Thanks for the upvote! The only practical reason I can think of is saving cost on hosting. If you wanted to invest 10000 Coins into a project and their masternodes were only 5000 Coins each, you would need to deploy 2 VPS servers. If they offerest a 5000 Coin MN and a 10000 Coin MN, then you could still invest 10000 Coins, but only deploy 1 VPS.
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@cocryptominer That makes sense. So do the nodes with more coins get paid more?
Yes, exactly. In the tiered MN Coin, the probability of getting a reward for a 10000 Coin MN is twice as good as a 5000 Coin MN.
Interesting! Thanks for that. I will view them differently. From the technical point of the node is it not a disadvantage to the network having fewer nodes? because people will be thinking of their financial benefits of getting 2 for 1.
2 nodes of 5000 each is doing more for the network than 1 node of 10000 (its just one point of connection no matter how many coins are secured to it.)
Thanks for clearing up this point. I always used to skip when I see tiered now I read a little deeper to see how each project implements it.