Passive investors long for a cryptocurrency price rise so they can “cash out” their investments. Unfortunately, this investing strategy requires waiting out a down market. An alternative strategy is to invest in
In this manner,
The Miracle of Compound Interest
To quote Albert Einstein, “compound interest is the eighth wonder of the world. He who understands it earns it…he who doesn’t… pays it.”
If you are a young adult who wants to be a millionaire by age 50, now is the time to start planning for it. Waiting until you have more disposable income on hand will only delay the age at which you’ll reach your goal. That’s because compound interest is predicated on regular and sustainable investing. As Investopedia notes, whereas”simple interest is based on the principal amount of a loan or deposit”, “compound interest is based on the principal amount and the interest that accumulates on it in every period.” Here is how to calculate both:
Simple interest-based calculations are performed using the following formula:
- Simple Interest (SI) = Principal amount (P) x Annual Interest Rate (I) x Term of loan or deposit (N) in years.
- Total Amount after Term of loan or deposit (N) years = Principal amount (P) + Simple Interest (SI)
In contrast, compound Interest is defined as
- A = P x ( 1 + r/n) ^ (n x t)
- A = total amount including principal invested amount & final accumulated interest
- P = Principal invested amount
- r = Annual interest rate [defined in decimals, not in percentage]
- n = number of times the interest is compounded per year
- t = number of years
From a mathematical point of view, these formulas alone reveal why compound interest investments provide better returns.
Interest Income Example
Consider the case of David, an investor who finished his undergraduate education at age 24 and started working immediately afterward. Below are three different investment strategies at his disposal:
- Scenario A: Between the age of 24 and 34 years, David puts $1000 every year in an account that rewards 6% interest compounded annually.
- Scenario B: Between the age of 34 and 44 years, David puts $1000 every year in an account that rewards 6% interest compounded annually.
- Scenario C: Between the age of 34 and 44 years, David puts $1500 every year in an account that rewards 6% interest compounded annually.
When it comes to calculating compound interest, it is important to recall that the annual interest rate is the rate at which the principal compounds at. As you can see, investing early in life provides an investor with generous financial benefits later in life.
What are Masternodes? What are STATIC Nodes?
For DIY investors, setting up a masternode typically necessitates an intensive setup session and a dedicated laptop. More commonly, investors turn to third-party
Information about current
Please referenceCoinsutra for more information on masternodes.
- A Level 1 STATIC node deposit consists of 500,000 XBY or 330,000 XBY plus 170,000 XFUEL
- A Level 2 STATIC node deposit consists of 250,000 XBY or 170,000 XBY plus 80,000 XFUEL
- A Level 3 STATIC node deposit consists of 125,000 XBY or 85,000 XBY plus 40,000 XFUEL
In addition, STATIC node deposits require a non-refundable registration fee.
STATIC Nodes from an Investment Point of View
Based on our conclusions from the compound interest study above, it is clear that registering a STATIC node early is
- The market price of the tokens (XBY and XFUEL) vary according to supply and demand of the tokens.
- As the token (XBY and XFUEL) price rises, your total wallet balance will rise at a faster rate as a result of reward tokens being added. This will significantly increase
- As the token (XBY and XFUEL) price drops, your wallet balance will decrease slower thanks to the additional tokens that you earn as a result of rewards. This acts as an insurance for your initial investment.
- Earlier the STATIC node is set, the better it is from an ROI point of view.
Seek licensed professionals for investment advice. As with everything in the Cryptocurrency realm, please keep your account information and your funds safe. Never invest more than you are comfortable losing.