LTO Wallet

The benefits of Leasing to a node.

Just as bitcoin and other PoW cryptos have mining pools for miners to share hashrate and receive small regular payout in proportion to the processing power they bring to the network, so PoS coins may share resources. In this instance, though, smaller holders can lease their balance to a full node, again receiving rewards in proportion to the coin balance they contribute. For example, if a pool has a total size of 100,000 coins, a holder who leases 1,000 coins may receive 1% of rewards (subject to the terms stated by the pool owner).

When leasing a balance, the coins are locked but remain in full control of the owner. They are not transferred to the pool but stay in the same address — just remaining unspendable until the lease is cancelled. Leasing and cancelling a lease can typically be done from an ordinary wallet, with no additional technical expertise needed.

Different mining pools have different payout terms. Some take a fee, some don’t, considering it a service to the community and network. Some incorporate a pool into a wider business model or use their sites and presence in the crypto world to generate revenues in other ways. Some of Waves’ mining pools even have their own tokens, rewarding those who lease their balances in a share of transaction fees, MRT and another token.

The effect overall is to raise platform users’ participation in mining. This increases network security, increases the number of long-term holders, and thereby increases the value of the coin for everyone. It’s win/win/win.

Start with Leasing by creating first your wallet.