Most cryptocurrencies rely on vast amounts of computing power to find a valid solution and submit a proof - of - work claim in order to obtain the reward. Examples of such currencies include Bitcoin, Litecoin, Ethereum (currently), Dogecoin, and Namecoin. As these types of currencies became more popular, the amount of energy needed to run mining hardware increases. The barrier of entry to competing on these currencies is twofold; the costs of hardware and the cost of electricity.
Recently, however, more cryptocurrencies are migrating to, or launching as, proof - of - stake. Traditionally, proof-of - stake pays out block rewards based on a set annual percentage rate (APR) in the parameters defined by the developers of the coin. More recent projects have opted to reward a static amount per block. Since most wallets don’t support offline staking, it is critical that your wallet remain online with stable and reliable server hosting. Currencies using PoS include NXT, peercoin, PIVX and soon Ethereum.
Proof-of-stake currencies and masternodes both reward primarily on the value of the wallet. The wallets help maintain the integrity of the entire currency while masternodes perform more computational - critical roles. Getting a noticeable return on vestments (ROI) in proof-of-stake currencies requires substantial initial investment. That investment is locked into a single currency. Many of these currencies do not support offline staking, so the wallet would be required to have almost continuous uptime for it to remain competitive enough to receive block rewards.
Managing all of these currencies and keeping track of trading, buying, and selling is a daunting task for people that cannot do this full-time. MASS Cloud Ltd. bridges the gap between ease of use and currency fluidity. Our platform performs the trades, buys and sells on select coins, and automatically converts block rewards to Ethereum when paid out.