What is Dash? All You Need To Know
Dash is one of the most popular digital currencies in the world right now. As opposed to Bitcoin, which is leading the popularity (and price) rankings, Dash is a more convenient currency, especially when it comes to daily use. In this article, we take a look at Dash – from who developed it, its advantages and disadvantages, and what is the best way to get your hands on some.
Who created Dash?
Dash was developed by a certain Evan Duffield, and currently has a team of over 50 developers and engineers working to improve the system. It was formerly known as DarkCoin or Xcoin, but what not many people know is that Dash actually evolved from a Litecoin hard fork, namely litecoin v0.8.6.2, which was, in its turn, a hard fork of Bitcoin. Dash and Bitcoin share the same DNA, and while they are not based on the same algorithm, both aimed to make cryptocurrencies more accessible to the public. However, the high market price and steady growth of Bitcoin over the last year caused it to become more of a long-term investment vehicle, rather than a usable currency. Dash, on the other hand, has a lower market price, as well as several features that make it easier to use for day-to-day needs. Some people like to refer to Dash as the ultimate digital currency, while Bitcoin is more of a ‘digital gold’ or an investment vehicle. Even the name of the currency is an acronym of the words ‘digital’ and ‘cash’.
But how exactly is Dash different from Bitcoin?
For once, Dash can be used to send instant and private transactions to both online and offline businesses, on a platform supported by millions of users. Bitcoin’s slow transaction times are infamous in the cryptocurrency community, and that tends to turn a lot of people away from using Bitcoin for daily transactions. However, Dash has a unique feature called the Instant Send, which empowers people to send money in a matter of seconds. Another drawback of the Bitcoin network is the relative lack of privacy. Bitcoin started off as a more or less anonymous currency – as in people using it were not required to give their real name and address in order to purchase or transfer Bitcoin. However, in the last year, mining pools are able to trace back to the people behind Bitcoin transactions pretty easily. On the other hand, Dash’s Private end features breaks down a single transaction into several different ones and mixes it with other transactions so that it’s hard to tell where the money came from.
The Private Send and Instant Send features are what makes Dash different and somewhat better than Bitcoin. Both of these are possible grace to some protocol differences between the two currencies. Much like Bitcoin, Dash can be mined using proof of work. However, unlike Bitcoin, Dash also uses proof-of-stake mining to enable features like the Private Send and Insta Send. They achieved this by implementing masternodes – computers that take on the heavy network duties such as these two features. One has to pay 1000 Dash to run a masternode, but are also generously rewarded – 45% of each mined block reward. Grace to the existence of masternodes, people using Dash can access these ‘Premium’ features, protect their privacy, and cut on waiting times.
How can you obtain Dash?
As you might have guessed already, you can get your hands on some Dash by either mining or purchasing it. Dash is based on an algorithm called X11, which is said to be ASIC-resistant and relies on large amounts of RAM memory. This makes it easy to mine Dash from home, especially if you have enough RAM and a strong enough GPU to support the process. You can also get Dash cloud mining contracts from websites like Hashflare, especially if you’re not fond of the idea of opening up your computer. Lastly, you can purchase Dash from an exchange. It’s much easier to buy it using Bitcoin, but you can also come across exchanges that sell Dash and take traditional payment methods. BitPanda is one good example, and so is CEX.io.
To sum up, all you need to know about Dash is: it aims to be the ultimate digital form of cash, offers convenient features like Private Send and Instant Send, and can be both mined and purchased from an exchange. All in all, Dash is a great coin to add to your cryptocurrency portfolio, as its growth trends show that it might become one of the Top 5 cryptocurrencies in terms of price in 2018.