Passive Income with Cobo Wallet: How to stake COSMOS (ATOM)
Staking removes the need for purchasing expensive hardware used in crypto-mining. This system offers a guaranteed passive return unlike the Proof of Work system where coins are randomly rewarded to only high-level computing systems. If you were put off by the technicality of crypto investment, rest assure that this article will show you exactly how even amateurs in cryptocurrency can generate additional value with COSMOS (ATOM) via Cobo Wallet’s staking feature.
*Skip to the bottom if you already knew what COSMOS (ATOM) is about.
About Cosmos (ATOM)
If the future will be built on blockchains, then the future will need a way for those blockchains to communicate with each other. Enter Cosmos.
Designed to be an ecosystem rather than one specific tool, Cosmos has been described as the “Internet of Blockchains.” The project, which is powered by a Proof-of-Stake consensus protocol named Tendermint BFT, allows independent blockchains to connect and communicate with each other.
Cosmos’ architecture consists of several independent blockchains called “Zones” attached to a central blockchain called “Hub”. Additionally, each zone would have it’s own set of validators.
Consensus Mechanism
Tendermint BFT is a new generation of Byzantine Fault Tolerance Proof-of-Stake (PoS). For a crash course of chain-based versus BFT-based PoS, see: Casper vs. Tendermint.
By using and improving upon proven BFT algorithms developed at MIT in 1988, the Tendermint team was the first to conceptually demonstrate a proof-of-stake cryptocurrency that addresses the nothing-at-stake problem suffered by first-generation proof-of-stake cryptocurrencies such as NXT and BitShares1.0.
How do I earn PASSIVE income?
You can either choose to be a Validator or a Delegator. Basically, what this means is to be Validator, you need to set up a validating node, which requires extensive technical knowledge and high costs in setting up.
In contrast, if you are a Delegator, all you have to do is input the amount of ATOM you will like to stake with a supporting wallet. The risks involved includes slashing of stakes of 5% for double spending and 0.01% for node unavailability.
That’s why there is a strong need for a trust-worthy Validator for you to stake your ATOM at! Bring on Cobo Wallet, the first leading wallet company in the world to offer Staking and masternode rewards on user holdings, making it easy for users to grow their digital assets effortlessly.
If you haven’t downloaded Cobo Wallet, you can find us on all major app stores (e.g., Play Store, App Store) or download directly from our website.
You can start earning ATOM rewards with Cobo Wallet through staking with as little as 1 ATOM, with rewards paid out every 60 days. The rewards are proportional to how much you put in. The more you deposit, the higher your reward. Users can expect to earn a handsome interest rate of approximately 8% per year just by staking with Cobo Wallet.
How?
- Store your ATOM into Cobo Cloud Wallet.
- Tap on Finance tab and choose the amount of ATOM you want to stake.
- That’s it! You may withdraw anytime, but do note that rewards for the current period will be lost.
How does Cobo charge?
Cobo takes 10% of the ATOM rewards. Holding your assets in Cobo Wallet will always be free.
About Cobo
Cobo is a company that is firmly committed to supporting blockchain development and making cryptocurrencies easy to own and use. We emphasize long-term security, reliability, and convenience. Our key products and services reflect that vision. Altogether, Cobo offers a secure mobile wallet (Cobo Wallet), high-end cold storage wallet for advanced users (Cobo Vault), and custodial services for institutional investors (Cobo Custody).
For more information about Cobo, visit https://cobo.com
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