Dash Coin Introduction
Launched in 2014 and named as Xcoin, Dash is an altcoin or cryptocurrency that was mainly designed as a fork of Bitcoin. In 2015, the name of the digital coin was renamed to Dash. The coin was launched by Evan Duffield who later set up his office under business incubators in the Arizona State University. By April 2018, the total market cap of the Cryptocoin was approximately $4.3 billion and was occupying one of the top 12 spots in the cryptocurrency market. One of the reasons behind its popularity is its high transaction speed. Other than speed, the currency also has a confidentiality feature that is capable of masking transactions and can be mined by regular miners as well as Masternodes. The cryptocurrency works on a self-governing model where the crypto network itself can fund further technology-related developments of the Cryptocoin. The word ‘DASH” has been derived from two words – Digital and Cash.
Cover Dash Coin Common issue
1. When Dash was launched, due to a bug in the technical architecture of the cryptocurrency, about 2 million Dash coins were mined within a span of 2 days. This was a breach of security that did raise a question mark in the minds of the investors but ever since Dash has undertaken steps never to have a repeat of such an incident again.
2. The confidentiality feature of the Dash coin has been taken advantage of by many illegal trading sites and organizations.
3. The anonymity feature of the coin has also helped many users and investors to evade taxes, especially with a feature like ‘not declare’ that the coin facilitates. When this feature is on, the returns on the investment cannot be traced and hence tax authorities cannot track down the investor.
4. The marketing and sales team of the Cryptocoin has also been under the scanner for having started many failed projects and wasting money investing in such projects. Many users are of the opinion that instead of using funds for making the Cryptocoin popular amongst users and traders, the money was spent in developing relationships with exchanges and other business partners.
5. Another issue that came to the forefront in 2018 was about the top management of the Cryptocoin where many users in the DASH Communities have raised their voice against the CEO Ryan Taylor and in fact, started a proposal to remove him from the post for not keeping the promises made by him in 2016.
Pros and Cons of Dash Coin
Some of the key advantages of the Dash coin are: –
Pros of Dash Coin
1. One of the biggest advantages of the Dash coin is the PrivateSend option. Under this paid feature, transactions can be masked and hidden by mixing a minimum three transactions.
2. The InstantSend feature of Dash is the second big advantage. Using this feature, transactions are completed in less than 4 seconds that is comparatively faster than other cryptocurrency networks.
3. The Masternodes are a distinct advantage for they have the power to vote regarding the use of funds for development-related work. Masternodes are actually computers with a Dash wallet. In order to qualify as a Masternode, a user needs to buy a minimum 1000 Dash and have an IP address. In return, they have special facilities for InstantSend and PrivateSend. The Masternodes also get 45% of the reward that is generated with DASH mining.
4. Since 10% of the reward from DASH coin mining goes to the DASH network, this fund is used for the development of the technology and the Dash cryptocurrency.
5. The transaction fee of Dash is much lower than credit cards and banking rates.
Cons of Dash Coin
1. Speculations are rife in the Dash communities that most of the Masternodes are from the core management and development team thereby raising a question mark on the self-governance and decentralization features of the cryptocurrency.
2. The mixing mechanism to mask transactions is believed to be just an eye-wash for many developers claim that transactions can still be tracked if the Masternodes or the computer terminals are controlled by an individual or a system.
3. The marketing campaigns of the cryptocurrency has been under fire for many believe that lots of funds have been ineffectively spent to market the Dash coin – as a result, there are not many users or traders ready to work with the coin.
How To Sell Or Buy Dash Coin
The Dash coin can be bought from a number of registered cryptocurrency exchanges where it is listed. In order to buy or sell Dash, you would first need to register with an exchange. Many exchanges simply ask for your email id while many others require your complete personal information along with a photo ID. It is best to choose an exchange that has the two-factor authentication associated with the account.
In the next step, you would be required to deposit funds into the newly created account in the form of fiat currency or cryptocurrency that can be paired with DASH as per the listing on the particular exchange. Once it is confirmed that the funds are available in your account you need to visit the market section and choose the buy Dash link for buying Dash.
When you have DASH in your account it is advisable to shift the coins to an electronic wallet that is compatible with Dash. You have the option to download a wallet from the official site of Dash or you can alternately use a third-party wallet recommended by the cryptocurrency. In order to send Dash to another user, you need to open your wallet and instruct a miner to add the transaction to a block or send it using the InstantSend option.
When you want to sell Dash, go to the market section of the exchange. Choose Dash sell; mention the amount that you want to sell and the currency against which you want to exchange the Dash for.
Is Dash Coin safe for investment? /or legally approved
There are two aspects that you should be sure of when dealing with Dash. First, ensure that cryptocurrency dealing is legal in your country of residence or not, for there are many countries like China and India where it is illegal to hold or deal in crypto. The other thing is about the safety aspect – cryptocurrencies are highly speculative in nature. Hence before taking the step of buying Dash or dealing in it, you should seek all possible information about Dash. There are total 18 million Dash coins of which about 7.4 million has already been mined. It is available on many exchanges around the globe. Read in details on which merchants and banks accept Dash before proceeding ahead. The crypto market has a number of currencies available so you must have information how to trade Bitcoin Cash or any any other coin and information about the market performance and values of all before taking a call. It is important to note here that in the past Dash was associated with few illegal transactions that were prior to the name change. You might want to read in details about it before deciding.
Dealing in crypto coins can be risky and users must gather all relevant information before investing in any such coins.