The emergence of some popular cryptocurrencies was due to the desire of developers to correct the shortcomings of Bitcoin. One of these cryptocurrencies is Dash, which today we will talk about.
In December 2017, this cryptocurrency showed fantastic growth, reaching a market capitalization of $12 billion. The value of the DASH token was equal to $1,500. Since then, these figures have decreased markedly. But the project is still of interest to investors. Today, favorable conditions for the Dash to BTC exchange are available.
How Dash appeared
In 2015, programmer Evan Duffield decided to work on the shortcomings of bitcoin. The process so captivated him that the idea of fixing Bitcoin's shortcomings turned into the idea of creating a new cryptocurrency. So the developer founded the company, Dash Core DAO.
Duffield considered the main disadvantages of Bitcoin to be insufficient anonymity, low transaction processing speed, and a weak level of protection of the system. In fact, Dash is a fork of Bitcoin. Although the offshoot cryptocurrency works on the same source code as BTC, it has many differences.
Dash characteristics
The main difference between Dash and other cryptocurrencies is the two-tier system architecture. Most cryptocurrencies on the blockchain use only this technology, which is only a basic layer. Dash adds so-called MasterNodes, which are conditionally the second floor of the system.
Additional functions and features of the system are associated with the operation of MasterNodes. Miners open new blocks, and other users are responsible for the anonymity of transactions with MasterNodes.
How does it work?
MasterNodes shuffle coins in a random order, thus cutting off any connections between users and payments. With this technology, called PrivateSend, it is impossible to link information about the transaction participant and the transaction itself.
Volunteers from all over the world have control over the masterminds. In order to join it and connect to a masternode, you need to have an amount in your account of 1,000 Dash. This provides increased protection and eliminates the possibility of connecting undesirable people.
The distribution of coins in the system is as follows: Miners get 45% of the coins for opening a block, another 10% goes to the founding company's reserve fund, and the remaining 45% goes to MasterNodes as earnings. This way of dividing the tokens allows the company to receive funds for the development of the project.
Decentralization
An important distinguishing feature of the Dash is decentralization. It allows all users of the system to vote on the development of the project. Everyone can put up their own proposal to vote on the improvement of the network. To do this, it is necessary to contribute 5 DASH. The rest can add to and improve on the proposal. The final decision will be made by a vote.
Another innovation is the new mining protocol. Dash offers 11 block hashing algorithms, compared to one in Bitcoin and some other cryptocurrencies. But the main advantage of the new protocol is the high level of protection. To crash the system, all 11 algorithms would need to be cracked. This is practically impossible. Also, DASH mining consumes about half as much electricity as bitcoin.
The cryptocurrency can be found on the website https://alligat0r.com/. But remember, no one is able to give an accurate prediction about the cryptocurrency market. Keep this in mind and make all your own decisions about buying, selling, and investing your own money.
