Due to the open-source nature of the blockchain, new cryptocurrencies have emerged with new value-adding features for their holders. One of these features is the ability to receive dividend-like payments.
For example, Proof of Stake (PoS) cryptocurrencies pay “interest” to their holders for staking their coins to secure the network. Moreover, some digital tokens issued by exchanges pay their holders a share of their trading fee income.
Here’s a look at the ten best dividend-paying digital currencies and tokens that you can invest in to earn passive income as a cryptocurrency investor.
|Altcoin||Description||Years since Launch||Market Capitalization||Daily Trading Volumes||Number of Supported Exchanges||Size of Community (Measured by Twitter Followers)||Estimated Annual Dividend||Score|
|NEO (NEO)||• NEO - formerly known as AntShares - is one of the most popular blockchain projects in the market, often dubbed the "Chinese Ethereum."|
• NEO token holders can receive up to 5.5 percent "interest" per annum for staking their tokens. Payments are received in the NEO blockchain's second token, NEOGas.
|Decred (DCR)||• Decred is an autonomous digital currency that was launched in 2016.|
• Decred uses a hybrid consensus mechanism model compared of Proof of Work and Proof of Stake to secure the network.
• As a result, DCR holders who stake their coins can earn up to 30 percent "dividend" per annum.
|PIVX (PIVX)||• PIVX (Private Instant Verified Transactions) is a privacy-focused digital currency that was launched in 2016 as a code fork of Dash to provide users with anonymous financial transactions using its "sub-currency" zPIV. |
• PIVX uses the Proof of Stake protocol which enables users to stake their coins to secure the network. As a reward, users who stake their coins will receive new PIVX coins that amount to around 4.8 percent interest per annum.
|Reddcoin (RDD)||• Reddcoin was launched in 2014 to become the digital currency of social media. |
• Reddcoin allows Reddit and Twitter users to tip content creators in digital currency if they like their content.
• Moreover, Reddcoin holders can stake their coins to receive up to 5 percent "interest" per annum thanks to Reddcoin's PoS consensus algorithm.
|Komodo (KMD)||• Komodo was launched in 2016 as a privacy-centric digital currency that leverages Zero-Knowledge Proofs to enable users to make private financial transactions. |
• The Komodo platform also offers startups to launch dICOs (decentralized ICOs), a decentralized exchange, and blockchain development solutions.
• Moreover, Komodo holders can receive up to 5 percent "interest" per annum by having more than ten KMD on their wallet.
|NAVCoin (NAV)||• NAVCoin was launched in 2014 to add privacy to digital currency transactions. |
• Through its dual blockchain system, NAVCoin users can make anonymous financial transactions on the NavTech subchain.
• Moreover, NAVCoin holders can earn up to 5 percent "dividend" per annum for staking their coins.
|KuCoin Shares (KCS)||• KuCoin Shares is an ER20 token that was launched by the Hong Kong-based digital currency exchange KuCoin. |
• KuCoin holders can receive "dividends" - in the form of different digital tokens - as KuCoin distributes 50 percent of its trading fee revenues to its token holders.
• As trading fee revenues depend on fluctuating trading volumes, "interest" payments vary each month.
|Neblio (NEBL)||• Neblio is a distributed computing platform for enterprise blockchain applications and services that was launched in 2017. |
• NEBL holders can receive up to 10 percent "dividend" per annum by staking their coins thanks to the Neblio network's proof of stake protocol.
|BridgeCoin (BCO)||• BridgeCoin is the digital token of the relatively new decentralized exchange CryptoBridge. |
• BCO holders are entitled to 50 percent of the exchanges' trading revenues if they stake their BridgeCoin tokens.
|COSS (COSS)||• COSS is an ER20 token that was launched by the COSS digital currency exchange. |
• COSS token holders receive 50 percent of the exchange's trading fee revenues.
• "Dividends" for holders vary dependent on the exchange's trading volumes.
- Best ERC20 Tokens, Rated and Reviewed for 2018
- Best Stablecoins, Rated and Reviewed for 2018
- Best Privacy Coins, Rated and Reviewed for 2018
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