider YieldNodes

If you

  • want a hands-free investment
  • have little technical knowledge
  • don't want to research crypto markets & protocols yourself
  • want to beat inflation by a landslide (especially with compounding)
  • are looking for a riskier investment with more upside than stocks

you should consider giving YieldNodes a closer look. With the amazing upside of YieldNodes, even a smaller sum compounded can make a difference very quickly. I still consider this a long-term investment, but have a lot of confidence in the team.

When to stay away from YieldNodes

If on the other hand you

  • don't want to lock up your money for 6 months
  • want to trade/research crypto on your own
  • don't trust the YieldNodes team as you have no custody of your money

you should only invest a very small amount or stay away from the project completely. I know some of this sounds too good to be true and it might very well be. The founder of YieldNodes stated that he has about 25% of his own liquid funds invested.

I love this section from the risk assessment / FAQ above:

I'm in doubt - what should I do?

If you're in doubt as to whether you should join, don't do it. Ultimately, you need to be able to sleep at night and not be constantly worried about your participation. Alternatively, you can plant a seed - if 500 Euros is not going to break your bank then try for a while and see how it grows. That way, you participate and don't miss out, but if things go awry, the pain won't be so bad.

Let me know in the comments which profile describes you better or which arguments I might have missed!

That's all for today, have a great week!
n1ce

If you want to learn more, check out my other blogs on YieldNodes.

If you found this article helpful, please consider giving it a thumbs-up and use my link when signing-up with YieldNodes.

Subscribe to get my posts per Mail: https://n1ce.substack.com/

Follow me on Twitter: https://twitter.com/n1ce34007134


My set of the day:


Want to get started with YieldNodes?

  • Do your own research, in the end I am just a random guy on the internet!
  • Use my affiliate link (click here) to register, and I earn 5% of your deposit with no extra cost for you. Thanks in advance!
  • Only invest what you can afford to lose
  • Make a deposit via Bitcoin (or credit card) - check my full deposit guide (click here)
  • Let me know if you would like to know more, you can reach me on Twitter

 

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n1ce
n1ce

I love to teach you Decentralized Finance on Fantom and THORChain Follow me on twitter: https://twitter.com/n1ce34007134


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