Now unless you have been living under a rock, you would know about the meteoric rise of cryptocurrencies that the world has witnessed, particularly in 2017. Almost all of the 28 cryptocurrencies with a market capitalization of more than a billion dollars have enjoyed a massive upsurge in their trading prices on various exchanges.
Leading the way is Dash, an open source peer-to-peer cryptocurrency launched in January 2014 by Evan Duffield. It boasts of one of the fastest growing and also one of the largest networks in its category. Its unique features and services have lured a lot of miners from its rivals. But what exactly has instigated this mad dash towards this altcoin? Just have a look at its features and you’d know.
The Masternode network
One of Dash’s biggest draws is its Masternode network. While most other networks run on a single tier node system, Dash has added a second tier of nodes called the Masternodes. Masternodes are basically servers which perform specialized transactions like the Private Send and InstantSend and also double up as the Governance system. To become a Masternode, you must freeze at least 1000 Dash coins. Masternodes are responsible for sustenance and expansion of the Dash network. It is them and not the CEO or the Board that runs the network.
InstantSend and PrivateSend
The Masternodes perform the InstantSend and PrivateSend functions that are unique to Dash. InstantSend allows you to make payments quicker than a blink of an eye. PrivateSend, on the other hand, also ensures secrecy of those transactions. Both these features are exclusive to Dash and are functional solely due to the addition of the second tier, i.e. MasterNodes.
Decentralized and built-in governance structure
The most exciting part about Dash is its governance structure. As mentioned earlier, it’s the 4100-member Masternodes unit that runs the system. The Masternodes are not governed by anyone. They can enter or exit the network on their own free will. Thus the fortunes of the Dash ecosystem are not dependent on specific individuals.
The Masternodes are rewarded for their investment and efforts through incentives. They are paid a proportion of the total block reward which prevents them from functioning with any malicious intent and also helps provide stability to the ecosystem.
Dash funds its growth by itself. When new Dash coins are minted, 10% of it is set aside for growth and improvement of the Dash ecosystem. If you are a Masternode, you can bring up a proposal that you think would improve the functioning of the network, to the network itself for funding.
Dash’s coin was traded at around $11 in January but has reached a high of $1642 in December. That is a growth rate of about 15000%! Its Market Capital has just crept upwards of $9 billion. With a core team that is as passionate and dedicated, the upward surge may not just be a short-term phenomenon.