Dash was established to be peer-to-peer cash. It allows transactions over the internet without a intermediary such as a bank or credit card. The hope is that, those currently undeserved by the banking sector could benefit from the service Dash provides. It is also hoped that those currently served by banks could save on fees by using Dash. By cutting out the middle man, Dash will provide more value to customer and merchant.
What Makes Dash Different?
Dash is modeled after the original bitcoin.
- completed research that allows it to keep fees low, even with significant network traffic.
- diverts some of it's mining reward to provide powerful nodes to the network.
- Will launch Dash platform which will support a more user centric experience and provide native apps.
- diverts some of it's mining reward to provide for funding of projects that advance that dash ecosystem.
This last bullet is what established the Dash DAO.
Dash established the oldest operating Decentralized Autonomous Organization, or DAO. That means that decisions can be made in a decentralized way as an organization. Often decisions involve payouts that are to be used to carryout the DAOs decision. Here are some examples of what the DAO is currently funding:
- Dash Core Group-- This pays for developers that develop the Dash client and other functions
- Dash Platform Incubator-- Provides bounties for deliverables on Dash Platform
- Dash Newsroom-- Provides an outlet for Dash related events and news.
- Dash Mall and Parking-- Showcases how Dash can be used to solve payment challenges in the real world. Skip long lines paying for parking at malls in Venezuela. This also encourages mall vendors to accept Dash.
- Dash Nigeria-- Encourages acceptance and partnerships providing Dash use cases in Nigeria.
It has been the case that operating as a DAO provides challenges when interacting with traditional businesses. The Dash Investment Foundation was established to support the network’s growth by enabling enforceable legal and financial arrangements between the Dash DAO and traditional businesses.
Dash Investment Foundation
The Dash Investment Foundation is established as a legal entity. It can do all the things a person can do legally. For example, it can participate in contracts and courts, it has its own bank account.
Generally speaking, the DAO has provided grants to carry out specific projects. These projects are not expected to turn a profit or be self sustaining. Previously, this grant system has incentives that are out-of-whack when funding for profit businesses. It doesn't really make sense to fund a project that will ultimately benefit one or a few owners. However, for profit companies can produce a long lasting impact for a infusion of startup capital. Much of the needed Dash infrastructure, e.g. exchanges, merchants, and point-of-sale soutions, are for profit.
In 2019 the inception document of the DIF was published. The DIF has been working since to establish itself as a thriving part of the Dash ecosystem.