If you have been exploring ways to earn a steady income from cryptocurrencies, masternodes can be a way to do that. Many investors look for passive income options that do not require constant monitoring, and masternodes often appear as an attractive choice. They offer regular rewards for supporting a blockchain network, which is why interest in them continues to grow in 2025.
A masternode is a powered node in a blockchain that keeps a full copy of the network and performs advanced tasks such as validating transactions, improving security, and supporting decentralised features. In return, it earns ongoing rewards. This article explains the top masternode cryptocurrencies to consider in 2025 and helps you understand which projects stand out for passive income.
Top Masternodes Cryptocurrencies in 2025
Masternode projects continue to attract attention because they offer consistent rewards along with active roles in securing blockchain networks. These cryptocurrencies stand out for their strong communities, reliable performance, and well-established use cases. Before we explore each coin in detail, here is a quick comparison to help you understand how they differ in function and structure.
Coin Name | Ticker | Consensus Type | Market Capitalisation ($) | Use Case |
Dash | DASH | Proof of Work with Masternodes | 1.08 Billion | Fast payments, privacy features, and decentralised governance |
XDC Network | XDC | Delegated Proof of Stake | 961.27 Million | Trade finance, real-world asset tokenisation, enterprise solutions |
Horizen | ZEN | Proof of Work with Masternodes | 251 Million | Privacy tech, zero-knowledge applications, appchain development |
Beldex | BDX | Proof of Stake | 626 Million | Confidential transactions and private communication tools |
Firo | FIRO | Proof of Work with Privacy Protocols | 78 Million | Private digital cash and advanced anonymity protocols |
Flux | FLUX | Proof of Work with FluxNodes | 58 Million | Decentralised compute, Web3 infrastructure, and node-based rewards |
Xertra | XTR | Proof of Stake | 54 Million | Gaming, DeFi, Web3 infrastructure, and enterprise support |
PIVX | PIV | Proof of Stake | 28 Million | Financial data protection, privacy-enabled payments, governance |
Syscoin | SYS | Proof of Work with Masternodes | 22 Million | Business-focused blockchain solutions and Web3 infrastructure |
Lumia | LUMIA | Proof of Stake | 20 Million | Real-world asset tokenisation and liquidity infrastructure |
Top 10 Best Masternodes Coins in 2025
Masternode projects vary in their purpose, structure, and long-term value. This section highlights ten strong options that stand out in 2025 and gives you a clear idea of what each coin offers before you explore their earning potential.
1) DASH
Dash is one of the earliest and most recognised masternode coins. It focuses on fast payments, privacy options, and decentralised governance through a two-tier network. Its masternodes play a central role in InstantSend, PrivateSend, and network security.
Features of DASH
- Supports instant transactions through InstantSend.
- Offers optional transaction privacy.
- Uses a two-tier governance system powered by masternodes.
- Provides reliable reward distribution for masternode operators.
Also Read:How To Buy Dash
2) XDC Network
XDC Network is built for trade finance and real-world asset tokenisation. Its delegated Proof of Stake design delivers high speed and scalable performance. The network also supports dedicated side chains for enterprises that need enhanced control and privacy.
Features of XDC Network
- Supports tokenisation of real-world assets.
- Uses a DPoS engine for efficiency and security.
- Provides side chains for enterprise-level privacy.
- Features XDC 2.0 with advanced fault tolerance.
3) Horizen
Horizen is a privacy-focused platform moving toward a modular Layer 3 ecosystem. It aims to make zero-knowledge technology accessible for developers working on secure applications. With Horizen 2.0, the project expands into scalable and private smart contract environments.
Features of Horizen
- Supports zero-knowledge technology for privacy.
- Migrates to a next-generation Layer 3 system.
- Uses ZEN as a token for privacy services.
- Offers strong interoperability through its Base migration.
4) Beldex
Beldex is dedicated to confidential digital interactions across Web3. It supports private transactions and a growing suite of privacy tools such as BChat and BelNet. The shift from PoW to PoS improved network speed and efficiency.
Features of XDC Network
- Focuses on confidential and private user interactions.
- Supports secure dApps such as BChat and BelNet.
- Uses PoS for faster and more efficient transactions.
- Provides strong privacy protection across its ecosystem.
5) Firo
Firo is a privacy-centric cryptocurrency known for innovations in anonymity protocols. It introduced the Lelantus system, which lets users redeem coins with no link to past history. It also pioneered Dandelion++ to hide transaction origins.
Features of Firo
- Developed the Lelantus privacy protocol.
- Supports strong anonymity through zero-knowledge techniques.
- First to launch a practical Zerocoin implementation.
- Uses Dandelion++ to hide network-level metadata.
6) Flux
Flux powers a large decentralised compute network designed for Web3 infrastructure. It combines Proof of Work with FluxNodes to support cloud computing, decentralised apps, and blockchain interoperability across ecosystems.
Features of Flux
- Runs a global node network with thousands of active nodes.
- Supports Web3 cloud services through FluxOS.
- Offers parallel assets for cross-chain connectivity.
- Provides rewards for both miners and FluxNode operators.
7) Xertra
Xertra focuses on Web3 gaming and decentralised finance. It evolved from the Stratis platform and now operates on an EVM-compatible Proof of Stake system. The project aims to support large-scale applications through enterprise-grade infrastructure.
Features of Xertra
- Uses EVM-compatible Proof of Stake for better flexibility.
- Offers a suite of tools for gaming and DeFi projects.
- Delivers enterprise-ready infrastructure for Web3.
- Supports seamless smart contract deployment.
8) PIVX
PIVX is a privacy-focused Proof-of-Stake project built around robust financial data protection. It uses advanced zk SNARKs to protect user transactions while offering cold staking and decentralised governance.
Features of PIVX
- Uses zk SNARKs for high-quality privacy protection.
- Supports cold staking for secure reward earning.
- Provides decentralised governance through masternodes.
- Burns all transaction fees for supply control.
9) Syscoin
Syscoin blends blockchain performance with Web3 features for businesses and enterprises. It supports projects such as Rollux and SuperDapp, offering a mix of smart contracts and scalable infrastructure.
Features of Syscoin
- Supports Web3 platforms such as Rollux and SuperDapp.
- Combines PoW security with advanced scalability layers.
- Led by the Syscoin Foundation for long-term development.
- Offers enterprise-friendly blockchain tools.
10) Lumia
Lumia focuses on real-world asset tokenisation and liquidity aggregation. It integrates compliance-ready tools for institutions and powers cross-chain liquidity through Lumia Stream.
Features of Lumia
- Supports tokenisation across real estate, art, and commodities.
- Offers liquidity aggregation for tokenised assets.
- Provides global compliance tools for businesses.
- Combines RWA support with a scalable ecosystem.
Conclusion
Masternode cryptocurrencies continue to attract investors who want steady rewards without constant trading pressure. Each project offers a different mix of security, utility, and long-term growth potential, which gives you plenty of options when exploring passive income opportunities in 2025. By choosing reliable networks with active development and real use cases, you can build a stronger and more stable crypto portfolio.
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Frequently Asked Questions
What Makes Masternodes Different From Regular Nodes?
Masternodes perform advanced functions, while regular nodes only keep a record of the blockchain. They support tasks such as validating specific transactions, improving privacy, and strengthening governance systems. Their enhanced capabilities allow them to earn higher rewards, which attracts users who want a consistent income without running mining equipment.
Do Masternodes Require Technical Skills To Operate?
Running a masternode needs basic knowledge of servers and wallets, but many platforms now provide user-friendly tools that simplify setup. Operators primarily require stable internet, reliable hardware, and the necessary collateral. Once running, masternodes operate continuously, and their maintenance is straightforward for most users.
Are Masternodes A Reliable Source Of Passive Income?
Masternodes can deliver steady income, but earnings depend on network activity and market prices. Projects with strong adoption and active development often provide better consistency. Although rewards help generate ongoing returns, investors should be aware of market fluctuations that influence long-term profitability.
How Much Capital Is Needed To Start A Masternode?
The required investment varies for each project. Some networks need large collateral amounts, while others set modest entry levels. Apart from the coin requirement, operators also need funds for hosting services and wallet setup. It helps to research a project’s collateral structure before committing to a masternode.
Do Market Conditions Affect Masternode Returns?
Yes, market movements influence the value of rewards earned through masternodes. Rising prices can increase the worth of payouts, while declines may reduce overall returns. Network activity also plays a role, since rewards depend on transaction levels. Regular monitoring helps you understand how market shifts impact your income.
Can Masternodes Support Network Security?
Masternodes increase security by validating blocks and rejecting harmful activity. They store complete blockchain copies and add extra layers of protection for users. Since multiple masternodes operate across different locations, it becomes difficult for attackers to influence the network, which strengthens overall decentralisation.