Connect with us

Business

Solana: Easy Ways To Earn Passive Income

Published

on

Solana: Easy Ways To Earn Passive Income

(CTN News) – Make your Solana work harder for you to gain higher returns. This year, cryptocurrency investors are enduring a long and cold crypto winter.

Staking your crypto holdings or committing them to securing the network is one way to generate passive income in a challenging market.

Among the many reasons why Solana (SOL -2.13%) is appealing to own are its large user base, low transaction fees, high throughput, and fast transaction times. As a result, Bank of America analysts dubbed it “the Visa of digital assets.”

There is no minimum investment or technical expertise required to stake to earn 4% to 5.5% on your holdings, which adds to its appeal.

Get the most out of your Solana

As a proof-of-stake asset, Solana rewards its users for validating transactions and securing the network.

As opposed to Ethereum (ETH -1.86%), where you must lock up at least 32 ether tokens to operate a validator node, there is no minimum requirement to run a validator node.

You will receive more rewards if you stake more Solana, and voting on validating transactions can cost up to 1.1 tokens a day.

The setup of your own node also requires some technical knowledge and specific hardware requirements. It’s now fairly straightforward to earn rewards on your Solana holdings thanks to several widely used and user-friendly services.

Invest in passive income streams

A main risk of staking Solana is that some of your tokens can be taken away if your node misbehaves or acts maliciously. This risk can be reduced by investing through a reputable service.

With these services, you can earn passive income on your investment and boost your returns. These services offer yields between 4% and 5.5%, which are competitive with Treasury notes and dividend stocks.

Stake is relatively seamless and can increase and diversify users’ passive income streams.

SEE ALSO:

(NYSE:R) Ryder System Reports Quarterly Earnings

Continue Reading