Dash is considered to be one of the first Bitcoin derivative. It launched in 2014 and it initially copied and slightly modified Bitcoin’s code with the goal of becoming a more mainstream coin.

Dash Explained

Dash’s technology differs from Bitcoin due to its InstantSend and PrivateSend features. InstantSend means speed. The feature allows for DASH’s users to transfer DASH and not having to wait for the transaction to be confirmed on its blockchain. The crypto is sent through a special type of node, a Masternode, which locks them before recording them in the following block.

PrivateSend means privacy. The feature works basically as a transaction mixing service. When users send DASH through the Masternodes, these special nodes mix transactions with one another and, by doing so, obscures the trail of the transaction.

Dash was also one of the first projects to allow holders to participate in blockchain operations even before staking protocols had been created.

DASH’s network’s economy cap is 18.9 million DASH.

Dash is a proof-of-work cryptocurrency and functions very much like Bitcoin.

Dash’s First Layer

In its first layer, miners secure the blockchain by preserving its transaction history, preventing double spending, and compete on the creation of new blocks.

Dash’s block time average is faster than Bitcoin’s, however, unlike Bitcoin where its miners receive 100% of whatever is minted in each block, DASH’s miners receive only 45%.

The MasterNode Network

The second layer is where innovation happens. It is operated by Masternodes, a special node which facilitates both private and instant transactions, rejects improperly mined blocks and stores a full copy of the ledger.

Nodes can become Masternodes by holding 1000 DASH and thus start receiving 45% of the block reward and the possibility to vote on how the 10% of the block’s reward is allocated.

Even though proposals for new features can be made by anyone, it is the Masternodes who have final say on them by means of voting.

In order for any vote to pass, the “yeses” must outweigh the “nos” by more than 10%.

The Dash Treasury

The Dash Treasury is fund created by the DAO in which 10% of block rewards get allocated. It serves as a way to fund the development of proposals which get approved by the Masternodes.

The History Behind Dash

Dash was created in January 2014 by Evan Duffield. Its original name was Darkcoin, as to highlight the coin’s anonymity and privacy features. Darkcoin was rebranded to Dash in 2015. The name Dash is a play on the words “Digital Cash”.