Near is one of the Ethereum killer and it has a feature in this protocol that eliminates the use of nodes, which is the infrastructure of how many cryptocurrencies are built. Near ecosystem which translates into infinite scalability. And with scalibility many different opportunities to create passive income comes, which is why we are going to be taking a look at different protocols where you can create a passive income on the Near blockchain ranging from 4% upwards of 100% per year.
But first we need to understand what Near protocol is and why choose Near over other blockchains.
Near protocol is competing with the likes of Ethereum, Binance, Avalanche, Terra Luna just to name a few of its compititiors. And it's aiming to be the top layer 1 blockchain, and main thing you want to know about layer 1 is that it's what all crypto applications are built upon.
Essentially when you are investing in a layer 1 protocol or even the project in that protocol. You are simply betting on that ecosystem to win. But the problem many layer 1 projects face is the scalability aspect which is where layer 2 comes into play to solve this issue.
Project Aurora is the layer 2 to Near but probably the most unique part of the Near is that it implements sharding a scalability technique that doesn't require nodes.
Now let's jump into the protocols we are going to be talking about today on how to increase your Near protocol portfolio.
★ Staking Near Tokens
I think regardless of whatever protocol you are investing in. It's always a good idea to stake some of the actual protocol itself. Usually because it's going to be the lowest risk asset on the blockchain.
All this can be done on the Near protocol website by downloading the Near Wallet.
And right now they are offering 12.96% per year on your Near protocol investment.
Once on the website, this can be easily done by selecting stake your tokens, go to the pool validator. I went ahed and chose the Aurora pool. Click stake on that validator and remember to leave some extra $NEAR in your wallet to cover fees. Once you there you click submit stake. And the validator I choose. I will be rewarded in Aurora tokens.
Next up, we are going to go to the third largest yield farming index in the near protocol network is called..
★ Ref Finance
And it runs on the $REF tokens and function of a wrap $NEAR. Meaning that to provide liquidity and to participate in some of these farms, you will have to wrap your $NEAR which could be easily be done on the website.
I went ahed and looked at the $REF token and wrap $NEAR pool, which is right now at an 82% APR on your $NEAR tokens. You will also be getting a small percentage of other tokens as well. And you can then take those $REF tokens that you earn to get an additional 11% on the top of those, if you want. It's also worth noting in this pool, you will also be getting a small percentage of other tokens as well.
And you can simply do all of this by going over to the farm's page and putting in an equal amount of $REF token and $NEAR tokens inside the pool and then you will be rewarded equally.
Next step, we are going to cover another Dex exchange. However, this is on the layer 2 protocol, the Aurora engine, and it's called..
★ Trisolaris
This is the 2nd most popular exchange on Near protocol right now with a quarter of a billion dollars in assets locked up.
And just like a Ref Finance you can farm different stablecoins for a higher APR and here also you can do this by getting the native token of Trisolaris, the $TRI token.
Now another interesting component to this exchange is it runs of the rainbow bridge which of you are not familiar with, allows developers to utilise any contract on Near protocol by wrapping $NEAR on the rainbow bridge.
There are many different pools offering liquidity for investors to earn interest on. But the one I went ahed and took a look at was the $TRI and wrap $NEAR token. offering 87% APR on $TRI token.
And if you wanna use stablecoin then you can also do TRI-USDT pool. Well offering 125% APR on $TRI tokens.
And the reason why I am saying for Tri- token pools is because you can stake your $TRI reward for an additional 30%
Now moving on a last one
★ Paras
The weed in NFT platform on the Near Protocol. And as a crypto expands, the NFTs on the Near blockchain get more exposure.
Now the native token of this NFT marketplace is $PARAS and you can stake the $PARAS tokens for upto 88% APR.
And right now the pool is over 2Million in assets staked, and the current marketcap of Paras token is $21M.
Now this where the things get interesting because under the Paras staking pool, you can see a number of NFTs that you can stake to earn passive income.
Final Thought
As I said above, if you are interested in passive income then look into anything that offers dividend yields, farms, staking tokens and NFTs. These are much safer, and essentially guaranteed passive income after you do the leg work of research.