In its quest to become a mass-use payment option, Dash (DASH) has evolved to become the equivalent of digital money. For this reason, we invite you to discover Dash and the interesting technology it has to offer.
SSurely you have seen the name of Dash, a cryptocurrency specially designed and developed as a solution to make payments "person to person". To achieve this, this cryptocurrency seeks to offer a simple, agile system with low commissions. Its main difference from other cryptocurrencies is that it is focused on the transfer of value. In this way, it seeks to stand out from the rest of cryptocurrencies, presenting options for a massive use of cryptocurrencies.
The first version of the software was released on January 18, 2014 and was announced on the BitcoinTalk forum. Back then the cryptocurrency was called XCoin (XCO). The name was not very commercial, so on February 28, 2014 its name was changed to Darkcoin. This name would not last long too, because it could lead to erroneous and negative interpretations as well as not liking anything in the community. It was so that on March 25, 2014 it was called Dash, an interesting and agile reduction of Digital Cash.
Shortly after the network was rolled out, the creator and main developer of the cryptocurrency Evan Duffield, detected a major error in the code. Duffield gave it the name of "Instamine". This error allowed 1,9 million coins to be mined, due to an incorrect conversion of the difficulty that made use of a corrupt value to calculate it.
What is Dash?
A brief and simple explanation of Dash and how this cryptocurrency works.
That code bug was quickly corrected, but Duffield presented the community with several scenarios to make the situation more equitable. The first was to relaunch the coin from scratch, with the software corrected, but the community rejected it. The second option was to make an airdrop or gift of coins. Through this means, it was sought to expand the initial distribution to which the community again opposed. Given the two refusals, he decided to leave the matter as it was and continued with the development with the code already corrected so that it did not happen again.
Despite the rough start to cryptocurrency, the development team continued to grow. To the point of having 30 full-time employees, 20 part-time employees and dozens of unpaid volunteers. To all employees of Core team they are paid with the Dash budget system. Therefore, they do not depend on donations or sponsorships that may generate conflicts of interest. In January 2018, with the crypto market boom a Dash cost $ 1.530 USD. This placed this cryptocurrency with a market capitalization of close to 12 billion dollars.
Dash technical characteristics
Mining uses a mixed model of between mining PoW y Pose. The first system is inherited from the blockchain technology of Bitcoin y Litecoin. In this process, all the mining nodes in the network seek to solve the cryptographic puzzles imposed by the algorithm of mining is. X11. The algorithm X11 it was developed the same Evan Duffield and it is considered one of the safest algorithms.
X11 is based on eleven of the most secure cryptographic techniques known so far. In doing so, Duffield intended to reduce energy consumption and ensure fairer distribution during the first years of the network. Unlike Bitcoin, which is based on a single algorithm, X11 is also designed to provide protection against any future weaknesses discovered in one or more of its hash functions.
Today, mining is a highly professionalized industry powered by powerful server farms. ASIC all over the world working to secure the network. For its part, the model PoSe (Proof of Service) it points to a second mining layer for which masternodes are responsible. These are responsible for the operation of PrivateSend e InstantSend, the decentralized system of governance and budget.
Because this second level is so important, masternodes are also rewarded when miners discover new blocks. The breakdown is as follows: 45% of the block reward is given to the miner, 45% go to masternodes and 10% is reserved for the budget system (created by superblocks every month).
The masternode system is known as Proof of Service (PoSe), since the masternodes provide crucial services to the network. In fact, the entire network is overseen by masternodes, which have the power to reject incorrectly formed blocks by miners. If a miner tries to take all the reward from the block himself or tries to run an older version of the Dash software, the masternode network would disable that block, and not add it to the blockchain.
Masternodes, the masterpiece of Dash
The masternodesthey are just nodes details of the blockchain of this cryptocurrency. Its main objective is ensure a minimum level of performance and functionality on the network. In addition, they serve as a means to control the updating consensus, development process and economic system of the network. Thanks to masternodes, this cryptocurrency is capable of executing features such as PrivateSend e InstantSend.
For its part, PrivateSend allows anonymous transactions between parties, while InstantSend enables instant transactions. For these services, the masternodes receive a payment, using a concept known as Proof of Service (PoSe). A test that together with the Proof of Work (PoW) serves to provide greater security to this blockchain. Masternodes can also vote on governance and funding proposals, with each masternode entitled to one vote (yes / no / abstain) on each proposal submitted to the system.
However, in order to control the number of masternodes on the network, there is a condition for their deployment. Each masternode must have a stake of at least 1.000 Dash as collateral. From this property the mixed model used Proof of Service (PoSe) y Proof of Work (PoW) for its funtionability.
Thanks to this double consensus system, Dash can implement many of its features. Although the main impact is the improvement in the security and scalability of the blockchain. Currently, this blockchain has more than 4000 active masternodes. This leaves clear evidence of the level of decentralization existing in the network.
InstantSend and PrivateSend, Dash's unique payment services
InstantSend y PrivateSend are two services unique of this cryptocurrency. Both services are enabled thanks to the operation of the masternodes. The first of them, InstantSend It is a service that allows almost instantaneous transactions. To achieve this, each transaction sent using this system is verified by consensus in the masternode network. Conflicting transactions and blocks are rejected. If a consensus cannot be reached, validation of the transaction is done through standard block confirmation.
The second service, PrivateSend is a coin mixing service based on the coinjo, with multiple modifications. These include the use of masternodes instead of a single website. This allows you to send cryptocurrencies safely with complete privacy at all times.
How is the Dash project governed?
Dash advocates strong decentralization in its economic and governance system. To do so, lay the foundation of your system on masternodes and strong community engagement, creating one of the first DAO from the blockchain world.
Dash's governance system is called Blockchain Decentralized Governance, or DGBB. This system allows each masternode to vote once (yes / no / abstain) for each proposal. If a proposal is approved, developers can implement it (or not).
A clear example of governance in Dash was given in early 2016. At the time a proposal to increase block size to 2 MB. Within 24 hours, a consensus was reached to approve this change. Another point in favor is that DGBB provides a means for Dash to finance its own developmentAnd it is that every time a block is extracted, 45% of the reward goes to the miner, 45% goes to a masternode and the remaining 10% goes to the development of the project.
During the month, anyone can make a budget proposal to the network. If the proposal gets the net approval of at least 10% of the masternode network, at the end of the month the requested amount will be paid in a "superblock". At that time, unpaid block rewards (10% of each block) will be used to fund approved proposals.
Therefore, the network finances itself by reserving 10% of the block's reward for budget projects. To make it possible to track all this participation, the community created Central Dash. On this website, you can review each of the community's proposals and see if they have been approved or not.
How to use Dash?
Among the purses available to use Dash we have:
Dash Core, Dash's official wallet project. This includes all the Dash features (PrivateSend, InstantSend, voting system). It is a complete wallet, so it downloads the entire blockchain Dash, making it very safe to use.
Dash Electrum, is another of Dash's great wallet projects. It is a lightweight wallet, so access to the Dash blockchain is provided through Electrum servers. It is a very secure wallet, but it lacks options like InstantSend and PrivateSend.
Coinomi, is another wallet that offers Dash support. Nor does it offer InstantSend and PrivateSend service.
Other purses known to offer Dash support are Exodus y Jaxx, both purses very secure.
The kings of the crown in this case, are Ledger y Safe deposit. Both manufacturers make their models with Dash support. However, despite the security offered by these devices, they do not support the use of PrivateSend or InstantSend. So to make use of them, you will have to download the complete Dash desktop wallet or the official Dash mobile client.
At this point the best option to choose is the official Dash wallet. It offers support for all Dash features, including NFC payment, QR payment, fingerprint reader security and more. Other mobile options are Coinomi, Edge y Bitno. All these wallets with high levels of security that will allow you to make safe use of your funds in Dash.
DashText is a unique service that offers the ability to create a Dash wallet just using a phone with SMS support. This system is designed to massify and facilitate the use of cryptocurrency in places without an internet connection. The main advantage of the system is that you don't need a smartphone to use Dash.
The pilot of this program started in Venezuela and then spread to Colombia. The use of it is completely free and is based on sending SMS to certain numbers (2030 in Venezuela, 89979 in Colombia). The system allows you to check balance, review the value of the cryptocurrency in local fiat currency, send and receive cryptocurrencies.
Roadmap - The Future of Dash
Dash has had strong and continued development since its inception in 2014. An approach that has earned it to be one of the most used and valuable cryptocurrencies and blockchain in the crypto world. That focus is still maintained and among the major milestones that they hope to meet in the near future, the following can be highlighted:
Long-lived quorum for Masternodes (LLMQ). This is a feature that enables masternodes to create one or more quorums capable of performing validation actions for a longer amount of time. This seeks to improve the response capacity of the network. This without increasing the consumption of resources such as the bandwidth of it.
ChainLocks app, a security measure created to prevent 51% attacks on the blockchain. With this measure, it is expected to increase the ability to climb without fear of attacks by 51%. This feature is linked to LLMQs.
Payment based on user names. This is a characteristic that we can see for example in the blockchain EOS. This is intended to allow users to register a unique and unrepeatable username that facilitates the payment system. A feature to make payment more friendly, than one based on a cryptic series of addresses. This, however, is an option, and you can still make transactions with the system based on cryptographic addresses.
The creation of DAPI (distributed API) and a decentralized data storage system. These options seek to diversify blockchain use cases.
With these future developments, Dash seeks to better position itself as a payment option for real and daily use.
Dash advantages and disadvantages
Transactions on this platform are much faster than Bitcoin transactions. If you choose the normal payment system it takes about 3 minutes, but with InstantSend payments are instant. The default option since the last version of the software is to make all payments using InstantSend.
The PrivateSend option offers a high level of anonymity by using high-level mixing to carry out transactions.
The dual network mining and maintenance system (miners and masternodes) allows great flexibility and security.
Using the X11 mining algorithm makes the network very secure. Even if one of the 11 algorithms breaks, X11 will still be safe.
The fees charged by the system for making transactions are very low compared to Bitcoin and other cryptocurrencies.
Dash has received harsh criticism regarding a certain level of centralization that the cryptocurrency has, especially for the topic of masternodes and the way in which it is financed.
Your community tends to be highly reactive and tends to be a continuous FUD creation point.