Dash and the Rise of True Decentralization
http://dashpaymagazine.com/index.ph...l&utm_source=facebook.com&utm_campaign=buffer
Cryptocurrency came into being through the eyes of Satoshi the originator of Bitcoin. One of the most fascinating factors of the new form of money back then was the promise of decentralization. The thought of a form of money that was not controlled and watched under the eagle eyes of the government. But then the sailing ship sunk decentralization became extinct in the Bitcoin world, mining was controlled by the Chinese and decisions are being made by a group of people (Bitcoin Core).
Dash(Digital Cash) formally known as Darckcoin in its two years of existence has changed the landscape of decentralization of cryptocurrencies and has brought to the table technologies that have been adopted by other altcoins and has improved the way we spend money online. In this article we look at how Dash and decentralization have both held hands and and are bringing each other into the limelight.
According to Wikipedia decentralization or decentralisation is the process of redistributing or dispersing functions, powers, people or things away from a central location or authority while Dash is a privacy-centric digital currency with instant transactions. It is based on the Bitcoin software, but it has a two tier network that improves it. Dash allows you to remain anonymous while you make transactions, similar to cash.
Mining before Dash came in was the biggest contributor to centralization. To mine Bitcoinin large quantities individuals would require ASICs which were easy to make due to SHA-26 algorithm Bitcoin used. As the price of ASICs got higher middle earning individuals fell out of the main mining game as the rich and affluent took over leaving us in the current situation where a large part of Bitcoin is held and mined in China.
Dash the game changer solved this problem through X11 algorithm. X11 is a widely used hashing algorithm created by Dash core developer Evan Duffield. X11’s chained hashing algorithm approach utilizes a sequence of eleven scientific hashing algorithms for the proof-of-work. This is so that the processing distribution is fair and coins will be distributed in much the same way Bitcoin’s were originally. ASICs will be much more difficult to make for these algorithms and should take years. (It did, it actually took two years)
X11 even though not a complete fix to the centralization of mining cryptocurrencies, over the past years has curbed the canker amazingly. In its two years of existence no ASIC has been developed for it on till now preventing the advantage that the rich has over the not so rich since everyone is using relatively almost the same hardware.
X11 has also been used by other Altcoins such as StartCoin, Urocoin, XCurrency, DigitalCoin, Karmacoin and many more. Out of all these cryptocurrencies there is no evidence of centralization in mining.
Another field of centralization before Dash came in was decision making, a group of people chosen by Satoshi to oversee the development of Bitcoin took charge and since then have taken decisions that affects Bitcoin without consultation from the users(community).
With Dash came Decentralized Governance by Blockchain the governance mode invented by Evan Duffield. It enabled Dash to become the first Decentralized Autonomous Organization due to the features of this model. The block reward is split between miners (45%), Masternodes (45%) and the budget (10%). The budget is reserved for funding Dash-related projects and development of Dash. For example the salary of the Dash Core developers has its source there, thus making Dash independent from investors, donations and altruism. Anyone can propose a project for funding (“budget proposals”) and the Masternode operators will vote whether the project receives funding from the reserved budget or not.
Unlike the normal, Dash uses its second tier network the Masternode in place of mining for desicion making. Masternode owners have more interest in the development of Dash than a miner will since an individual would need 1000 Dash to run a masternode. This leads to a more reasonable and thoughtful method of decision making.
The decentralized model of governance by Dash has changed the way consensus is made in the crypto world leaving a carbon copy of democratic governance for others to adopt. And as Dash continues to evolve, the DGBB will also evolve into a decentralized incubator which will contribute to the rise of true decentralization.
As Dash continues to develop side by side with decentralization in mind, the two maybe travelling on parallel paths but the apex where they both meet is yet to be seen. As Dash grows it will continue to contribute to the rise of decentralization in the crypto space.
http://dashpaymagazine.com/index.ph...l&utm_source=facebook.com&utm_campaign=buffer
Cryptocurrency came into being through the eyes of Satoshi the originator of Bitcoin. One of the most fascinating factors of the new form of money back then was the promise of decentralization. The thought of a form of money that was not controlled and watched under the eagle eyes of the government. But then the sailing ship sunk decentralization became extinct in the Bitcoin world, mining was controlled by the Chinese and decisions are being made by a group of people (Bitcoin Core).
Dash(Digital Cash) formally known as Darckcoin in its two years of existence has changed the landscape of decentralization of cryptocurrencies and has brought to the table technologies that have been adopted by other altcoins and has improved the way we spend money online. In this article we look at how Dash and decentralization have both held hands and and are bringing each other into the limelight.
According to Wikipedia decentralization or decentralisation is the process of redistributing or dispersing functions, powers, people or things away from a central location or authority while Dash is a privacy-centric digital currency with instant transactions. It is based on the Bitcoin software, but it has a two tier network that improves it. Dash allows you to remain anonymous while you make transactions, similar to cash.
Mining before Dash came in was the biggest contributor to centralization. To mine Bitcoinin large quantities individuals would require ASICs which were easy to make due to SHA-26 algorithm Bitcoin used. As the price of ASICs got higher middle earning individuals fell out of the main mining game as the rich and affluent took over leaving us in the current situation where a large part of Bitcoin is held and mined in China.
Dash the game changer solved this problem through X11 algorithm. X11 is a widely used hashing algorithm created by Dash core developer Evan Duffield. X11’s chained hashing algorithm approach utilizes a sequence of eleven scientific hashing algorithms for the proof-of-work. This is so that the processing distribution is fair and coins will be distributed in much the same way Bitcoin’s were originally. ASICs will be much more difficult to make for these algorithms and should take years. (It did, it actually took two years)
X11 even though not a complete fix to the centralization of mining cryptocurrencies, over the past years has curbed the canker amazingly. In its two years of existence no ASIC has been developed for it on till now preventing the advantage that the rich has over the not so rich since everyone is using relatively almost the same hardware.
X11 has also been used by other Altcoins such as StartCoin, Urocoin, XCurrency, DigitalCoin, Karmacoin and many more. Out of all these cryptocurrencies there is no evidence of centralization in mining.
Another field of centralization before Dash came in was decision making, a group of people chosen by Satoshi to oversee the development of Bitcoin took charge and since then have taken decisions that affects Bitcoin without consultation from the users(community).
With Dash came Decentralized Governance by Blockchain the governance mode invented by Evan Duffield. It enabled Dash to become the first Decentralized Autonomous Organization due to the features of this model. The block reward is split between miners (45%), Masternodes (45%) and the budget (10%). The budget is reserved for funding Dash-related projects and development of Dash. For example the salary of the Dash Core developers has its source there, thus making Dash independent from investors, donations and altruism. Anyone can propose a project for funding (“budget proposals”) and the Masternode operators will vote whether the project receives funding from the reserved budget or not.
Unlike the normal, Dash uses its second tier network the Masternode in place of mining for desicion making. Masternode owners have more interest in the development of Dash than a miner will since an individual would need 1000 Dash to run a masternode. This leads to a more reasonable and thoughtful method of decision making.
The decentralized model of governance by Dash has changed the way consensus is made in the crypto world leaving a carbon copy of democratic governance for others to adopt. And as Dash continues to evolve, the DGBB will also evolve into a decentralized incubator which will contribute to the rise of true decentralization.
As Dash continues to develop side by side with decentralization in mind, the two maybe travelling on parallel paths but the apex where they both meet is yet to be seen. As Dash grows it will continue to contribute to the rise of decentralization in the crypto space.