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Blockchain Node Sales

A node sale is a fundraising method in the cryptocurrency and blockchain space that involves selling access to network nodes rather than tokens.

Definition​

In a node sale, users purchase the right or license (often in the form of an NFT) to operate a node within a blockchain network.

Purpose​

Node sales aim to decentralize networks quickly by distributing node operation rights to a broader community while raising funds for the project.

Rewards​

Node operators typically receive rewards in the form of the network's native tokens, transaction fees, or other incentives for maintaining the network.

Structure​

Node sales often use tiered pricing, where prices increase as more nodes are sold, creating urgency and FOMO (fear of missing out).

Accessibility​

Node sales can make participation more accessible to a wider audience compared to traditional token sales or venture capital rounds.

Technical requirements​

Depending on the project, node operation may require specific hardware, software, or technical knowledge. Some projects offer delegation options for less technical users.

Lock-up periods​

Node licenses often come with non-transferability periods to ensure long-term commitment and network stability.

Fundraising Potential​

Recent node sales have raised significant amounts, comparable to or exceeding traditional token sales

  • Sophon raised over $60 million
  • Aethir raised $126 million

Decentralization​

By distributing nodes to a larger number of operators, projects aim to enhance network security, integrity, and decentralization.

Risks​

Node sales come with potential risks such as market volatility, regulatory challenges, and the possibility of centralization if a small number of entities acquire many nodes.

Protocols​