We all know about cryptocurrency stacking, which gives you a return on your investment. Nowadays, you can make money using your non-fungible tokens (NFTs)! By stacking your non-fungible tokens (NFTs) on the NFT stacking platform you can get extra return on your investment. This development has made NFTs even more attractive.
More and more people are looking for new ways to make money without working for it. Passive income was something that rich people could get through banks because interest rates on savings accounts were very high. Nowadays, you rarely get interest on your money in the bank; In some cases, you may have to pay for your savings! With relatively high rewards for stacking cryptocurrencies and NFTs, a new age option has been found.
What is NFT stacking?
Stacking NFTs is one way to keep your unique tokens working on blockchain. NFTs are usually associated with digital images, such as the board app yacht club collection, but they can be all sorts of objects, from digital art to video files and game items. NFT stacking means you attach your non-fungible token to a platform or protocol. In return for this action, you get a steak reward. This way you can earn extra while the NFT owner has balance.
You can compare this method of betting to decentralized finance (DeFi) income farms, where cryptocurrency loans are lent or secured to lenders and rewards are obtained through interest or transaction costs incurred by others. This way of earning interest is the same as that obtained by the bank, but there is no intermediary in this case. NFT stacking deals with the decentralized financial world, while the banking form is centralized.
How does NFT stacking work?
NFT stacking works much like cryptocurrency stacking because NFTs are tokenized assets. Also, for NFTs, not all non-fungible tokens can be stacked, as is not possible for all tokens. Since NFT is a tokenized asset, you can deploy them on NFT stacking platforms where you can keep them safe. This is made possible by smart agreements on appropriate blockchain protocols.
While NFT stacking is a relatively new concept, many NFT holders are very excited about this development. This is because the non-fungible token is unique, making the holder reluctant to sell. This is the big difference between cryptocurrencies, where you can easily buy and sell cryptocurrencies. To bet on NFTs, you need a crypto wallet, which should be suitable for NFTs.
First, make sure your favorite wallet also fits the blockchain on which NFT is located. You will then need to connect to a wallet stacking platform to be able to send your NFT to the platform. This operation can be compared to a stack of coins. Both can be achieved by going to the stacking section of the platform.
NFT Stacking Rewards
The stacking rewards that NFT holders can get for deploying their NFT depends on the platform and the type of NFT. Most NFT stacking platforms offer monthly rewards, which are usually given on a daily or weekly basis. Often these rewards are given in the platform’s utility token, but there are some exceptions. Regardless of the token used for stacking rewards, you can trade stacking reward tokens and possibly convert them into other cryptocurrencies or fiat money.
In addition, there are stacking platforms with autonomous decentralized organizations (DAOs). Here, NFT holders can lock their assets into a DAO pool, also known as an NFT stacking pool, which allows them to participate in administrative tasks on the platform. This often involves voting rights when proposals are made. You can also bid yourself, but this varies according to the DAO.
Since the majority of NFTs in the NFT market are from various blockchain games, there are many opportunities in games like Axie Infinity (AXS), The Sandbox (SAND) and Splinterlands (SPS). In a play-to-win game, you can win not only cryptocurrencies but also NFT. This makes it possible to win free NFTs and then force them!
How to get NFT stacking passive income?
If you have NFTs in your cryptocurrency wallet, you can use them to generate passive income. NFT stacking is one of the newest ways to generate passive income with blockchain technology. With any such source of income, you need to make an initial investment. Be it cash or time, passive income from NFTs is mainly earned through cash investments.
While looking for ways to earn passive income with NFT, it will be helpful to pay attention to a few things as shown below.
However, it also has its advantages. The game can also grow in popularity, allowing you to win NFT yourself. Therefore, it is important to do proper research on NFT as well as market, utility and stacking rewards.
NFT betting platform
There are numerous different NFT stacking platforms, meaning one example platform is not everything. To give you a better idea of the differences in this area, we’ve highlighted some NFT stacking platforms. Due to the large increase in play-to-win NFT, there are many examples in this area, but did you know that exchanges are also actively involved in NFT stacking?
Binance NFT Power Station
For Binance Fan Tokens, there is a stacking platform where NFT holders can monetize by supporting their favorite teams. By deploying their NFT, they can get additional Binance Fan Tokens. Binance is one of the largest cryptocurrency exchanges with millions of users worldwide. In addition, Binance provides most of its users with NFT stacking services.
Binance fan tokens are utility tokens associated with a specific sports team. With this token, token holders can enjoy a variety of privileges. For example, as a token holder, you may benefit from preference ticket sales or your say in important decisions in a sports club. Binance fan tokens are mainly sought after in sports clubs, but they can also be used by artists or other celebrities who have a large following.
Another example of an NFT stacking platform is the MOBOX platform, a game built on blockchain. MOBOX contains metavers called MOMOverse where you will find different NFTs. You can trade these NFTs on the MOBOX market, but you can also buy MOMO, you can get MOBOX Governance Token Stack Rewards. The reward number is calculated based on the amount of MOMOs you have calculated. As each MOMO changes in rarity, the hash power also changes, which affects the stacking reward. MOBOX is of course one of many examples. Popular NFT games like Splinterlands and Axie Infinity also offer this service to NFT holders!
What are the best NFT bets?
When you decide to stack your NFTs, it is important to have a good idea of what you want to achieve. To find the best NFTs for stacking, you need to know where the opportunities are. So good market research is very important. There are different NFTs that you can participate in, each with its own characteristics. So make sure your strategy is clear to you.
Do you love sports and want to invest in this industry? So, for example, an NFT stacking platform like Splinterlands is an interesting option for you. Built on the Ethereum blockchain, this play-to-win game allows players to earn more through NFT stacking. Always keep in mind that the value of NFT can also go down, so there are risks to your non-fungible token.