Why Use a Cryptocurrency?
Cryptocurrency is a new kind of money that uses cryptography to verify its authenticity and secure transactions in a decentralized way. Here’s a few reasons why cryptocurrencies are a better form of money:
- It’s decentralized. No central authority issues cryptocurrency, controls the supply, or manages the network. This means that you don’t have to trust a central bank to not inflate and devalue the currency, and you don’t have to worry about your funds being frozen or transactions being reversed. You own and control your own money, and can use it as you see fit.
- It’s transparent and verified.Unlike central bank-issued currency or even sound money like gold and silver, cryptocurrency is transparent and auditable. This means that anyone can look at how much is in circulation at any time, and network statistics are able to be monitored by anyone at any time. Transactions are also verified by different independently-run nodes all over the world, so you don’t have to worry about an accounting error or a server crash damaging your financial records.
Why Use Dash?
Unlike other popular cryptocurrencies, Dash has a distinct focus on usability and efficiency as digital cash, making it an efficient means of payment where others like Bitcoin may not be as suitable. Here’s a few reasons why you should use Dash:
- It’s lightning fast. Not only does Dash have much shorter confirmation times, it has a feature called InstantSend which allows for instantly-confirmed transactions. This means that, unlike other cryptocurrencies or even credit and debit cards, a Dash transaction can be made permanent and irreversible in just seconds. Just like cash, when you send it the transaction is final.
- It has low fees. Dash has lower fees than almost any other payment method, meaning that it’s still worth it to send payments of a few cents. Dash works whether you’re buying coffee or a house.
- It’s more private. Dash has a built-in coin-mixing service called PrivateSend which breaks transactions up into many smaller pieces and sends them all over, mixing them up with funds from other users across the network. This makes it impossible to tell which payment came from where, protecting user privacy.
- It has a strong governance mechanism. Decisions for Dash’s network are made by shareholders called Masternodes, which require a substantial investment of Dash. To incentivize good decision making beneficial to the currency, Masternodes are compensated with 45% of the new currency minted. Other cryptocurrencies like Bitcoin, meanwhile, give all 100% to miners, and have no easy way of coming to agreement over the direction of the network, which can lead to conflict and stagnation.
- It pays developers, marketers, and more. Dash has 10% of all new currency minted set aside for development. This means the currency itself can hire coders, marketers, even media professionals to improve the currency itself, its adoption, and general ecosystem, meaning that Dash can run itself entirely without needing volunteers or corporate assistance.
To learn more about the nuts and bolts of how Dash and cryptocurrencies work, check out the Dash School video series.