In this series we will analyse different types of cryptocurrencies and their staking/dividend potentials. All posts in this blog will have a similar setup. Every post will begin with this introduction, so feel free to skip ahead if you have already read this. Second, we will describe the cryptocurrency in a brief overview. This will be done by discussing the essential idea behind the coin and the highs, and lows in the past year and all time. Afterwards an analysis on the dividend distribution will be done which will be followed by several examples. Lastly a conclusion will be given to the cryptocurrency combined with my opinion on whether or not you should hold this coin. From this point forward, all rewards will be addressed as dividends, regardless of their origins.
N.B. This blogpost references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice. Always do your own research.
Elrond
Elrond is a proof-of-stake blockchain designed for communication and asset-transferring. It aims to achieve an extremely high amount of transactions per second without sacrificing security. This network is secured via proof-of-stake and so called 'Adaptive Sharding', which combines different sharding methods to drastically increase network speed and performance. Elrond also has a very interesting partnership with Samsung. Samsung will integrate Elrond into their own blockchain wallet.
The all time high of ERD was $0,00888163 and the all time low was $0,00057344. Currently 1 ERD is worth $0,006204.
Dividend
Dividends on the Elrond network are generated via staking. You can either stake by being a delegator or a validator. With the revamped network, the rewards are significantly increased to an estimated APR of 29% for validators and 36% for delegators. These are serious numbers and very interesting to try out.
Let's take a look at some calculations examples: If one holds $50 dollar worth of ERD, one can expect a yearly profit of roughly $14.5. Or if you hold 25k ERD, you can expect over 7.25k ERD on a yearly basis. These numbers are even higher if you include the effect of compounding.
Conclusion
To conclude, the estimated APR of ERD is insane. However, the coin is only 1 year old and the new network will launch this month. Therefore there is a significant risk factor. If you can spare the money, it might be interesting to try it out. Otherwise, it might be better to find a safer investment.
Curious to find out which coins are safer? Stay tuned for the next post or read my previous posts linked below.
Please consider tipping and liking. Comment below if you want me to cover a coin of your choice. Also be sure to read my other posts of this series or my personal blog Stories by Marcus
What am I staking?
Since today I started staking FTM. I am planning to stake $10-$20 on several coins before I make a final choice. My next candidates are AWC and ERD. Be sure to read my FTM and article to see why I am staking FTM. Additionally, check out my AWC article to find out how you can receive 15 AWC($10) for free.
Be sure to follow this series to get updates on my staking progress. I will always share my staking addresses as proof of staking.
FTM(opera chain): 0xb3e430c9E5058a0C9Dd26C05a4fD957190aCbd91
FTM(BEP2 chain): bnb18wjtrc7qkjte97c6eed369j5rgm6cdnu2s02uv
FTM(ERC20 chain): 0x983308feac461B7f124cAA34805d4718aa7888D2
