Technical Features of the Dash Network

With PrivateSend on DASH network, you can get true privacy and obscure the origins of your transaction. It is possible because all the DASH coins in your wallet consist of separate inputs that came into your wallet, which is why it is also possible to think about these inputs as if they were separate coins. PrivateSend sends your coins by mixing the inputs of your coins with inputs of two more users on the network. This occurs without the funds leaving your wallet, so that your money is completely safe and you have control over your coins at all times.

PrivateSend starts with splitting the inputs that go into your transaction into denominations of 0.01, 0.1, 1 and 10. This is similar to what happens when you need to pay, say, $16.27, in US dollars. You would also break the amount into available denominations, such as a $10 bill, a $5 bill, a $1 bill, a quarter coin and 2 pennies. DASH network splits your transaction when you use PrivateSend in a comparable way.

Next, your wallet will send requests to masternodes letting them know that you want to mix the inputs for your transaction with inputs of other users.  When your wallet does so, it doesn’t send any information that makes you or your wallet personally identifiable. A masternode doesn’t know who you are. When two other users send requests informing a masternode that they want to create a private transaction by mixing the same denomination of the Dash currency, mixing part of the process starts. The masternode does the mixing of the inputs from three users and the wallets of the users to pay the new input back to themselves but do so using different wallet addresses. This part of the process repeats a few times for each denomination participating in the transaction. Each time when you wallet sends money to itself is called “a round.” Each round in a PrivateSend transaction makes it exponentially difficult for a third party to discover the origination source of funds in the transaction. The mixing stage of a PrivateSend transaction doesn’t require any active participation on your part. When you want to send your funds with PrivateSend, the network will already have your funds anonymized and you won’t have to wait.

Users sign inputs for which they own keys and then outputs in the transaction receive the funds from all three users at the same time. Inputs and outputs are not connected directly. All inputs are stored on one list and all outputs are stored on a separate list. This means that if a third party were to gain access to the lists, it would see three parties paying themselves and everyone else involved in a PrivateSend transaction. This means, for example, that the third party won’t be able to say that input #X went into output #Y. When all inputs and outputs are in place, the transaction becomes valid on the network and the masternode that participated in the mixing stage broadcasts the transaction to the network using a special code. The network keeps a track of the code and allows a masternode to submit only one PrivateSend per N hours without having to pay any fees for it.


On DASH network, a wallet can only change the addresses in a way described above 1,000 times. Every mixing event uses one of your addresses. When you use most of them, you DASH wallet will need to create new addresses, but it can only do so if you are automatically backing up your wallet. This also means that if you have automatic backups disabled in your DASH wallet, you will not be able to use the PrivateSend feature.

In essence, PrivateSend makes all Dash coins on the network equal by removing their history. This feature is known in economics as fungibility, which means having an ability to exchange an asset for a different asset without having a difference in price based on the history of assets. Without PrivateSend and anonymity, the tokens that have fewer transactions with them could potentially become more valuable because the more transactions a token participates in, the higher the risk of it being “red listed” for suspicious or illegal activity and the lower the price. Nobody wants to possess assets or funds that have previously been used in illegal activities, yet even if such an activity took place in the past, on the DASH network all tokens reenter the token supply being equal and pass to new owners who had no connection whatsoever with previous activities in which tokens were used. PrivateSend is the way the DASH network handles this issue.

On the DASH network, there is a fee for every 10 transactions that use PrivateSend functionality of this network. The fee applies to a set of transactions to further protect anonymity because if the network has a fee per PrivateSend transaction, it would enable third parties to identify users participating in the transaction. On the dash network, masternodes can broadcast PrivateSend transactions with no immediate fee attached to them.



Another popular feature of the DASH network is InstantSend. This feature of the network allows it to compete not only with other currencies, but also with payment solutions such as credit cards. A unique characteristic of InstantSend on the DASH network is that the network locks the funds and by doing so prevents the issue of double-spending from happening.

Double spending on a blockchain network is when a user tries to spend the same currency twice, before the transaction gets necessary confirmations from the network. The bitcoin network solves this issue by requiring every transaction to have at least six confirmations, with a confirmation being defined as having information about a transaction in a block of the blockchain. The problem with this approach is that the bitcoin network attempts to create a block every 10 minutes and six confirmations may take up to an hour or even longer. Dash network solves this issue with InstantSend feature by locking the funds and preventing double-spending without having to wait for a significant period of time to receive confirmation from the network.