What is StrongBlock (STRONG) and how does it work?

What is StrongBlock (STRONG) and how does it work?

The digital financial environment continues to develop almost every second, which is no surprise to those in the cryptocurrency industry. Among these technological advances, a new project called StrongBlock has popularized the node-as-a-service (NaaS) concept on the blockchain. NaaS is an alternative to running entire blockchain nodes on your own; provides infrastructure for developers and tools to configure and manage blockchain nodes.

Connected blockchain nodes forward, transmit and store decentralized blockchain data. But what is a blockchain node? A node, also known as a Full Node, is a device that stores the entire transaction history of the blockchain. But who is behind the creation of the StrongBlock ecosystem?

The StrongBlock team includes CEO David Moss and CTO Brian Abramson, who are enterprise software and blockchain veterans. Corey Lederer, Chief Product Officer, is also part of the StrongBlock founding team and has extensive experience managing technology products.

StrongBlock sees blockchain as the way of the future, but unless this technological advancement is well understood, it can be a risky place to enter. Therefore, the goal of StrongBlocks is to make it easy for anyone to support and participate in the blockchain.

This article will delve into the concept of NaaS and explore what makes StrongBlock unique, how to make money through StrongBlock, and how to buy the STRONG token.

StrongBlock explained

StrongBlock is a blockchain platform that aims to revolutionize the way blockchain networks work. The reason for its simplification is the simple NaaS tool, which allows users who are not well versed in blockchain to build a blockchain compatible node quickly while being compensated for running it.

Before StrongBlock NaaS, running Ethereum nodes required extensive blockchain knowledge, as well as the ability to code and a server capable of running the node around the clock. In summary, diving into nodes before StrongBlock required a lot of effort or a high level of knowledge to make it easy.

Furthermore, the rewards were reserved for miners who solved complex mathematical problems, while those monetary rewards were not distributed to the nodes. There is no way to evaluate the performance of the nodes.

To fix the above problems, StrongBlock automated all processes, allowing everyone to participate in the blockchain revolution. Users can create a node in seconds using the StrongBlock platform. They can also add their node to get daily STRONG token rewards. STRONG is StrongBlock’s governance token, which is used by developers so token holders can help determine the future of the protocol.

What are Strong nodes?

A Strong node is a node that supports the Ethereum network. It rewards node operators a “Universal Node Basic Income” (NUBI) based on the number of Ethereum blocks they contribute to the maintenance of the network. However, the number of nodes, token price, node revenue, and ownership of non-fungible tokens (NFTs) are factors that influence rewards; are variable and are not guaranteed.

STRONG nodes run as a service; therefore, they require no hardware and this allows anyone, even non-techies, to build a blockchain-enabled node in a matter of seconds and get paid to run it.

How does Strong Block work?

The StrongBlock protocol is designed to deliver NUBI continuously. NUBI rewards are currently paid out in STRONG, and in the future, the company will pay them out as NFTs. The protocol is then governed by those who have obtained STRONG in this way. Potential reward shortfalls may be rectified by the community in a variety of ways as the protocol grows.

Rewards are measured based on continuous contributions per node, burning STRONG for NFTs, renewal rates, NUBI drawdown, and creating different NUBI classes. Additionally, there are two methods of using nodes within the StrongBlock protocol. Bringing your own Node (BYoN) offers additional flexibility and the ability to further customize your node, while StrongBlock NaaS is faster and easier to set up.

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Both approaches offer the same basic NUBI incentives, but future additions may give BYoN nodes more opportunities than NaaS nodes. Also, the monthly fee for NaaS is USD 14.95 (paid in ETH), while it varies for BYoN.

What is a STRONG token?

The STRONG token (now named STRNGR) is an Ethereum-based ERC-20 token that works on the Ethereum network. The coin is a governance token that will eventually lead to the StrongBlock decentralized system.

Although the team generated 10 million STRONG tokens, they burned about 95% to develop a correct tokenomics for the system. The system keeps burning additional STRONG tokens with each new node deployed to maintain a deflationary token supply.

How to launch a blockchain node using StrongBlock

To launch a blockchain node using StrongBlock, make sure you have a digital wallet. StrongBlock’s NaaS platform is compatible with MetaMask and does not support multisig wallets.

To cover the gas fees of the transaction, you will need to buy some ETH. Connect your wallet to your preferred crypto exchange and purchase 10 STRNGR tokens. MetaMask can be downloaded as a browser extension from the MetaMask website. Customers can choose Chrome, Brave or Firefox browsers.

Check gas rates by connecting your 10 STRNGR wallet to the app.strongblock.com website. The Etherscan gas tracker can be used to check gas rates, which vary based on the crypto economy.

Setting up or launching a node costs 10 STRONG tokens plus gas fees. Each node is rewarded with 0.091 STRONG tokens, which can serve as a source of passive income. To create blockchain nodes with StrongBlock, follow these steps:

You will be able to pay node fees, view your accumulated rewards and claim rewards after creating your node. The first monthly node fee is included when you create your node. After that, you will have to manually pay the node fee every 30 days. However, the node fee payment structure has a 90-day prepayment restriction.

If you cannot see the created node, please check the approved, pending or canceled transactions to speed up the process.

What are the tax implications of StrongBlock?

Due to the nature of StrongBlock and the inability to sell the asset, Ethereum node services cannot be classified as an asset in the world of cryptocurrencies and taxes, but will be classified as an expense.

As a result, when you purchase StrongBlock, your first purchase will be considered a business expense, and anything you earn from it will be considered taxable income or profit. The tax rate will depend on the country of your residence and may be determined by your current income level. To understand your tax obligations, you might consider reading Cointelegraph’s guide to filing cryptocurrency taxes in the United States, United Kingdom, and Germany.

Is StrongBlock a good investment?

If you are a blockchain lover, StrongBlock may seem like a promising project to launch Ethereum nodes and earn passive income. Nevertheless, Considering the sky-high gas fees and the volatility of the cryptocurrency market, you should always do your due diligence before putting money into any project.

That said, if you believe your financial goals, organizational vision, and return on investment are aligned, then you can become an active participant of the project and be rewarded with STRONG tokens. However, do not forget the risk exposure you are willing to take.

The platform intends to support other protocols such as the Ethereum consensus layer update (previously ETH 2.0) soon. It also plans to introduce features such as NFT gamification and a marketplace, which can encourage blockchain enthusiasts to participate in the StrongBlock-led blockchain revolution.

Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information set forth herein should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.