It’s big! It’s fast! It’s got low fees! It’s Dash!
The Bitcoin community has been engaged in a civil war for years over the scaling debate. As more and more people are turned on to Bitcoin, the network gets ever more congested, and fees rise. For people frustrated with long confirmation times and high fees associated with Bitcoin Core (BTC) one potential answer is Dash.
XCoin to Darkcoin to Dash
Dash began as a hard fork of Litecoin (LTC) and was first called XCoin. It launched on 18 January 2014 to some controversy and criticism over how the coins were initially distributed. XCoin soon changed its name to Darkcoin as Dash was one of the earliest attempts to make a more private and anonymous cryptocurrency. The name of Dash was applied to Darkcoin on 25 March 2015 and the name has stuck. Dash is short for digital cash.
InstantSend and PrivateSend
Dash likes to brag about two key features. InstantSend allows people to send and confirm payments at incredibly high speeds. Dash also has a PrivateSend feature that tries to ensure the transaction will be private.
The most interesting thing about Dash to me is its governance structure. Dash is a Decentralized Autonomous Organization (DAO). Cryptos such as Bitcoin and Ethereum are governed by foundations and these government structures can be problematic in dealing with controversial subjects such as hard forks and scaling debates. Dash so far seems to avoid this with their DAO structure.
With Bitcoin the block rewards are given to the miners. With Dash, the block rewards are controlled by Masternodes and distributed 45% to miners, 45% to the Masternodes themselves, and 10% to the DAO. The 10% that goes to the DAO is used for paying developers to continuously improve Dash and also marketing to increase adoption. As the Dash network grows the budget for improvement also grows. To become a Masternode a miner has to put up 1,000 Dash as collateral. As of this writing there are approximately 4,100 Masternodes around the world.
Submit A Proposal To Improve Dash
Dash also has an interesting method for improvement. Anyone can submit a proposal. Once submitted the Masternodes vote on the proposal and a budget for the proposal. It is decentralized democracy.
Better For Small Transactions
Bitcoin is an excellent store of value, but if you are trying to live a crypto life, Bitcoin has some problems. For example, with the fees the way they are, if you try to buy a cup of coffee with Bitcoin, you might be looking at a $10 transaction fee for that $5 coffee. This isn’t practical. Dash offers instant transactions (a big benefit to merchants) and the fees for that $5 cup of coffee bought with dash are probably going to be less than a penny.
Right now I live my life in fiat. I’m just investing in cryptocurrencies for the speculative benefits. However I dream of a crypto world that destroys government controlled fiat currencies. Right now, Dash is doing a better job at being useful for day to day transactions than Bitcoin is.
Like most alt coins, Dash has exploded in price the past few months. As recently as July 2017 Dash was going for around $200 a coin. Dash peaked at around $1,500 a coin a few days ago and has come down a bit like most cryptos this Christmas. Today (24 December 2017) Dash is sitting at $994. Dash is the 7th biggest crypto by market cap.
Dash has big plans for the future. I like what they are trying to do. Dash is shooting for mass adoption by making using Dash so simple a person who has no computer skills at all can still use it.
Here are the websites I used to make this post: