Dash, originally launched as XCoin, was released in 2014 and then was renamed as Darkcoin and now, Dash. Evan Duffield launched this coin and now it has a team of 30 full time workers along with other part time and volunteer workers. When the coin launched, within just 2 days of launch, around 1.9 million coins were mined which is 10% of the total coins that will be mined!
In 2012, the daily trade volume became $100 million per day and its market capitalization crossed $4.8 billion! Just with the launch, this coin has become one of the famous and active coins compared to the others!
Let us know what is unique about this cryptocurrency, the flaws of this currency and investment opportunities!
Current status in the time of writing:
Rank among cryptocurrencies: 7th
Market capitalization: $6.0B
Volume of coins: $202.07 M
Average Transaction fees: $0.1 – $0.30
What is Dash cryptocurrency?
Dash is now a very well known cryptocurrency which was developed to improve user friendliness and scalability. There are no separate or dedicated funding parties or governing parties for Dash. Dash currently offers something unusual like private transactions through PrivateSend and instant transactions through InstaSend. It is a decentralized autonomous currency which is self governing.
More about PrivateSend and InstaSend:
If you are looking forward to invest in this coin, these are the highlighting features you must know about. Due to PrivateSend, Dash is fungible and the transactions happening with Dash are completely untraceable. On the other hand, InstaSend is a feature in which eliminates the conflicts between transactions and allows speedy transactions. There is no confirmation or validation for transactions which makes the transaction take more time to complete. Thus, with this, you get quick transactions and untraceable transactions done!
Winning features of Dash:
Before investing in any cryptocurrency, it is a smart decision to know its weaknesses and winning points. Here are some strong points which has driven this currency to rank 7:
With the feature of Private Send, you can also select your payments to stay secret. The privacy feature hides the sender’s and receiver’s name along with the other transaction details. This is beneficial if you are a business person who doesn’t want to open up the transaction details to the opposing party! Just you get to see the transaction and account details which is quite impressive!
2. Instant payments
With another exceptional feature of instant payments, you can perform the transactions in seconds without having to wait for validations and confirmations. Users can easily select the instant payment option from the wallet though which, the transactions will get completed within just 4 seconds! Also note that these transactions are completely done and are irreversible.
3. Low transaction fees
Compare Dash with the other cryptocurrencies like bitcoin and you will get a huge gap in transaction fees. Bitcoins charge around $3-$4 for different transactions while the average transaction fees or a Dash transaction is $0.1 – $ 0.13 which is almost negligible. This is a great benefit as users done have to pay huge amounts for smaller transactions. In case of coins charging high for transactions, sometimes the users have to pay more for transaction fees than the actual product!
4. Distribution of transaction fees among the team
The best thing about Dash developers is that, they want to reward the miners and people involved in development. When the transaction occurs, here is the way the amount or rewards are distributed:
- The miner gets 45% of the reward
- The master node operator who operates the functionalities like InstaSend and PrivateSend gets 45% of the reward
- While 10% of the reward goes to the maintenance fund which is run by the company to invest in their projects.
This is a fair distribution of rewards known as ‘treasury system’ which attracts more miners and more users to prefer Dash. Also, the 10% reward for funding is a smarter decision where the company raises money from its blockchain without depending on the investors and other funding sources.
5. Global and Secure
Dash transactions can be done anywhere in the world with secure payments. Dash is widely accepted and can be used for trading, purchases, exchanges and other banking purposes. Dash also listed 100 such businesses where it has gained acceptance and is growing.
Risks associated with Dash:
Risks are present in every investment but while measuring the intensity of such risks, you can choose whether to invest or not. Here are some risk factors you must consider:
- Some critics claim that the transactions happening through masternodes which are said to be untraceable can be exposed and the transaction details will be visible!
- Also there are questions about the privacy features of Dash where the users can be tracked after exchanging the coins.
- Dash is also not in the ‘rich list’ of cryptocurrency as it has private transactions done.
Dash is a promising cryptocurrency which can be used for private payments, purchases, trading, exchanges and much more. The incentives of Dash are quite high with which the miners and users can get benefited! Thus, it is a currency which has its own funding and a wide scope in future!