Giveaway - First RESTEEM for anyone with 1000+ followers gets 1 FREE Masternode Setup
Part 1 - A new way to generate passive income
Part 2 - What is a Masternode?
Part 3 - Are you an ideal Masternode operator?
Part 4 - Finding the Perfect Masternode Coin
Part 5 - How to Buy Masternode Coins
Part 6 - Masternode Setup 101
The first part of my collection of posts focusing on cryptocurrency Masternodes will have little to do with Masternodes themselves. Rather my focus will be on passive income and why it's so fundamental to living the Opt-out Life.
The Opt-out lifestyle is a relatively new term that I came across to describe a financially independent lifestyle where you make money without a traditional “job” or a traditional “boss”... and short a traditional “paycheck”. I chose this lifestyle along with my wife and 3 kids when I started my business in the cryptocurrency industry. To do so, I had to leave a career of 10 years in the IT Consulting arena where I was a Senior Director for a San Francisco based tech company. I had a team of 30 Consultants delivering millions of dollars in revenue annually. This is to say that going from a safe middle management IT job to being completely on my own and entering a volatile cryptocurrency industry, was a HUGE RISK. I believe the risk was worth every Satoshi... plus some.
Right from the start, I wanted the majority of my income in the new business to come from passive sources. Although I had come from a successful career as a consultant, I wanted to ensure that my time was not the only asset that was generating income. For most workers, your time is your only asset generating income. Since your available work hours is constant, your ability to massively grow its power to generate income is limited.
Therefore, I chose to use cryptocurrency mining as the income source. Mining in the crypto world is the use of power-hungry computers to validate transactions on a decentralized blockchain network. This is a fundamental process for most cryptocurrencies as its the only way to maintain a ledger of all transaction and verify that no one is cheating the system in the process. Mining takes a massive amount of electricity - aka $$$. Converts the electricity to heat - so more $$$ to cool the space. In return, you are rewarded with cryptocurrency.
I put in a massive effort (time and real money) to find a commercial warehouse, configure the power source, buy the computer hardware, and set it up. But now, the mining farm is doing all the work. My time is minimal and I get Bitcoin, Ethereum, Monero, etc. deposited into my wallet every day. If I drop dead tomorrow, the money keeps flowing. Try explaining that concept to your boss… see if they’re going to pay you when you stop showing up.
First few racks of GPUs at the mining farm
Having this passive income is a huge benefit to my well being. I no longer have to work on the projects that are important to my employer… I get to work on the projects that are important to ME (and my family #DadIsAlwaysHome).
But mining is not the only way to earn passive income in the cryptocurrency industry. Masternodes are a new way to achieve rewards of mining without all the headache and power consumption of mining. In Part 2 of this series, I will describe EXACTLY what a Masternode is and how they work to generate passive income for you.