Masternode Pools: What They Are And Who They’re For

Masternode Pools: What They Are And Who They’re For

Whenever we mention the word “masternode” while talking about the WFMMC project, 8 times out of 10, a person we’re talking to would smile, nod his head and say: “Oh, so you want to build a masternode pool?”

No, we are not building a masternode pool. We aim to build a masternode marketplace. But, let’s talk about masternode pools for a moment.

What’s a Shared Masternode Pool?

As you may already know masternodes are little 24/7 profit centers that process blockchain transactions and get rewarded for doing the job.

What if an investor doesn’t have a required number of coins to launch a masternode but only has ⅓ of the required coins? Or, an investor doesn’t even want to know how to set up, launch and maintain a masternode.

Example: 10,000 ABC coins needed to launch an ABC masternode, but the investor only has 4,000 coins and no desire whatsoever to even try to comprehend how to launch a masternode.

That’s where Shared Masternode Pools come in.

Although they’re known by different names — “Shared Masternode Pools” or “Shared Masternodes” or “Masternode Shares” — they all have the same theme in common:

It’s a 3rd party service called — pool operators — that pools together the funds from different investors, sets up a masternode, maintains some sort of a database or spreadsheet with records of who gets paid how much and — finally — to distribute profits (rewards) to shareholders.

Shared Masternode Pool usually charges 1.5% - 6% fee for service. Newer pools may offer lower fee for service in a desperate attempt to attract new clients. And, older pools tend to charge a bit more because they’ve been around and have no plans of changing that.

Benefits of Masternode Pools

• Zero technical or setup knowledge needed — set up, monitoring and maintenance is done for you
• The initial investment could be as low as 1/10 of the amount of coins needed to start a masternode
• Shares of masternodes could be sold and bought in a New-York-minute at the pool’s Discord or Telegram chat.
• Receive regular reward payments, e-mail and database updates.

What investors should be aware of

Although people are good and trustworthy, but, unfortunately, “bad apples” exist too.

There is NO guarantee that the people involved in the masternode pool will actually deliver.

Two most common ways a masternode investor could get screwed out of his money:

• Pool operators could completely disappear;
• Pool operator may sell pool coins at the exchange at a better price before rewards are distributed to the pool investors;

Conclusions

Masternode pools could be great as passive income sources. However, every masternode investor must do his own research.

WFMMC’s team is excited to build a masternode marketplace. WFMMC is one of rare companies engaged in developing a product that will benefit the blockchain infrastructure for POS crypto currencies. The team is very optimistic about the upcoming ICO. Please check our website http://wfmmc.online