Imagine a network of computers that keeps a record of everything happening on a blockchain. These are called nodes. Masternodes are like special, beefed-up nodes. They do all the regular node stuff, but they also have extra features. For example, they can help make transactions anonymous, speed things up, and even participate in voting on how the blockchain works. They were first used by a cryptocurrency called Dash, and the owners of these masternodes get rewarded for keeping them running.
