How to maximize passive income within the Nebulas ecosystem
The Nebulas blockchain is a complex yet rewarding ecosystem but may be difficult to understand how to maximize incentives. Today, we are going to take a dive into economics and explore simple methods to increase the earnings of holders via passive and active methods.
The Nebulas blockchain native asset is NAS and is often described as being a similar asset as Ethereum since both assets have and intrinsic value as well as being required to pay for transactions (gas/tx fees).
Does Nebulas offer staking?
Yes! Nebulas does have a unique method of staking called dStaking (decentralized staking).
By being a NAS holder, all are welcome and encouraged to dStake their NAS in return to receive NAX which can be considered votes within the Nebulas ecosystem. Unlike conventional staking where you give your assets to a pool, centralized entity or a smart contract, Nebulas removes all risk by never taking NAS from your address.
The act of dStaking essentially is similar to signing a non-binding agreement in which you agree to hold NAS in your address and in return you receive the NAX asset which is used throughout the ecosystem.
At any time, the agreement can be canceled and you will no longer receive NAX or even better, you can update your dStake such as increasing how much NAS you agree to dStake resulting in the receiving of even more NAX.
NAX is distributed to those who have an active dStake for each and every cycle which spans about 25 hours. Participants must have an active dStake for a full cycle before receiving any NAX (your first reward may take up to nearly 50 hours depending on time of dStaking). To incentivize long-term holders, the longer you dStake, the more NAX you will receive every cycle.
NAX can be dStaked via the amazing NAS nano Pro mobile app or via the Nebulas Chrome Extension Walet via the link at nextdao.io. Both options are quick and easy! Learn more about Nebulas supported wallets at https://nebulas.io/wallets.html.
There is even more to learn about NAX and for those interested, take a look at the NAX whitepaper at https://nextdao.io/static/docs/nax_whitepaper_en.pdf
Sweet I got NAX! Now what do I do?
There are a couple of options available for NAX holders:
- The NAX asset can either be traded on multiple centralized exchanges for other assets. However, as of OCT. 2020, Nebulas is nearing the completion of a DEX which will support NAX/NAS swaps and much more.
- You can delegate your NAX “votes” to one of the many community operated nodes and as a reward many nodes distribute the NAS they have generated to their NAX delegators/voters proportionally.
Once you receive NAS from the nodes, you can of course either trade the NAS on an exchange, dStake it to earn even more NAX and continue the cycle!
To see a list of nodes actively giving rewards, click here (updated by the node operators — verify before delegating) or simply visit node.nebulas.io.
How about operating my own node?
For those that can meet the requirements for node operations, this may be a great opportunity to you. The requirements are as follows:
- 20,000 NAS to hold as collateral.
- 100,000 NAX (minimum) delegated to your node however this is not currently enough to reach a top 51 spot which is required to be considered a “Candidate Node” so expect to have much more NAX ready. Everyone has their own preference as to the minimum node position is acceptable which is primarily based on the delegated NAX/vote quantity to your node. To give you a better idea of how much NAX you will need, take a look at node.nebulas.io and see how much NAX each node has delegated to it, it’s annual ROI and more. Remember, many nodes rely on NAX/vote delegation from the community in return for NAS. If you are willing to give a portion of your NAS to delegators, this could increase your node’s position and the amount of NAX/votes it receives and how often the node is selected as a “Consensus Node.”
- A dedicated server (or cloud hosting) meeting the minimum requirements — for more details about the hardware specifics, visit https://wiki.nebulas.io/en/latest/node-strategy/appendix.html#appendix-a-recommended-hardware-configuration-for-node-operation
- Technical ability to operate a node including managing the server, installing the node software, keeping the node live and stable, securing the node, etc… Details for compiling go-nebulas can be found at https://wiki.nebulas.io/en/latest/go-nebulas/tutorials/01-installation.html.
- Once ready, visit https://node.nebulas.io/apply/ready to join the node program.
The amount of incentive generated per node varies greatly due to numerous factors. Be sure to look at the revenue of other nodes to get an idea of your potential incentives at node.nebulas.io.
In addition to block generation rewards, the top 51 nodes are selected as governance nodes and have the honor of voting for proposals and projects listed on go.nebulas.io thereby having a direct connection to the future of Nebulas! This honor also comes with an additional incentive of approximately 800 NAS per cycle (cycles last about every 4 weeks).
Get Started Today!
Now that you have a better understanding of the Nebulas ecosystem and are really excited to participate, let’s go over how to get started!
- First, you need to have NAS and/or NAX to participate. As of this writing, both assets can be obtained via centralized exchanges. In the near future, NAS and NAX will be cross-chain compatible with Ethereum and will be openly traded on multiple decentralized exchanges. Until then, check out the following link for a list of exchanges supporting NAS and NAX: https://nebulas.io/economy.html
- NAS can be dStaked via Nebulas’ wallet “NAS nano Pro” as well as the Nebulas Chrome Extension Wallet.
- Learn more about each wallet at: https://nebulas.io/wallets.html
- Step-by-step guide available for each option at: https://medium.com/nebulasio/tutorial-how-to-obtain-nax-via-dstaking-bc5bbe1aee2
- Multiple NAX/vote delegation guide has been created by our awesome community:
- Guide created by StackOfStake: https://medium.com/the-scriv-network/nax-delegation-guide-1584082615ab
- Guide created by Everstake: https://medium.com/everstake/nebulas-staking-guide-via-nas-nano-pro-ac69357e299d
- For those wanting to operate a node, start learning more about it now via the Nebulas Wiki and PoD whitepaper.
If you have any questions, please ask via the Nebulas Telegram channel or Discord server today (links below)!
Thank you to everyone in the community that makes Nebulas a unique, forward thinking blockchain and we look forward to seeing more of the community participating in all aspects of the Nebulas ecosystem.
Learn more about Nebulas:
Official website: Nebulas.io
Node Platform: node.nebulas.io
Smart asset platform nextDAO: nextDAO.io
Discord server: https://discord.gg/dsxGkBk
Telegram Node Operating Group: t.me/nasnode
Community Forum: community.nebulas.io