Everyone’s familiar with how dividend stocks work. A business rewards shareholders with a share of the profits over a predetermined time frame. Investors are drawn to dividend stocks for the consistency and the reliable paycheck that comes along with them. But did you know that some digital currencies apply the same principles?
Many are unaware that there are “dividend” rewards to be had in the cryptosphere, where coin holders are rewarded with a share of the profit of the digital currency project. Considering the downturn in high-growth assets like digital currencies over the past few months now is a good time to investigate digital currencies that reward investors with regular dividend payouts.
Today we’re highlighting a promising digital currency project that rewards token holders with a sizable regular payout.
There are more than 10,000 cryptocurrency systems running on blockchain, and that number is increasing as cryptos gain popularity. Cosmos (ATOM) aims to become an “Internet of blockchains, a network of blockchains able to communicate with each other in a decentralized way” by facilitating the exchange of assets between different blockchains. So far, nearly 100 different companies are using Cosmos to build their own projects. For example, Binance, the world’s biggest centralized exchange, created their blockchain, Binance Chain, using Cosmos’ technology.
Participants are rewarded with passive income by staking ATOM or committing holdings to support the blockchain network and allowing the blockchain to put those holdings to work. Reaping ATOM staking rewards is often as simple as opting-in on the feature in your trading platform account settings. Cosmos’ staking rewards are high at around 8%, but considering its expanding ecosystem, rewards could become even more substantial.
The most significant risk with staking cryptos is that the price will decrease. For example, if you earn 10% in APY from staking an asset, but it loses 30% of its value over the course of the year, you’re still losing money. Another thing to note, staked crypto needs to be unstaked before you can trade it again. To avoid any unwelcome surprises, it’s important to find out how long the unstaking process takes within your platform and if there’s a minimum lockup period.
Where to invest $1,000 right now...
Before you consider buying Cosmos, you'll want to see this.
Investing legend, Keith Kohl just revealed his #1 stock for 2022...
And it's not Cosmos.
Jeff Bezos, Peter Thiel, and the Rockefellers are betting a colossal nine figures on this tiny company that trades publicly for $5.
Keith say’s he thinks investors will be able to turn a small $50 stake into $150,000.
Find that to be extraordinary?
Click here to watch his presentation, and decide for yourself...
But you have to act now, because a catalyst coming in a few weeks is set to take this company mainstream... And by then, it could be too late.
Click here to find out the name and ticker of Keith's #1 pick...
