Evan Duffield, the founder of Dash, was around since the beginning of Bitcoin. Seeing the faults in Bitcoin that he wished to improve on, he decided it would be a lot easier to make his own cryptocurrency, instead of trying to convince the tight knit Bitcoin development team. In 2014, XCoin was created. Which was later renamed to Darkcoin. Which was finally renamed to Dash. Dash is a fast and improved version of Bitcoin. We’ll look into some facts here about Dash:
1. Digital Cash
Unlike most new tokens, Dash is only advertising itself as a currency. It does not focus its energy on using its platform for developing programs on, such as NEO or Ethereum; its sole purpose is to become a normal currency, like USD or GDP. Allowing for fewer options can allow for better understanding for the token, especially for global adoption of the masses. This currency would only act as an internet currency, and would never take a physical form.
2. Dash is built off of Bitcoin
Evan used the Bitcoin blockchain to start Dash but added what he thought Bitcoin needed to accomplish his vision. He made faster transaction rates and added privacy settings, allowing for almost fully anonymous transactions. Transaction fees average around .0002 Dash.
It’s very difficult to make an anonymous transaction in Bitcoin. Dash created a feature called “PrivateSend,” which mixes the transaction in with multiple transactions, making it very hard to trace and put together the entire transaction. Although not completely private, this was pretty revolutionary for its time when decentralized blockchains made public ledgers extremely transparent.
Dash also brought an interesting feature that introduces privileges to those who have more capital. Anyone holding 1000 or more Dash is able to enable Masternodes, which are able to activate PrivatesSend and InstantSend. InstantSend is able to send transactions within 1.5 seconds. Masternodes also gain 45% block rewards each time a block is mined. If you don’t own 1000 Dash, you are able to pool money together with other users to create a Masternode “share.”
5. The “Mastercard Underdog”
Dash truly believes that they will topple Bitcoin as the number one cryptocurrency for digital cash. Ryan Taylor, Head of Finance at Dash, brings up the example of Visa and Mastercard. Visa started out a few years before Mastercard and was the king of the digital payment empire. But because Mastercard creates departments to fund everything they needed, took extra care to not overlook the little things, and helped vendors set up their payment systems. Eventually, Mastercard became just as big as Visa, and both are accepted all over the world.
Normal Proof of Work algorithms allows for 100% of the block reward to go to the miner. This is different in Dash, for it gives 45% of the rewards to miners, 45$ to Masternodes, and 10% back into Dash: this goes to marketing, research, coding, development, etc. This puts money back into the pockets of everyone involved with Dash, not just the miners. This is a pretty ingenious idea that many more cryptocurrencies are realizing: mining doesn’t need to have all of the power in a coin.
7. Sybil Proof
The governance system involves much more than the miners. The ten percent that is taken from each block reward that goes back into Dash is voted upon by Dash users. Each Masternode is allowed 1 vote, and because of the rapid increase in value of Dash, the organization receives over $650,000 a month.
8. Top 10 coin
Dash has made itself clear that it intends to stay a competitor to Bitcoin. It’s no question that Dash wishes to topple Bitcoin. They are literally the same function as Bitcoin, acting solely as a digital currency, and nothing else.
Many others on the top ten came from other angles to get there: offering wallets, smart contract capabilities, and platform development. But Dash has made it into the 2 billion market cap without any of these; offering to be exactly what Bitcoin is. While Litecoin has offered to be an aid to Bitcoin and has received much support from Bitcoin, Dash has been independent this entire time proves to hold its own.
9. Mining with Dash’s Proof of Work
A Proof of Work blockchain means that each block can be mined. Although only 45% of each block reward goes towards the miner, mining is still very profitable and Dash offers a quality step-by-step guide straight from their website. CPU mining is no longer profitable, but ASIC mining hardware can generate profit and Dash makes it very easy to begin the process.
10. Future roadmap
Many improvements lie ahead for Dash in 2017/2018. IPSF, a P2P file system will be soon functioning in Dash that will allow more scalability, Dash 12.1 will complete, a new wallet will be coming in February of 2018, and masternodes will be given a new upgrade. New updates always mean good news for the value of a coin, and it will be a sure coin to lookout for in the coming months.