Re: [ANN][DASH] Dash (dash.org) | First Self-Funding Self-Governing Crypto Currency
question to the community,
if you have ~1000 dash and a 6 month time span
do you think can be more profitable to setup a masternode or lend all the coins (for example on poloniex)?
if you have ~1000 dash and a 6 month time span
do you think can be more profitable to setup a masternode or lend all the coins (for example on poloniex)?
I am not sure about the profitability comparison so maybe others could help you with that. The main difference for me is that in order to lend the coins for 6 months you have to send your private keys to the exchange and they will hold them during those 6 months so you have no control of the money and are running the risk of the exchanged being hacked, closed down, etc.
In the case of running a node you would be in control of your private keys the whole time, soon you will even be able to keep them in a hardware wallet (Trezor or Keepkey) and collect masternode payments during that period.
So consider that risk factor too, lending makes more sense if you dont have the full 1000 DASH for the masternode, if you do then the return from lending should be a lot higher than the node returns to justify the extra risk. In my case I would not feel comfortable parking my coins in an exchange for an extended period of time. Just my 2 duffs.
Here the Maths:
MN return (approx to make calculation easier) is 12%/year so 1%/month:
The lending % in Polo is per day so the lending must be ~0.033 % to be equivalent to a 1% per month.
2 months ago it was more than this and even some time 1% per day.
Since 1 month it's not worth it lower than 0.01% (3 times less than MN return) even around 0.005% lastly (6 times less than MN return).
I personally lend my Dash to reach next MN quicker =)
EDIT : not to mention that for lending you'll have to monitor it on a daily basis, which you don't have to do with MN (on a good VPS
