DePIN Producing Supportive Income Models
Nodepay is the first significant DePIN to launch on Solana outside of Grass. Free browser extension mining has been active for several months, and Nodecoin (NC) is actively traded across multiple CEXs and DEXs. Like most altcoins, it has been hammered in recent months. Upon launching, NC traded North of $0.30. According to CoinGecko, its all-time high is $0.33.
Before going live on exchanges, NC traded above $0.50 on Whales Market, a premarket marketplace where investors can speculate on tokens and airdrop points before listing and allocation. Nodecoin has been between $0.05 and $0.06 recently and has a market cap valuation of $10 million. GRASS continues to trade at a healthy valuation and market cap. At the time of writing, GRASS was trading at $1.77 and had a market cap of $431 million.
Considering that Nodepay only has a market cap of $10 million, it’s well within the realm of reality to consider the fair value price anywhere between $0.30 and a dollar. Regarding viability analysis, a Nodecoin valuation of $0.30 to $0.50 is fair and acceptable. In fact, given a resurgence in the altcoin market, it should trade significantly higher.
As I have always said, being conservative rather than overly optimistic is better. So, when analyzing Nodepay’s viability, I do not consider NC’s current market valuation but its original listing valuation. Upon studying various DePIN token generation events, you will discover that most tokens fall prey to an initial sell-off. This is to be expected, as airdrop farmers will be offloading their allocations on the market.
A Better Perspective
As mentioned in earlier publications, I was late regarding the initial airdrop and am looking to analyze Nodepay’s viability with the distribution of the Season 3 airdrop. The final points are still being tallied and counted, and I expect allocations to be announced soon. My network is now relatively established, and daily earnings are consistent. This should help me gain a pretty good idea of how many tokens to expect when running at full capacity.
It is important to note that the initial airdrop is always the most significant, and allocations will likely dilute as the network grows and more nodes come online. Regardless of how Nodepay fares, it’s still an attractive opportunity as it is entirely passive, and earnings are acquired by running a browser extension.
Those looking to boost earnings can also download the mobile application and earn additional points. These points, however, must be claimed every eight hours, although claims can be made earlier. Once an eight-hour session has matured, earnings stagnate until they are declared and a new session is initiated. As mentioned, the desktop browser is entirely passive, and points are accrued provided the device is on and the application is running in the background.
Like GRASS, NC tokens can be staked, providing additional income. NC staking kicked off with an APR of 70% and recently dropped to 60%, which is still a desirable yield. Staking is another reason I love DePIN, as it creates a double whammy regarding the passive income being generated free of investment capital.
Final Thoughts
Nodepay has grown an impressive network in a relatively short amount of time. The initial airdrop-related sell-off and the broader market correction have driven the token valuation into oversold territory. A market cap valuation of $50 million to $100 million is a relatively conservative expectation in a healthy market.
Provided that allocations are within my expectations, NC earnings will be worth HODLing and staking to form part of a passive income portfolio of DePIN applications and networks. Furthermore, Nodepay could easily surpass a $100 million market cap in the event of an altcoin season. Time will tell. For now, I accumulate. See you next time!
Disclaimer
First of all, I am not a financial advisor. All information provided on this website is strictly my own opinion and not financial advice. I do make use of affiliate links. Purchasing or interacting with any third-party company could result in me receiving a commission. In some instances, utilizing an affiliate link can also result in a bonus or discount.
This article was first published on Sapphire Crypto.