Dash ExposédJuly 23, 2015

Born: Jan 19, 2014 1:40am
Mining Limit: approx 21 Million
Block Target: 150 seconds
Mining Rate: variable (~1M/year)
Mining Rate Reduction: ~7%/year

(at time of publishing)
Price: $3.50 - $3.75 USD
Dash Supply: 5.6 Million
Transactions Rate: 2,500/day
Network Hashrate: 70 GH/s (X-11)


The DarkCoin

Formerly known as Darkcoin(DRK), Dash fills the need for anonymity in the crypto world. Dash utilizes a network of 'masternodes' to provide services like Darksend and InstantX. Dash is an innovative coin with active development, and sets an excellent example for altcoins.

Masternodes collect around half of the mining reward, but, unlike Proof-of-Stake, do not generate blocks. Anyone may host a masternode provided they hold 1000 Dash as collateral, which may be kept in cold storage by following Tao's Remote Masternode Setup Guide. Masternodes wait their turn to receive a block reward, and with over 2500 of them, expect to receive 2-3 Dash every 5-6 days (~18% APY).

Features

Darksend is a service which shuffles coins from multiple participants in an effort to obscure their origin and destination. I tested darksend with my wallet set to anonymize 20 Dash ($70) through 2 rounds of shuffling. The process took a few hours to complete, divided the Dash into standardized units of 1.00001 and 0.100001, and consumed 0.0204 Dash in fees ($0.07). Once complete, the Darksend Dash could be selected separately via a checkbox on the send tab.

NXTcoin, which I will review soon, voted unanimously to add a similar system for mixing coins.

InstantX is another service where Dash utilizes masternodes in combination with transaction locking to prevent double-spending of coins. A transaction utilizing InstantX should not need to wait for block confirmations. Once locked, an InstantX transaction can be considered confirmed, and should display in the receiver's wallet as having 6 confirmations. This process takes just seconds, similar to credit card processing services. The fee of 0.01 Dash ($0.03) to use InstantX is also highly competitive with CC processing fees.

History

Launched under the name XCoin, rebranded to Darkcoin and once again to Dash, let's hope this coin has finally found a name it enjoys.

Similar to Peercoin, the inverse relationship between hashrate and block reward caused a large instamine. Nearly two million coins were mined during the first day, which accounts for one-third of the current 5.6 million Dash in circulation. One million Dash were mined during the last twelve months, and this rate is expected to decrease by around 7% each year.

Both the desktop and android Dash wallets are kept up to date with bitcoin core. The android wallet includes the spending-PIN feature which I adore, and is also capable of sending InstantX transactions. There is work being done daily on github, which gives me faith this coin will stick around for a long time.

Market Activity


The price of Dash has been steadily rising since the coin was introduced. The release of new features, such as InstantX, have had a significant impact on the price of Dash, both in short-term spikes and a long bullish trend.

Rating

Overall Score: 

83 FairLaunch™ Grade: C
Time PeriodTargetDash Mined% of Max (~21M)
Premine000%
24 Hour26,5001,848,1548.80%
14 Days185,5002,060,9239.81%
Instamine01,875,4239.38%
*Instamine = First 14-Day Dash Mined - Computed Target
Development Grade: S
Both mobile and desktop wallets up to date with bitcoin
Dash has introduced multiple features to cryptocurrency
Very active community and dev team
Usability Grade: A
InstantX is a giant leap forward in crypto usability
Darksend increases user privacy
Leading the way with merchant adoption
All features Moloch tested were fully functional
No known blockchain issues
Liquidity Grade: C
There is currently a $20M market cap, giving dash a fair amount of liquidity for real world usage

Conclusion

The only issue I found with Dash is a large instamine, which likely went to a handful of people. The coin has very active development, which puts it among my top picks for long-term investing. If Dash continues to be the first to market with useful crypto features, expect much public and merchant adoption in the coming years.

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