Staking is the process of taking one’s crypto assets and committing them to the network in order to verify transactions and support the network of the cryptocurrency. In return for staking, participants earn a reward on their staked balance over time. It is a way to earn passive income on crypto holdings. To better understand staking, simply compare staking a crypto to depositing money into a traditional savings account.
In both cases, an individual holds one’s coins or funds for a period of time, earning a return. VDASH will provide individuals and institutions an opportunity to stake Dash in exchange for rewards from the network. VDASH offers a 2.5% to 4% return on investment.
The rate represents the estimated staking yield after expenses, in addition to the value from any price appreciation on Dash itself. The trust structure of VDASH provides a number of benefits to investors wishing to .
Firstly, the minimum investment required through the trust is much lower than operating one’s own masternode. The minimum investment required to run a masternode is 1,000 Dash (currently valued at $187,570), while the minimum required investment for VDASH is only $25,000. This also means that fractional masternode exposure is possible, even for those wishing to operate primarily their own masternodes. For example, an investor with 1,500 Dash could operate one masternode on their own if they wished, and earn incremental income on the remaining 500 Dash through the Valkyrie Dash Trust.
Because VDASH is a trust, it offers a highly secure way to invest in Dash. It is the trust itself that holds the crypto assets, through a qualified third-party custodian. This means there’s no need for investors to worry about keys, wallets, or storage – all of which are professionally managed by Valkyrie – thus making it easier for investors and institutions to add Dash exposure to their portfolios in a secure manner.