His name is Dash owes two words: digital (digital) and cash (money). If you create Dash in 2014 was based on the Bitcoin Protocol, but modified with an eye on what calculations should take place quickly. The developers aim to create a universal system that is convenient to legal entities and individuals, sellers and consumers, and will become a platform for international transfers. Detailed information about the project provided us with colleagues from the Crypto Reporter.
Dash became market leaders by market capitalization — 11th place according СoinMarketCap, due to the large interest from investors and adopters of cryptocurrency. Ryan Taylor, Executive Director of Dash Core, argues that the value of the Dash lies in its ability to process transactions quickly and smoothly.
The problem of crypto-currencies in scalability
Currently, the problem of scalability, i.e. increasing the number of transactions per unit of time, the most popular cryptocurrency, bitcoin, has not been resolved. Hardwork SegWit2X was canceled and Lightning Network is only at the stage of testing. The more the transaction appears in the network, the greater the Commission you have to put the transaction to go faster. The Bitcoin network during peak load periods the fee for a quick transaction can be up to several tens of dollars. Such periods can last up to several weeks, and it causes great inconvenience if you need to quick payment. In this regard, many online businesses are accepting cryptocurrencies as payment, move on to faster solutions, such as Litecoin or Dash.
The unit in the Dash is generated every 2.5 minutes, and its size is 2MB, thus, the transaction rate is 8 times higher than the Bitcoin network, where a block size of 1MB is generated every 10 minutes. The transaction speed in Dash will grow with the improvement of the Protocol, which employs more than 60 developers.
In addition, to improve network developers are also collaborating with the State University of Arizona, which provides the results of scientific research in the field of blockchain technology. As well as working to create specialized processors for mining, which is thousands of times more productive than usual.
“We are studying how quickly you can generate new units in our network with the help of specialized processors. If we can do it very quickly, it will increase the transaction rate to the level of the Visa,” says Ryan Taylor. Visa payment system transmits an average of 2,000 transactions per second and is able to withstand peak loads up to 24,000, which is significantly faster than existing blockchain platforms.
Dash DAO — decentralized Autonomous control system
The Dash is a self-managed ecosystem, it was created as a DAO. This structure allows the Finance team and to cover fundamental costs, such as marketing campaigns. DAO consists of three independent organizations: the Dash Core, Dash Dahs and Force Labs.
Dash Core, the largest organization working to improve the Protocol. Dash Force is actively involved in working with the Internet community and is engaged in the promotion of the brand. Dash Labs, is the youngest structure, is based in Hong Kong and is working to create accessible specialized equipment to process transactions.
“Currently, the main economic benefits from the transaction processing is given to holders of patented technology of production of microchips for mining. As a result, mining is heavily centralized, i.e. controlled by a small number of companies producing mining device on an industrial scale. Dash Labs is committed to develop a system of mining with an open architecture. This will help make the ecosystem of cryptocurrencies open and transparent, and production of microchips for mining will be available to all,” says the Creator of the Dash Evan David.
For making decisions about the future development of ecosystems Dash used masternode.
To become the operator of masternode, you need to own 1000 coins Dash. When generating the block reward is divided between the miners and operators of mastered in the proportion of 45% and 45%. the remaining 10% are in the so-called “Treasury”.
By vote of the owners of mastered decide how to spend funds from the Treasury. The results are stored directly in the blockchain and allow you to decide which projects are a priority for the development of the ecosystem, and which should be abandoned. Decisions are normally by majority vote. If the project is successfully vote, the initiator receives funds in the form of a Dash for the project. The required amount is automatically sent from the Treasury.
This system of government allows the project to evolve much faster than other cryptocurrencies. Decisions are made quickly, and work on implementing them.
The Treasury funds are also used for the recruitment of new developers, conferences, marketing campaigns, payment of listing on the major exchanges and so on.
Operators mastered also support the safety and integrity of the ecosystem. They keep a full copy of the blockchain and are constantly updating it. In addition, they provide functionality InstantSend and PrivateSend, which are distinctive features of the Dash.
How does PrivateSend
Transactions-bitcoin blockchain openly displayed the sender and the recipient. Anyone can verify the specific transaction and know which wallet and which wallet was transferred. Dash provides the option to hide transactions with the option PrivateSend. This technology mixes a lot of different transactions, breaking trace a chain of senders and receivers Dash and making it impossible for the disclosure of their addresses.
The amount sent using PrivateSend, before mixing is divided into discrete values in a dash of 0.01, 0.1 dash, 1 dash, dash 10, and so on. Then masternode mix these values with the values from other transactions PrivateSend from other users. Such mixing may be several, which increases the uncertainty. After that the required amount reaches the payee, and thus impossible to trace the sender.
Masternode do not have access to the users, they work only as a mediator, disseminating in the network a request to mix a certain amount of funds, and implement the process as soon as you have enough of the same requests PrivateSend.
How does InstantSend
If you do not want to wait a few minutes to complete the transaction, he can use InstantSend. In this case, a small number of mastered can provide confirmation of the transaction within one second. This happens in the following way:
Ten mastered are randomly chosen each time is generated the next block in the network (this happens every 2.5 minutes). These masternode are “elected” to generate the next block.
Every time a user sends someone Dash with InstantSend, ten mastered get information about this request. Masternode announce this transaction is blocked, and transmit information about them on the network. From this point the transaction is considered valid and all other transactions that have the same source data, but sent to other addresses will be rejected. Such a locking mechanism can solve the problem of double expense.
The transaction appears in the blockchain when generating the next block.
The project KuvaCash in Zimbabwe
A great example of how owners mastered make decisions about the future development of ecosystems Dash, is a project KuvaCash.
This project is designed to help African countries in solving problems with hyperinflation and devalue the national currency. Its goal is to provide the local population the opportunity to use cryptocurrency payments based on sending messages on the phone. The project is funded directly from the Treasury of the Dash.
In addition to all these features, the Dash team is implementing the plan on development of platform Evolution Dash. The purpose of Evolution is to make the system so easy that everyone can make payments even without special knowledge about cryptocurrency. Dash Evolution will be scalable and convenient platform for mass use, available on different devices, and simplify the mechanism of transactions.
“Dash Evolution will greatly simplify the use of digital currency. Our goal is that anyone, regardless of age, ethnicity, and education, to use digital currency every day. Think of Evolution as a online payment system similar to PayPal, but fully decentralized, in which the user is always in control of your money. Moreover, Evolution is incredibly cheap, without any cross-border fees or restrictions. With this approach, Dash could become the first digital currency used is really wide audience,” says Ryan Taylor.
Ispolnitelnyj Director of Dash — another reason for which is to pay attention to this cryptocurrency. He is an expert in the payments industry with an experience of over 15 years in the financial services industry and technology. He analyzed the global market for payment services, working as an analyst in the investment funds, asset managers with a total sum of 20 billion dollars. Also Ryan has a great experience in one of the leading positions at McKinsey, where he was engaged in strategic consulting and worked with the top management of the largest financial institutions.
The current market capitalization of the Dash about $5 billion. Compared with bitcoin (about $165 billion), is a tiny part. But, taking into account the advantages of bitcoin and other cryptocurrencies, sure Dash will reduce the gap.