Blockchain and Privacy III. - Private CryptoCurrencies: Dash

2020-05-28 | CryptoCurrency.org

Dash (blend word for Digital Cash) was launched in January 2014 as Xcoin, and quickly changed its name to Darkcoin, only to be rebranded as Dash in March 2015.

Dash (formerly Darkcoin) is a blockchain-based peer-to-peer cryptocurrency that was forked out of Bitcoin. It offers faster and more private transactions to users than Bitcoin could deliver.

Dash (blend word for Digital Cash) was launched in January 2014 as Xcoin, and quickly changed its name to Darkcoin, only to be rebranded as Dash in March 2015. Although it is a fork of Bitcoin, there have been quite a few changes introduced making both digital coins substantially different in terms of efficiency. It is decentralized, but it does not end with a simple “equality” of participants. Each member of the network can contribute their own ideas for the development of cryptocurrency or vote for other initiatives. The idea of ​​Decentralized Governance or DAO is fully implemented, which means that there is an absence of a central issuer and equality of network participants, while its production does not need such high capacity as in the case of BTC.

Dash has a coinjoin mixing technique called PrivateSend (previously called DarkSend), running on a network known as Masternode and it mixes the transactions of multiple parties as one transaction, instead of separate transactions. .E.g.: three funds transfers from A to D, B to E, and C to F, will be read on the blockchain as A, B, C to D, E, F. This way, there’s no definite way of identifying who received funds from who and in what amount, though he senders and receivers have to submit the same Dash denominations.

Advantages of Dash

• popularity — Dash has developed a steady follower base, making through its challenges and has entered into an “action-packed” stage, drawing attention to more investors because of its versatility, flexibility and its universal appeal

• speed — the transactions take place instantly, giving it a significant advantage over many other cryptocurrencies

• liquidity — it is listed on a very large number of online exchanges, but it also accepted in all affiliate online stores already

• low costs — its transaction fees are also provided at low rates, making it profitable for an investor

Future potentials

Dash has experienced a stable growth in the past years. The coin went from barely $10 to over $1500 within less than a year between 2017 and 2018, then it has stabilized and trades between $300-$400 as of mid-2018 on the crypto markets. Moreover, it has effectively managed to break into a $1 billion market cap too. After April 2018, Dash’s market capitalization has hovered around $3.8 billion dollars.

Conclusion

The DASH team has set a goal to become number one among all other cryptocurrencies in non-cash payments. Created as an alternative to Bitcoin, DASH has managed to separate itself from a number of other cryptocurrencies with its unique features. Only the future will show if DASH becomes the “digital cash” or not.

Read also our article “Blockchain and Privacy II. — Private CryptoCurrencies: Monero” here.