Nov 7, 2018 23:30 UTC
Nov 16, 2018 at 20:26 UTC
A Beginner’s Guide to DASH
Very recently, you might have heard how right now, crypto traders are bullish on DASH. While that does look like a glimmer of hope in what has been an otherwise mostly dull year for cryptocurrencies at large, you might not exactly know about DASH, what it is, how it works and some of its major features. Here is a short and comprehensive beginner’s guide to DASH.
What is DASH?
Recently, we have discussed privacy coins like Monero and ZCash, explaining the concept of privacy coins in our beginner’s guide to Monero. DASH is a cryptocurrency that essentially builds upon that very vision. It is a form of digital cash that users can use to make private and extremely secure payments over an open-source platform. It has the provision for InstantSend payments which make sure your payments get confirmed and processed in less than a second, giving you the numerous benefits of privacy, security, speed and efficiency. The DASH website tells us :
“DASH is digital cash you can spend anywhere. Use Dash to make instant, private payments online or in-store using our secure open-source platform hosted by thousands of users around the world.”
How does DASH work?
DASH is based on a rather unique framework which uses the masternode network to power it. The masternode network is essentially a two-tiered network that is described as being a full-node operation that has been incentivized. Of the two tiers, the first consists of nodes or participant computers that basically make up the network. Now these nodes are what get used by miners to complete DASH transaction verifications. Fresh coins are also created at this level.
The second tier is the one that contains the actual masternodes. These masternodes are basically computers that act as fullnodes, storing the entire DASH blockchain network data. PrivateSend and InstantSend functions are executed over masternodes. In addition, these full nodes ensure that network rules are being correctly implemented and the network is being adequately developed.
Features That Make DASH Stand Out
DASH’s steady rise up the crypto ladder has largely been due to its special features. Let’s have a look at what they are:
Low Transaction Costs:
Compared to Bitcoin, this altcoin charges an extremely low transaction fee and this naturally helps drive adoption. While Bitcoin charges anything between 2 to 4 USDs per transaction, DASH charges a mere USD $0.10.
High Speed With InstantSend:
The InstantSend functionality charges a higher fee but allows for super-fast payments that get processed and validated in less than a second. The use of this feature is optional.
Anonymity with PrivateSend:
Unlike in Bitcoin, where public keys of transactions remain entirely visible, this feature of DASH protects privacy and anonymity in transactions by simply bundling transactions up together so that nobody can tell their origin or destination.
A Governance Model That Is Completely Incentivized:
This altcoin improves upon Bitcoin’s system of depending on contributions from community members. In the DASH network, the transaction fees that are generated are ploughed back to power development of the network.
With the DASH coin steadily climbing crypto charts, you may want to invest in it by buying it from a number of exchanges such as Binance, Changelly and many more. However, if you want a more authentic experience of this interesting network, you absolutely have to check out our article on how to mine DASH cryptocurrency.