Introducing Dash cryptocurrency
Introducing Dash cryptocurrency: is Dash still really all that dashing or has this cryptocurrency seen better days?
The history of Dash
If you’re not familiar with the history of Dash it’s a fork of Bitcoin that has gone through three different names since its inception in 2014.
First Xcoin then Dark-Coin the project officially changed its name Dash.
Dash in 2015 and that’s the name it is used ever since.
Dash or digital cash is a project that wants to be used for merchant payments and transactions.
The coin uses proof of work for consensus which means that you can mine it.
Will talk more about Dash’s mining process in a bit.
The Dash project is often compared to Bitcoin.
As it’s a completely decentralized platform with no controlling Authority and wants to be used as a way to make payments or process transactions.
However, Dash believes that it is a better and faster option than the original cryptocurrency.
This is due to some of the technology behind the project.
Namely is InstatSend and private sent features along with its x11 algorithm.
Two features of Dash
If you want to send or receive money very quickly check out the InstatSent feature available with Dash.
With it you can confirm transactions in just a few seconds which is considerably quicker than the average ten minutes it takes for Bitcoin to perform the same function.
Dash achieves this by moving its transactions through its master nodes instead of through the miners themselves.
Since masternodes are a select group the transactions are confirmed much faster.
Private send is dashes method for addressing the traceability to cryptocurrency with these feature users can create transactions that cannot be traced on the blockchain.
Again this is accomplished through the use of masternodes instead of miners.
With these two features Dash makes itself almost synonymous with cash as it provides instant transactions plus a way to make its coin fungible.
so we know a few features that can make Dash more appealing but what are these master nodes.
Dash is thought of by many within the community as one of the first decentralized autonomous organizations or Dows.
This is due to two main reasons:
First because of the way the project makes its decisions.
And second because of how Dash gets its funds.
Let’s begin with the Dash decision-making process.
This is the part that master nodes play in the Dash network.
Masternodes are small and select group of users who earn their status by holding at least 1000 Dash.
If you meet this minimum criteria you can spin up a node on the Dash network and it will be a Masternode.
Masternodes are the users who make decisions which impact the coin.
So it’s in their best interest to make the decisions which positively impact the ecosystem.
The decisions made by the masternodes are confirmed through a yes/no system.
Proposals for project improvements and changes come in through community driven forums which are then voted on by the masternodes.
This decentralized voting system is what makes Dash a Dao.
Of course master nodes have more responsibilities than just making decisions.
They have three primary functions.
1- they have to maintain an updated copy of the Dash blockchain.
2- they have to support InstatSend.
3- they have to support private send.
How it gets its funds
Anyways now that we’ve covered how the project makes its decisions let’s talk about how it gets its funds.
Dash splits its mining rewards into three distinct parts.
45% of the reward goes to the masternodes.
Forty-five percent goes to the miners.
And the last ten percent goes towards the Dash Treasury.
This Treasury is used to fund and support other areas like coding marketing or development.
With some crypto models jobs that aren’t related to mining only receive monies through sponsorships or donations.
By breaking up the rewards Dash is funding all the necessary areas for developing and improving the project.
This makes the project not only self-sufficient and autonomous but entirely independent as well.
Dash also has a mining component to it as well.
So let’s take a quick look at that.
Dash initially separated itself from Bitcoin with its mining process.
When he created Dash Evan Duffield wanted a proof-of-work algorithm that couldn’t be easily exploited by ASIC mining rigs.
The x11 algorithm
The result was the x11 algorithm which like bitcoin is a proof-of-work algorithm which requires the processing power of computers in order to solve a complex cryptographic problem.
The x11 algorithm is different from Bitcoin in that it uses eleven separate hashing processes as a result it was very difficult for an ASIC miner to mind Dash.
Duffield did this in an effort to keep the mining and distribution of dash equitable.
Of course with technology moving at the pace it does an ASIC with the ability to mine Dash was released in late 2017.
And since then unfortunately they’ve kind of given up the ASIC resistance fight.
Dash can’t really be mined on your home GPU anymore.
Now speaking of rewards let’s take a minute and talk about the coin itself.
Dash was not sold or allocated prior to its release and the project did not have an official ICO kickoff.
The project has a coin supply of 18.9 million with a currency circulating supply of around 9 million.
While it took a few years for Dash to gain much adoption when it did it took off in a hurry the coin realized an eye-watering all time I of 1,642 dollars in December of 2017.
So to put that into perspective in order to run a masternode in December of 2017 you would have needed to stump up the equivalent of over 1.6 million dollars or about 6.5 Aventadors.
Anyways that was short-lived as the crypto bear woke up from hibernation in early 2018.
The price has fallen dramatically since then and has settled in its current value where it hovers between 70 and 80 dollars.
We’ve already touched on the creator of Dash Evan Duffield who was the CEO of the project until 2017.
Duffield remains with the team in an advisory role however Ryan Taylor now heads up the Dash project.
Before taking over as CEO of Dash Taylor was the director of Finance for the project.
He has plenty of experience in the financial industry and earned his MBA from Columbia University.
Bob Carol is the current CTO at Dash a role he’s been in since 2018.
Prior to Dash Carol was CTO of ever spring for half a decade and has also spearheaded many of his own entrepreneurial ventures.
The Dash CFO Glen Austin comes from a strong finance background having spent time at both UBS and Morgan Stanley.
Dash pay wallet MVP and Dash wallet
You can actually get a sense of how much work is being done on the protocol if you head over to their github repository.
They’ve been shipping quite a bit of code over the past year.
If you want to buy sell or trade Dash you’ll have no trouble finding somewhere to do so.
The coin is available on many different exchanges including popular options like Binance coin based Pro and Kraken.
Dash does tens of millions of dollars in volume on many of these platforms and with several different pairing options.
Just a few include Bitcoin, Etherium and USDT.
There are deep order books on exchanges like Binance so you’ll have no problem with liquidity when it comes to Dash.
Even for those larger block orders.
It also means that it’s less susceptible to market manipulation.
Once you have your Dash in hand so to speak you’ll want a safe place to store it among these are the Dash core wallet which is available for desktop Android and IOS.