Blockchain Masternodes — What Are They & How Can You Invest In Them Without Special Hardware

Carl Rivera
3 min readFeb 16, 2022


Blockchain technology is complicated, and even many long-term investors don’t really understand the nuts and bolts of how it all works.

I’m not going to give you a long drawn-out explanation with a bunch of technical details — because honestly, it doesn’t really make much difference if your goal is to invest.

What is important is understanding that masternodes are a bit of the blockchain that you can invest in, that yields high returns.

So why isn’t everyone investing in masternodes if they’re so great?

Because until recently, it required a huge initial investment and specialized hardware — but now you can rent a masternode server without a big startup cost, and no hardware at all.

Let’s back up a step though, and very briefly touch on the basics.

What Is A Masternode?

Masternodes are part of the infrastructure of many popular cryptocurrencies — including Bitcoin, Dash, and Ethereum.

If you’re not invested in one or running a cryptocurrency project behind the scenes, you might never hear about them, but they fill an important role on the blockchain.

Regular nodes are used to add new blocks of transactions to the blockchain.

Masternodes don’t add new blocks, but they verify every new block that’s added. Tthey also help to govern the software that runs the blockchain and keeps everything transparent.

Operating a masternode isn’t easy though — it requires a significant investment, and in return, masternode operators are well rewarded with guaranteed crypto, often a percentage of their initial investment.

Photo by imgix on Unsplash

Renting A Masternode Server

While the initial investment and special hardware used to make it impossible for all but the wealthiest and most dedicated investors to benefit from operating a masternode, that’s all changed.

New server rental projects allow just about anyone to invest in a masternode by renting the servers they run on.

The rental service takes care of running the special hardware, and also deals with all the technical settings that can easily lead to big losses if not managed properly.

In return, the rental service takes a cut of the profits, so if you don’t make money, neither do they.

Different services may take different amounts, but you can find a server rental for as low as 15% of the profit, leaving 85% to yourself.

Does It Actually Work?

That’s the big question, what are your returns?

Obviously, everyone’s experience will be different.

You can find some very comprehensive reviews online, from investors who have documented their journey with renting masternodes for years.

The right rental service will guarantee you a good deal though — one in particular offers your rental payments and any accrued profits back if the yield drops below 5% for 3 consecutive months.

Losing money isn’t even on the table — you can get a full return if the profit isn’t high enough.

That’s the beauty of masternodes — but with rental services becoming more popular, the rewards systems might change in the new few years.

It’s time to get your part of a good thing before it’s gone!



Carl Rivera

“Everything you don’t know is something you can learn.”


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