When DasCoin launched in March 2018, the inconspicuous “Currency of Trust” slogan that underscored its logo got the cryptocurrency industry talking. What was the hashtag meant for and how was the company going to play out to the new tune?
Describing the slogan, Founder and CEO Michael Mathias stated the company would offer a unique blend of transparency, equity, and inclusion. He explained how the newly minted Digital Assets System Conversion Instrument they had developed was meant to make up for the shortcomings of fiat money and pre-existing cryptocurrencies. How the digital coin at the heart of the DasEcosystem works as a store of value and more.
By bridging the loopholes in-between, the firm would chart a new way towards giving the industry a truly mainstream cryptocurrency—adopted widely by all kinds of communities and markets.
How has the digital coin fared towards self-actualizing the “Currency of Trust” and Community mantras?
In the company White Paper detailing how the DasEcosystem works, the company highlighted five means it aims to uphold a higher degree of trust than other cryptocurrency platforms aspire to.
- DasCoin Central Chain Management
In sharp contrast to what hardcore cryptocurrency and blockchain technology enthusiasts would have expected, the company settled for a centralized blockchain model. The firm has a central authority or board of directors. Coins emission is centralized while the distribution is decentralized.
The central authority’s role is to ensure the distributed, decentralized ecosystem maximizes utility and efficiency for its users.
The company explains that instituting central management is intended to grant “trust to certain roles”. That means the board. Like any other corporate board, the board is in-charge of ensuring core aspects of the network work and are continuously monitored to ensure optimal performance.
That includes patching security updates to the system and ensuring all members follow the company rules and regulations—such as adhering to Anti-Money Laundering policies.
- Checking and Balancing Trusted Roles
The role of a DasCoin Board member is what the company refers to as a Trusted Role. There are clear roles with respective authority well defined. Each board member is held to account if they overstep their authority.
One case where such a case would occur is in the minting process. However, the network’s Proof of Value distribution system, where users need to buy a NetLeaders license (transferring value to the system) to obtain commensurate coins, apparently, not even the board members can pre-mint or pre-distribute the digital coins to themselves. That is unlike mining where pre-minting did happen.
- Permissioned Blockchain
All members are required to provide authentication details to verify their identity prior to gaining access to the DasNet. Authentication is meant to inspire trust among participants seeing how anonymity-based blockchain models are suffering from an influx of illegal transactions like human trafficking, money laundering, and cyber blackmail.
By implementing internationally recognized, banking-grade Know Your Customer (KYC) protocol, DasCoin is complying with new regulations as required by governments and law authorities around the globe.
Users get to transact in a community of fully authenticated members while the underlying blockchain technology keeps every person’s private details confidential for extra security and to curb personalized cyberattacks.
- Third-Party Accountability
In order to ensure every aspect of the network works as intended and no unseen issues crop up, the leadership will be seeking special network audits from an independent party. According to information on the white paper, the firm will be verified by a “qualified third-party” accounting firm.
Towards that end, on the day the firm launched its public exchanges platform, the firm launched Das33. Das33 is a platform for collaborating with an increased number of partners to optimize DasNet performance aspects including security, incentives, distribution, and inclusivity.
- Incentivized Participation and Growth
An overarching goal of the concept was to grow the network into a global community of authenticated members with one goal. The firm introduced a referral program where participants earn commissions for inviting and helping others sign up and purchase a NetLeaders license. By referring friends and family to the network, it would make the DasNet network one large family.
The result is a large group of people that are unlikely to engage each other in illegal transactions that can land others they might know in trouble—despite the identity confidentiality provided.