BolehVPN
Well-known member
To me, one of the biggest issues of Dash till this day is the constant mentions that it was a 'premine' scam.
I personally believe that it was just a mistake but it would be good if this problem can be put to rest and I wondering if it was possible to do so.
Dashninja has an excellent FAQ on this wish I believe some research had been done into the issue:
Could some funds be allocated for deeper analysis and more detailed supporting documentation for this so that although of course trolls will never be satisfied, at least we have good support for the above.
Things that would help:
a) Show how much coins were generated during the difficulty retargeting bug (easy)
b) Show much volume of it was being dumped from February to April 2014 with charts.
c) Explore with c-cex and poloniex that although they may not be able to reveal the identities of the people who dumped, perhaps they can shed some light as to the behaviour of these dumpers in general. This may need some remuneration for them to be interested in doing it.
d) Nice visual illustrations perhaps showing the amount of coins instamined and the amount of DRK dumped over time and also to show 'whale buyers' buying it up showing that these whales were not people who originallly dumped it.
I know many just think that we should just move on from this and I agree, but I think proper resolution is required for the newcomers as Dash should do its best to shake off any stigma from this if possible as there is often the perception that devs control the majority of masternodes.
I personally believe that it was just a mistake but it would be good if this problem can be put to rest and I wondering if it was possible to do so.
Dashninja has an excellent FAQ on this wish I believe some research had been done into the issue:
The coin has been well distributed through exchanges since early February 2014 – almost 15-20 days after the coin's launch. One could buy as many cheap DRKs as they wanted, with prices of 0.0000x per DRK or 0.0001x per DRK. This can be verified by historic charts of c-cex.com and poloniex.com of early Feb 2014. These two exchanges were the first that adopted DRK. Huge buy orders of 20-30-50k DRKs were being filled by early miners who were dumping their coins for pennies, not really appreciating the coin they had in their possession due to the “abundant” way in which they mined it as people do not really appreciate what they are given in ample quantity.
Miners who “instamined” large quantities never foresaw the huge price increase and as such sold over a million coins at prices from 0.0000x up to 0.002 – with the first large batch being sold after DRK hit the exchanges and the next large batches being sold from February 2014 to April 2014 @ 0.0015 BTC price levels. In fact, many coin holders were complaining* of all the “dumping” by those who held cheap coins from the start that kept the price at artificially low levels for 2 months straight.
The dumping ended, due to tremendous market demand, when a “pump” was initiated by “whale” buyers that swallowed millions of USD (in DRKs), raising the price from 0.0012 to 0.017 within a few weeks.
[*] During this dumping period there were certain individuals who spread FUD about how the coin will never rise in price due to the instaminers dumping continuously. These are typically the same people who are claiming that the 50% instamine distribution affects the coin distribution today. However it is impossible to simultaneously claim that the coins were being dumped and that the 50% instamine holds true today. It's either one or the other. Since the coins were being dumped, the 50% instamine distribution was gradually reduced with each dumping wave. Blockchain analysis indicates a well distributed coin, reflecting the fact that the dumped coins were evenly distributed through the market. Early distribution is not currently an issue as huge buyers have been reshuffling the "rich-list" in their favor, buying millions of dollars in Darkcoins during May 2014. Late distribution through aggressive buying is currently more of a concern than early distribution.
Miners who “instamined” large quantities never foresaw the huge price increase and as such sold over a million coins at prices from 0.0000x up to 0.002 – with the first large batch being sold after DRK hit the exchanges and the next large batches being sold from February 2014 to April 2014 @ 0.0015 BTC price levels. In fact, many coin holders were complaining* of all the “dumping” by those who held cheap coins from the start that kept the price at artificially low levels for 2 months straight.
The dumping ended, due to tremendous market demand, when a “pump” was initiated by “whale” buyers that swallowed millions of USD (in DRKs), raising the price from 0.0012 to 0.017 within a few weeks.
[*] During this dumping period there were certain individuals who spread FUD about how the coin will never rise in price due to the instaminers dumping continuously. These are typically the same people who are claiming that the 50% instamine distribution affects the coin distribution today. However it is impossible to simultaneously claim that the coins were being dumped and that the 50% instamine holds true today. It's either one or the other. Since the coins were being dumped, the 50% instamine distribution was gradually reduced with each dumping wave. Blockchain analysis indicates a well distributed coin, reflecting the fact that the dumped coins were evenly distributed through the market. Early distribution is not currently an issue as huge buyers have been reshuffling the "rich-list" in their favor, buying millions of dollars in Darkcoins during May 2014. Late distribution through aggressive buying is currently more of a concern than early distribution.
Could some funds be allocated for deeper analysis and more detailed supporting documentation for this so that although of course trolls will never be satisfied, at least we have good support for the above.
Things that would help:
a) Show how much coins were generated during the difficulty retargeting bug (easy)
b) Show much volume of it was being dumped from February to April 2014 with charts.
c) Explore with c-cex and poloniex that although they may not be able to reveal the identities of the people who dumped, perhaps they can shed some light as to the behaviour of these dumpers in general. This may need some remuneration for them to be interested in doing it.
d) Nice visual illustrations perhaps showing the amount of coins instamined and the amount of DRK dumped over time and also to show 'whale buyers' buying it up showing that these whales were not people who originallly dumped it.
I know many just think that we should just move on from this and I agree, but I think proper resolution is required for the newcomers as Dash should do its best to shake off any stigma from this if possible as there is often the perception that devs control the majority of masternodes.
