Dash (DASH) is another decentralized, peer-to-peer, open-source digital currency, which is looking to one-up Bitcoin, by covering everything the latter has to offer and adding some advanced capabilities on top. What extras does Dash deliver, and how does it accomplish these features?
InstantSend is the ability of Dash users to make instant payments, PrivateSend is about keeping transactions private on the public ledger and DGBB is about decentralized governance.
All of the above are accomplished through a unique, two-tier network architecture, which allows – besides the actual blockchain – the maintenance of a network of master nodes. It is this master node network that provides the above mentioned advanced features.
The Dash blockchain is secured and maintained by miners, the same way Bitcoin’s is. Master node functions on the other hand are not performed by miners. Out of every mined block, only 45% of the reward goes to the miners. Another 45% is handed over to the master nodes, with the remaining 10% going into the network’s budget/treasury. Every masternode needs 1000 DASH as collateral, to essentially keep it safe from attacks. This chunk of currency can be spent at any time, though if the collateral is spent, the masternode it used to support ceases to exist.
Although under its current name, Dash has only been around since March, 2015, the actual introduction date of the currency/payment system is January 18, 2014. In its beginnings, the project had to deal with some identity struggles. Initially, it was called XCoin and then it had its name changed to DarkCoin. Dash (the abbreviation of Digital Cash) was finally adopted on March 25, 2015.
Dash is currently the 7th biggest crypto currency by market capitalization. Some 19 million Dashes are going to be mined. The difficulty of the mining process is continuously increased, so every year, fewer Dashes are mined by about 7%.