Dash is a cryptocurrency that claims to be “better than cash” and used for making instant, secure and global payments at a near-zero cost.
The Dash Coin is accepted by thousands of merchants all around the world, especially in Venezuela where the coin and cryptocurrency generally are becoming more or less a quasi-national currency.
Dash is “bitcoin in practice” –a peer-to-peer digital cash and certainly one of the best cryptocurrencies to have in your portfolio this 2020.
What is Dash (DASH)?
Watch this video by the dash team for highlights of what DASH is all about and the unique benefits and features of the DASH coin.
The Story of the Origin of Dash Coin
Evan Duffield forked the Bitcoin code to create and launch the Dash cryptocurrency in January 2014.
Originally, the coin was called “Xcoin” and later changed to “DarkCoin”, apparently to reflect the seemingly dark nature of bitcoin and cryptocurrency transactions.
Not satisfied with the associative meaning of the new name, the team decided to rebrand it to “Dash”.
The name DASH is derived from the words “Digital Cash”.
Launched on the 18th of January 2014, Dash aims to deliver financial freedom and shape the future of payments for people around the world by developing features focused on speed, privacy, and usability.
More so, the project wants to be the most user-friendly and scalable, payments-focused cryptocurrency in the world and it is recording significant successes in this regard.
The Dash Team and Community
Dash is a community managed open-source blockchain with hundreds of developers working to build, maintain and grow the network.
The development of the network is primarily spearheaded by the Dash Core Group; Inc. (DCG) comprising of over two (2) dozen top management members lead by the CEO –Ryan Taylor.
The activities of the DCG are funded directly from the blockchain-based on community approvals through a voting system that determines what direction the project should take and what amount of resources is committed to each project to be handled.
The Dash project is managed through the Decentralized Governance by Blockchain (DGBB) system which takes care of the problems of governance (who make decisions for the project) and financing (how is the project financed) for the network.
The DGBB is based on a voting system whereby members of the Dash community through the master nodes can vote once (yes/no/abstain) for each project development proposals.
Proposals that get the community approvals are implemented by Dash developer.
More so, rather than depend on donations or sale of pre-mined coins for funding, the Dash project utilizes a self-funding mechanism that helps protect and maintain the integrity of the network over time.
How does the self-funding mechanism of Dash Work?
The Dash project uses 10% of all block rewards to fund its own development.
Here’s how this works out; every time a block is mined, 45% of the reward goes to the miner, 45% goes to a MasterNode, and the remaining 10% is reserved for the funding of the project.
Any member of the Dash community or developers can submit proposals for funding during the month. If that proposal is approved by the community through the voting system mentioned earlier, funds are released from the 10% mining reward that was reserved for funding.
This makes the Dash network a self-funding project.
For more on how the Dash Blockchain is funded please watch this video by the team.
Unique Features of Dash Coin
- Increased scalability and security with MasterNodes
- Superior privacy using PrivateSend
- Instant transactions using InstantSend
- Protection against 51% attacks using ChainLocks
One of the novel invention of Dash is their second layer network of servers called MasterNodes.
MasterNodes enables the project to build user-friendly payments systems and guarantee faster transaction speed and other cool features on the Dash Network that makes it more efficient and highly scalable.
Anyone with 1000 DASH coins can become a MasterNode for the opportunity to earn a percentage of the block reward as an incentive.
Some of the existing services provided by MasterNodes includes PrivateSend, InstantSend and governance services.
Privacy is an important factor when it comes to cryptocurrency transactions.
With the Dash PrivateSend feature, the origin of your funds can be obscured by mixing your transaction with that of two or more other users and using a different wallet address that’s not identified with you.
How it works:
- Your transactions are broken down into the nearest whole number denominations such as 001, 0.01, 0.1, 1 and 10 DASH.
- Your wallet then sends an anonymous request to the network of master nodes that you wish to mix your coins with that of other users. The master nodes have no idea who is sending the requests.
- When other users send similar mixing requests the mixing begins and the MasterNodes will mix the funds and instruct everyone’s wallet to pay their respective balances to themselves using what’s called a “change address”.
- This process is repeated several times –up to a maximum of 16 times, thus making it very difficult to determine the origin of the funds in your wallet.
- All of this happens in the background without you having to do anything and doesn’t affect the speed of your transactions in any way.
- All you have to do is to enable PrivateSend from your wallet and you’re covered.
Dash’s InstantSend technology makes it possible for individuals to make instantaneous payments for goods and services that get settled in less than a second.
With Dash InstantSend, merchants need not worry about payments taking a long time from minutes to even hours in the case of bitcoin for instance as the coins are transferred to the merchant immediately as the user sends them.
However, during payment, the user must select to pay using InstantSend for this to be enabled.
This feature is Dash attempt to reduce uncertainty when receiving funds and to prevent the possibility of a 51% attack.
When used particularly with InstantSend, ChainLock provides certainty when accepting payments.
Using a Long-Lasting Masternode Quorum (LLMQ) technology, newly mined blocks are signed and broadcasted by selected MasterNodes.
If 60% of the selected, special MasterNodes see the same new block they will collectively form a “CLSIG” (ChainLock Signature) which is then broadcasted to the entire network.
Any further transaction that’s contrary to what’s contained in the already broadcasted block is rejected by the miners –thus making a possible network rollback practically impossible.
Dash Fast Facts
- All-Time High: $1,642.22 USD (Dec 20, 2017)
- All Time Low: $0.213899 USD (Feb 14, 2014)
- Total Supply: 9,417,503 DASH
Max Supply: 18,900,000 DASH
Dash Coin Price Prediction for 2020 and Beyond
At the time of writing this article, Dash is the 20th largest cryptocurrency by market capitalization with a Market Cap of $604,095,441 on CoinMarketCap.
Three weeks earlier, before the grand crypto market crash of March 12th, 2020 the cryptocurrency was trading at over $130, after seeing a massive price increase of more than 180% in January through February 2020.
With over 4000+ global network of merchants accepting dash; an extremely low maximum supply of a little above 18 million DASH; an ever-increasing number of merchants accepting the Dash coin; coupled with the project continuous drive for mass adoption by making it very easy for non-technical people to interact with crypto and the Dash coin in payment for everyday purchases; it is easy to see why we believe the price of Dash is going nowhere but up.
We expect DASH to be exchanging hands at a price well above $200 by the end of 2020 into 2021.
That will translate to a 207% increase from the current price of $65 in the next nine (9) months.
Right from the beginning of 2020, Dash has enjoyed increased adoption in Venezuela’s hyperinflated economy which has helped sustain the continued growth of the coin through the first quarter of 2020.
According to CoinDesk Q1 Report 2020, while bitcoin has lost 10% of its value in the first quarter of the year, Dash is up by 35%. Outperforming bitcoin and a host of other top cryptocurrencies by a wide margin.
More so, according to Nemo Qin, a market analyst at Toro
“Dash established meaningful collaborations with international brands including Burger King in Venezuela and Germany. These collaborations, coupled with lower transaction costs and a faster transaction experience than bitcoin, further promote dash’s narrative of day-to-day usability,”
Thus a 200% price appreciation, should the market turn bullish in the few months ahead is not far from being realistic.
In addition, in the next 2 to 5 years DASH should be trading well above its All-time High price of $1,600 per coin.
Should that happen (which is very likely), an investment in Dash in 2020 could produce a return of at least 2,000% in the next 2 to 5 years.
Dash is one of the cryptocurrency you can invest in right now with potentially huge returns a few months or years from now.
The project is making it easy for merchants and non-technical people to send and receive crypto through various technological improvements such as InstantSend, offline transactions, PrivateSend and Username based wallet addresses that remove the need for copying and pasting long strings of unintelligible wallets addresses.
The dash network is also one of the most secure and stable blockchains that has never experienced any security breach or the regular split and forks that’s prominent in the cryptocurrency space.
This is due to its inclusive, straightforward and transparent governance system that promotes collectiveness.
Do you consider Dash as one of the best cryptocurrencies to invest in right now? Where do you see the Dash coin in 2 to 5 years from now?
Let us hear your opinion in the comments section below.