- Smart Valor launches staking services for proof-of-stake and similar technology coins
- This service will offer Dash customers recurring rewards on their savings by contributing to a masternode
- Smart Valor joins a growing list of services offering Dash users a chance to participate in crypto staking
On October 31, 2019, Swiss cryptocurrency exchange Smart Valor launched staking services for proof-of-stake (PoS) model tokens, offering Dash clients regular rewards on their savings by contributing to a master node.
This has been made possible through a partnership with BitGo, which has enabled staking services for customers since October 3, 2019.
Smart Valor is now offering staking rewards to customers depositing on the platform, starting with Dash and native token VALOR.
Users can choose to stake their Dash, which will be put towards the running of a masternode, with customers receiving 85% of their portion of the masternode’s rewards.
With the launch of this staking services, Smart Valor encouraged its customers to move beyond the prevalent idea of crypto hodling to realize long-term gains. Instead, they are urging their clients to invest so as to receive more gains from cryptocurrencies frequently.
💰Dash customers can earn up to 6.9% annual yield. For VALOR, the exchanges native cryptocurrency. Staking is connected to contributing to the platforms development and will result in up to 15% annual yield !
— SMART VALOR (@smartvalorinc) October 30, 2019
Smart Valor integrated Dash into the platform on September 26, 2019, offering a provisional 10% cash-back bonus for new clients.
How It Works
Cryptos typically operate on a proof-of-work (PoW) system where specialized mining machines contribute hashing power to secure the network, with miners receiving the new coins generated by the network, as well as transaction fees.
This excludes regular token holders from participating in the platform’s rewards beyond the change in valuation of their tokens, while proof-of-stake (PoS) allows holders to have a role in securing the network through their investment and in receiving rewards for this effort.
Dash operates via PoW, but the PoS masternode network allows users with 1,000 units of Dash to be compensated for running a specialized node.
Notably, this model is more rigid and less accessible to regular clients for investment purposes than pure proof-of-stake. However, the partnerships with Smart Valor and similar services offer users alternatives to stake smaller token amounts and receive rewards without having to run a full masternode.
More Dash Users Projected to Participate in Crypto Staking
Smart Valor joins an ever-increasing list of services offering Dash users an opportunity to participate in crypto staking without worrying about running a robust network infrastructure as well.
Services such as CrowdNode, Cobo Wallet, Gentarium, and Snode permit customers with fewer than 1,000 Dash tokens to participate in running a masternode and receive a share of the rewards, normally 85 percent or more.
This has enabled hundreds of users to join similar staking services, increasing the decentralization of ownership over Dash’s masternode network.